The Mgmt. of Safdarjung Hospital vs. Bajleet Singh
Background
Bajleet Singh, a security guard at Safdarjung Hospital, was terminated in 1990 over alleged frequent absenteeism, without being given a show-cause notice or opportunity to explain himself. The Industrial Tribunal held the termination illegal and awarded reinstatement with 20% back wages. The hospital's management challenged the award, arguing the termination was carried out by the wrong (incompetent) authority.
Decision Breakdown
The High Court found the tribunal's finding on "wrong authority" was factually incorrect, the same officer who had appointed and regularised the employee had also issued the termination, but upheld the tribunal's separate and independent finding that the termination was effectively a punishment for alleged misconduct and so required a prior opportunity to be heard, which was never given. However, since more than three decades had passed, the employee had already crossed retirement age, and he had already received interim wages under Section 17-B, the Court modified the relief: instead of reinstatement, it ordered release of amounts already deposited in court plus a lump-sum compensation of Rs. 2 lakh.
Lesson Learnt
Even where a termination is found to be illegal for want of a fair hearing, reinstatement and full back wages are not automatic: courts can, and often do, substitute a one-time monetary compensation where reinstatement after decades would serve little practical purpose.