Writ Petition, Labour Court, Industrial Dispute, Reinstatement, Regularization, Back Wages, Continuous Service, Bombay High Court, BMC, Delay and Laches
 16 Apr, 2026
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Brihanmumbai Mahanagarpalika Vs. Zamir Abdul Sattar Shaikh (Since Deceased) Through LHR.

  Bombay High Court WP-9089-2023
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Case Background

As per case facts, the Petitioner, Brihanmumbai Mahanagarpalika (BMC), filed a Writ Petition challenging an Award from the Labour Court. The deceased employee, Zamir Abdul Sattar Shaikh, had sought reinstatement ...

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Shabnoor

IN THE HIGH COURT OF JUDICATURE AT BOMBAY

CIVIL APPELLATE JURISDICTION

WRIT PETITION NO.9089 OF 2023

Brihanmumbai Mahanagarpalika

R North Division, Jaywant Sawant Road,

Dahisar (West), Mumbai 400 068 …  Petitioner

V/s.

 1.Zamir Abdul Sattar Shaikh

(Since Deceased) Through LHR.

(a)Abdul Satttar Shaikh 

(Since Deceased)

(a)(a)Munawwar Abdul Sattar Shaikh

(a)(b)Anjuman Abdul Ajaj Damanwal

(b)Chandbibi Abdul Sattar Shaikh 

(Since Deceased)

(b)(a)Munawwar Abdul Sattar Shaikh

(b)(b)Anjuman Abdul Ajaj Damanwal

Room – 394/A Chawl 50,

M.H.B. Colony Gaikwad Nagar 

Gate No.8 Malowani Malad (West)

Mumbai – 400 095. …  Respondents

Mr. Prashant Kamble a/w Mr. Santosh Parad, for the 

Petitioner – BMC.

Mr. Haresh A. Shivdasani, for Respondents.

Mr. Pandurang Borse, Superviser, from SWM Dept. is 

present.

CORAM :AMIT BORKAR, J.

RESERVED ON :APRIL 9, 2026

PRONOUNCED ON:APRIL 16, 2026

1

SHABNOOR

AYUB

PATHAN

Digitally signed by

SHABNOOR AYUB

PATHAN

Date: 2026.04.16

13:23:00 +0530

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JUDGMENT:

1.By the present Petition instituted under Articles 226 and 227 

of the Constitution of India, the Petitioner has assailed the Award 

dated 11 April 2019 passed by the learned 2nd Labour Court at 

Mumbai in Reference (IDA) No.181 of 2013.

2.The facts giving rise to the present Petition, in brief, are that 

the deceased employee, namely Mr. Zamir Abdul Sattar Mohamed 

Shaikh, sought reinstatement in service along with full back wages 

with effect from 25 June 2003, contending that the cause of action 

had arisen on the said date. It is the case of the Petitioner that 

though the alleged cause of action is stated to have arisen on 25 

June 2003, the industrial dispute came to be raised only in the 

year 2013 after an inordinate and unexplained delay of nearly ten 

years. According to the Petitioner, the claim for reinstatement with 

full back wages was therefore hopelessly belated and was vitiated 

by delay and laches, the dispute having not been raised within a 

reasonable period. It is further contended that on the date when 

the Reference was made, no industrial dispute either existed or 

was apprehended, and consequently the Reference made under 

Section   10   of   the   Industrial   Disputes   Act,   1947   was   not 

maintainable in law. It is the further case of the Petitioner that the 

deceased   workman   was   engaged   only   on   ad   hoc   /   Badli 

(substitute)   basis   and   was   neither   appointed   against   any 

permanent   post   nor   on   any   regular   establishment.   His 

engagement, according to the Petitioner, was purely contingent 

and need based, and he was called upon to work only as and when 

his services were required. The Petitioner contends that a Badli or 

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substitute   workman   has   no   vested   or   enforceable   right   to 

employment or continuity in service and cannot claim parity with 

an employee appointed on permanent basis or even on probation. 

It is submitted that unlike a probationer, a Badli workman cannot 

claim   deemed   confirmation   merely   upon   completion   of   any 

particular period of service, and no right accrues in his favour for 

seeking regularisation or permanency. 

3.On   the   aforesaid   premise,   the   Petitioner   contends   that 

having   regard   to   the   nature   of   the   deceased   workman’s 

engagement, he was not entitled to invoke the provisions of the 

Industrial Disputes Act, 1947 for the reliefs as claimed by him, and 

consequently the Labour Court lacked jurisdiction to entertain and 

adjudicate the Reference. It is further contended by the Petitioner 

that the alleged dispute was not raised within a reasonable period 

and that there was complete absence of diligence on the part of 

the deceased workman in prosecuting the alleged claim. According 

to the Petitioner, the Reference was therefore liable to be rejected 

on the ground of delay and laches alone. It is additionally the case 

of the Petitioner that the deceased workman had not completed 

240 days of continuous service during the period of twelve months 

immediately preceding the alleged date of termination, namely 25 

June 2003. In the absence of fulfilment of the said statutory 

requirement, the provisions of the Industrial Disputes Act, 1947 

were, according to the Petitioner, not attracted, and no protection 

or relief thereunder could have been granted to the deceased 

workman. 

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4.The record further indicates that the deceased workman 

approached the office of the Labour Commissioner and raised an 

industrial demand seeking reinstatement in service, conferment of 

permanency, and payment of full back wages with effect from 25 

June 2003. Upon failure of the conciliation proceedings, a failure 

report came to be submitted, pursuant whereto the Appropriate 

Government made a Reference under Section 10 of the Industrial 

Disputes   Act,   1947   to   the   Labour   Court   at   Mumbai   for 

adjudication. Pursuant thereto, the deceased workman filed his 

statement of claim before the Labour Court. The said claim was 

opposed by the present Petitioner by filing its written statement, 

whereby the allegations made in the statement of claim were 

denied   and   the   maintainability   of   the   Reference   itself   was 

specifically   disputed.   During   the   pendency   of   the   Reference 

proceedings,  the  deceased  workman  expired  on  09  November 

2014,   whereupon   his   legal   heirs   were   brought   on   record   in 

accordance with law and the proceedings thereafter came to be 

continued by them. Upon hearing the parties and considering the 

material placed on record, the learned Labour Court proceeded to 

pass   the   impugned   Award   dated   11   April   2019,   which   was 

thereafter published by the Government on 8 July 2019. Being 

aggrieved and dissatisfied with the said Award dated 11 April 

2019, the Petitioner has preferred the present Petition.

5.The learned Advocate appearing for the Petitioner submits 

that   the   Labour   Court   has   failed   to   properly   appreciate   the 

pleadings and documentary material placed on record, including 

the affidavit in lieu of examination in chief tendered by the father 

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of the deceased workman, namely Mr. Abdul Sattar Shaikh, as also 

the correspondence produced in the proceedings, which, according 

to the Petitioner, clearly demonstrated that the deceased workman 

was   suffering   from   illness   from   25   June   2003   and   had   not 

thereafter reported  for duty.  It  is  submitted  that  the findings 

recorded by the Labour Court on the said aspect are erroneous, 

perverse, and contrary to the evidence available on record. 

6.It is further submitted that the alleged industrial dispute 

came to be raised after an inordinate and unexplained delay of 

nearly ten years from the alleged date of termination, namely 25 

June 2003, and as such the dispute had become stale, dead, and 

non-existent in the eyes of law. 

7.The learned Advocate for the Petitioner submits that the 

Labour Court has failed to follow the settled principles of law laid 

down by the Supreme Court in the decisions of 

Nedungadi Bank 

Ltd. v. K.P. Madhavankutty

, (2000) 2 SCC 455, wherein it has been 

categorically   held   that   stale   disputes   cannot   be   referred   for 

adjudication under Section 10 of the Industrial Disputes Act, 1947, 

and that there must exist a live and subsisting industrial dispute on 

the date of making of the Reference. It is contended that in the 

present case, on the date of the Reference, namely, 12 July 2013, 

no industrial dispute either existed or could reasonably be said to 

have   been   apprehended.   It   is   further   submitted   that   despite 

recording a finding regarding delay in raising the dispute, the 

Labour Court has erroneously proceeded to grant full back wages 

for the period from 25 June 2003 till 9 November 2014, which is 

contrary to settled legal principles governing grant of back wages. 

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Reliance is also placed on the judgment of the Supreme Court in 

Krishi Utpadan Mandi Samiti v. Ved Ram, (2012) 4 SCC 496, 

wherein it has been held that back wages ought not to be awarded 

for the period attributable to delay in raising the industrial dispute. 

According to the Petitioner, no reasons have been assigned by the 

Labour Court for not following the said binding precedent. 8.It is further submitted that the impugned Award appears to 

have been passed more on sympathetic considerations than upon 

settled   principles   of  law.  According   to  the   Petitioner,   the  law 

declared by the Supreme Court is binding in nature and could not 

have been ignored by the Labour Court in absence of cogent and 

justifiable reasons. It is also contended that the Labour Court has 

failed to examine whether the deceased workman had completed 

240 days of continuous service in the twelve months immediately 

preceding the alleged date of termination, namely 25 June 2003, 

which constitutes a condition precedent for claiming statutory 

protection under the Industrial Disputes Act, 1947. It is submitted 

that the Labour Court has further failed to consider the judgment 

of the Supreme Court in 

Mohd. Ali v. State of H.P., (2018) 15 SCC 

641, though the same was specifically cited before it, wherein it 

has been held that completion of 240 days of continuous service is 

essential for seeking relief under the provisions of the Industrial 

Disputes Act, 1947.

9.It is further contended that the Labour Court has overlooked 

material documentary evidence adduced by the Petitioner, which, 

according to the Petitioner, clearly establishes that the deceased 

workman had remained absent from duty from 25 June 2003 

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onwards. It is submitted that in absence of any act of termination 

on the part of the employer, the question of illegal termination 

does not arise. According to the Petitioner, the records maintained 

by   the   Corporation   in   the   ordinary   course   of   its   business 

sufficiently establish the absence of the deceased workman, and 

the Labour Court ought to have given due evidentiary weight to 

the said records. It is further submitted that in terms of the 

applicable Circular for the period 2005 to 2006, a Khada Badli 

employee remaining unauthorisedly absent for a period exceeding 

90 days cannot be continued in service. 

10.It   is   contended   that   in   the   present   case   the   deceased 

workman remained continuously absent for a period exceeding 90 

days from 25 June 2003 onwards and, therefore, in view of the 

aforesaid circular and applicable administrative instructions, he 

lost his lien upon the employment by reason of his own conduct. It 

is submitted that the said position was duly communicated to the 

deceased workman by communication dated 14 February 2007, 

which aspect has not been properly appreciated by the Labour 

Court. On the aforesaid grounds, it is submitted that the impugned 

Award is contrary to law and liable to be quashed and set aside.

11.Per contra, learned Advocate appearing for the Respondents 

has placed reliance upon documentary evidence in the nature of 

wage slips of the deceased workman for the period from May 1999 

to February 2002, which, according to the Respondents, establish 

continuity of service rendered by the deceased workman. Further 

reliance  has been placed upon  the  correspondence exchanged 

between the deceased workman and the First Party Corporation, 

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whereby   the   deceased   workman   had   on   several   occasions 

requested that he be permitted to resume duties. Attention has 

also been invited to the identity card issued in favour of the 

deceased workman, which reflects his date of appointment as 18 

July 1997 and his last working date as 13 June 2003, in support of 

the contention that the deceased workman was in continuous 

employment. It is further contended that the name of the deceased 

workman   appeared   in   the   list   of   employees   proposed   for 

absorption as permanent employees, thereby indicating that he 

had acquired entitlement to permanency. 

12.Reliance   has   also   been   placed   upon   the   correspondence 

issued by the father of  the deceased workman informing the 

Corporation   regarding   the   illness   suffered   by   the   deceased 

workman.   On   the   strength   of   the   aforesaid   material,   it   is 

contended that the termination of the deceased workman was 

illegal and unlawful, and that he was consequently entitled to 

reinstatement   with   full   back   wages   and   consequential   service 

benefits.   It   is   further   submitted   that   after   the   alleged   oral 

termination   dated   9   December   2003,   the   deceased   workman 

continuously approached the First Party Corporation by addressing 

various   letters   requesting   permission   to   resume   duties.   It   is 

submitted that the said correspondence was produced before the 

Labour Court and was admitted by the witness examined on behalf 

of the First Party. It is submitted that the correspondence dated 9 

December 2003 indicates that the deceased workman had sought 

permission to resume duties on the ground that he had become 

medically fit, supported by a medical certificate dated 2 December 

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2003. Reliance is also placed on further correspondence dated 11 

July   2005   and   15   July   2005,   along   with   subsequent 

communications addressed to various authorities including the 

Additional   Municipal   Commissioner,   the   Commissioner   of   the 

Municipal   Corporation,   and   the   Chief   Labour   Officer,   to 

demonstrate   that   the   deceased   workman   persistently   sought 

reinstatement in service. It is contended that despite the same, the 

First Party neither permitted him to resume duties nor replied to 

the communications addressed by him. 

13.It is further submitted that a termination letter thereafter 

came to be issued on 14 December 2007 alleging unauthorised 

absence from 25 June 2003. Thereafter, the deceased workman 

addressed   further   representations   dated   17   January   2008   to 

various authorities including the Commissioner and other officials 

of the Municipal Corporation. It is submitted that the deceased 

workman subsequently instituted Writ Petition No. 6279 of 2009 

before the Bombay High Court, wherein directions came to be 

issued   directing   the   Corporation   to   consider   his   case 

sympathetically for ad hoc appointment subject to availability of 

vacancies. Pursuant thereto, applications came to be submitted by 

the deceased workman on 08 December 2009, 4 January 2010, 

and 19 January 2010, which were rejected by communication 

dated 08 July 2010 on the ground of non-availability of vacancies.

14.It is further submitted that thereafter the deceased workman 

instituted Writ Petition No. 6329 of 2011, wherein the High Court 

held that the said Petition was not maintainable and granted 

liberty to the deceased workman to raise an industrial dispute 

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under   the   provisions   of   the   Industrial   Disputes   Act,   1947. 

Thereafter, the present industrial dispute came to be raised before 

the Appropriate Government. On the aspect of completion of 240 

days  of continuous  service,  it is  contended that the evidence 

available on record clearly establishes that the deceased workman 

had completed the requisite number of days and was therefore 

entitled to statutory protection under the Industrial Disputes Act, 

1947. It is further contended that the First Party had deliberately 

given artificial breaks in service to the deceased workman with a 

view to deprive him of the benefit of permanency. It is submitted 

that the witness examined on behalf of the First Party has admitted 

during cross-examination that such artificial breaks were in fact 

given.

15.It is further contended that the documents produced by the 

First Party, including the muster rolls, could not be treated as 

reliable evidence inasmuch as the same were merely xerox copies 

and had not been proved in accordance with law. According to the 

Respondents, the identity card and other documentary material on 

record   sufficiently   establish   that   the   deceased   workman   had 

continuously worked and had completed more than 240 days of 

service.   It   is   further   contended   that   other   similarly   situated 

employees whose names appeared in the same list were granted 

permanency in service and, therefore, the deceased workman was 

equally entitled to receive the same benefit. It is thus contended 

that   the   services   of   the   deceased   workman   were   illegally 

terminated by the First Party and that had such termination not 

occurred, he would have been regularised and made permanent 

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along with other similarly placed employees. In the circumstances, 

it is submitted that notwithstanding the death of the deceased 

workman, his legal heirs are entitled to all consequential monetary 

and service benefits including back wages, as has rightly been 

granted by the Labour Court.

REASONS AND ANALYSIS: 

16.Having heard the learned Advocates for the parties and 

having carefully gone through the pleadings, evidence and the 

material placed on record, this Court is of the view that the 

impugned Award does not call for interference in exercise of writ 

jurisdiction. The scope of interference under Articles 226 and 227 

is limited. This Court is not sitting in appeal over the findings 

recorded by the Labour Court. Unless the findings are perverse, 

without evidence, or in clear disregard of law, this Court will not 

substitute its own view merely because another view may also be 

possible. In the present matter, when the record is examined as a 

whole, the Award passed by the Labour Court cannot be said to be 

illegal or without jurisdiction.

17.The Petitioner argued that the wage slips show payment for 

work done and cannot establish continuous service. This statement 

is correct in law to a certain extent. Yet the question before the 

Labour Court was not only whether the deceased workman was a 

employee. The question was whether he had worked for sufficient 

period, whether he had been denied continuity by artificial breaks, 

and   whether   the   termination   pleaded   by   the   employer   was 

justified. The wage slips, identity card and other correspondence, 

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when read together, gave the Labour Court a basis to conclude that 

the deceased workman had in fact put in service for a meaningful 

period. Once such material was available, the Labour Court was 

justified   in   drawing   a   reasonable   inference   in   favour   of   the 

workman.

18.This Court finds substance in the contention to the extent 

that   an   identity   card   issued   by   the   employer   is   a   document 

emanating   from   the   establishment   and   therefore   carries 

evidentiary value. When an employer records in its own document 

the date from which a workman was engaged and specifies the last 

working date, such document cannot be lightly brushed aside. The 

same does indicate that the deceased workman had been attached 

with the establishment from the date reflected therein and had 

remained associated till the last working date. Such recital in 

official document does probabilise the case that the deceased 

workman had rendered service over substantial time.

19.However, merely because the identity card contains a date of 

appointment and last working date, the same does not  establish 

continuous employment for every day during the entire period. 

The existence of an identity card may show association with the 

employer and period of engagement, but by itself it may not be 

treated as conclusive proof that the workman had  worked without 

break  on  each  day  throughout  the  period.  Such  document  is 

required to be read in conjunction with surrounding circumstances 

and other evidence available on record. Nevertheless, the identity 

card certainly constitutes corroborative material which supports 

the stand of the Respondents that the deceased workman had 

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remained in employment over long period and had not worked  for 

stray days.

20.This Court finds that mere inclusion of a person’s name in a 

proposed list for absorption may not create a legal right to claim 

permanency as matter of entitlement, nevertheless such fact is 

indeed   relevant   circumstance   which   cannot   be   ignored.   The 

appearance of the deceased workman’s name in such list prima 

facie indicates that his case had been taken into consideration by 

the   employer   while   examining   employees   for   possible 

regularisation, and such inclusion lends support to the argument 

that he was being treated similarly with other workmen whose 

cases were under consideration for permanency. Had the deceased 

workman been ineligible or disconnected from regular nature of 

service, ordinarily there would have been no occasion for his name 

to be reflected in such list. Therefore, this circumstance materially 

weakens the Petitioner’s stand that the deceased workman being 

occasional worker.

21.It is further contended on behalf of the Respondents that as 

many   as   15   other   employees,   who   according   to   them   were 

standing on identical footing with the deceased workman and 

whose names were also reflected in the same panel or list in which 

the   name   of   the   deceased   workman   was   included,   were 

subsequently granted permanency in service by the employer. On 

the strength of such circumstance, the Respondents have argued 

that   once   the   employer   itself   had   considered   the   deceased 

workman together with those other employees as belonging to one 

class   for   the   purpose   of   consideration   of   permanency,   there 

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remained   no  lawful   basis   thereafter  to   deny   to  the   deceased 

workman the same treatment which came to be extended to the 

others.   It   is   their   contention   that   when   persons   similarly 

circumstanced,   similarly   appointed,   similarly   engaged,   and 

similarly It is further contended on behalf of the Respondents that 

as many as 15 other employees, who according to them were 

standing on identical footing with the deceased workman and 

whose names were also reflected in the same panel or list in which 

the   name   of   the   deceased   workman   was   included,   were 

subsequently granted permanency in service by the employer. On 

the strength of such circumstance, the Respondents have argued 

that   once   the   employer   itself   had   considered   the   deceased 

workman together with those other employees as belonging to one 

class   for   the   purpose   of   consideration   of   permanency,   there 

remained   no  lawful   basis   thereafter  to   deny   to  the   deceased 

workman the same treatment which came to be extended to the 

others.   It   is   their   contention   that   when   persons   similarly 

circumstanced,   similarly   appointed,   similarly   engaged   and 

similarly placed in the same administrative category have been 

granted benefit of regularisation, exclusion of one amongst them 

without any intelligible reason amounts to hostile discrimination 

and arbitrary exercise of power. According to the Respondents, 

therefore,   the   deceased   workman   equally   became   entitled   to 

receive the same benefit of permanency which was extended to the 

other employees from the same category.

22.While considering the aforesaid submissions advanced on 

behalf of the Respondents, particularly the argument that several 

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other employees similarly placed had been granted permanency 

and therefore the deceased workman also ought to have received 

like treatment, it becomes necessary for this Court to carefully 

examine the legal principles governing such issue as explained by 

the Supreme Court in the case of 

ONGC v. Krishan Gopal (2021) 

18 SCC 707. The said decision assumes relevance because it deals 

directly with the extent of powers of Labour and Industrial Courts 

while considering claims of regularisation and permanency raised 

by temporary, daily wage, casual or similar category workmen.In 

the said judgment, the Supreme Court considered the earlier line 

of authorities dealing with grant of regularisation to workers who 

had remained in service for long duration on temporary, casual, 

daily wage or non permanent basis. The Court noticed that there 

existed certain observations in earlier decisions which appeared to 

require harmonious understanding. In particular, reference was 

made to the judgments in 

U.P. Power Corpn. Ltd. v. Bijli Mazdoor 

Sangh, 

(2007) 5 SCC 755   and Maharashtra SRTC v. Casteribe 

Rajya Parivahan Karmchari Sanghatana,  

(2009)   8   SCC   556   : 

(2009) 2 SCC (L&S) 513

 was sought to be reconciled in a two-

Judge Bench decision of this Court in

 Hari Nandan Prasad v. Food 

Corpn. of India, 

(2014) 7 SCC 190.  Thus, the Supreme Court in 

ONGC v. Krishan Gopal  undertook exercise of reconciling and 

restating the proper legal standard applicable in such matters.

23.The principle emerging from the aforesaid judgments is that 

a Labour Court or Industrial Court cannot direct regularisation 

merely because a worker has rendered service for long years on 

temporary or daily wage basis. Mere length of service, by itself 

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does not create   legal entitlement in favour of the worker to 

demand permanent status. Service for long period may create 

expectation, but expectation alone cannot mature into enforceable 

legal right unless foundational requirements prescribed in law are 

satisfied.   The   Court   is   duty   bound   to   first   examine   whether 

sanctioned vacant posts exist against which such regularisation can 

be made; whether the concerned employee possesses qualifications 

and eligibility required for appointment to such post; and whether 

the applicable recruitment procedure and service rules governing 

appointment   to   such   post   have   been   complied   with.   If   these 

conditions are absent, then regularisation cannot ordinarily be 

ordered merely because a worker has continued for substantial 

time.

24.The   Supreme   Court   has   explained   that   if   Courts   begin 

directing regularisation only on the ground of long service without 

examining sanctioned posts and recruitment rules, such course 

may permit entry into public employment through means not 

recognised   by   law.   The   Court   described   such   consequence  as 

permitting “backdoor entry” into public service. Such approach 

would be inconsistent with constitutional principles, especially the 

mandate   of   equality   under   Article   14   and   fairness   in   public 

employment, because regular public appointments are required to 

be made through transparent and lawful procedure affording equal 

opportunity to all eligible candidates. Therefore, indiscriminate 

regularisation   merely   because   of   passage   of   time   cannot   be 

sustained in law.

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25.However,   the   Supreme   Court   clarified   that   there   exists 

qualification to the above principle. The Court observed that a 

different situation may arise where the employer itself has granted 

regularisation   or   permanency   to   certain   workers   who   were 

similarly placed and similarly engaged. In such circumstances, 

where some employees of same category, performing same duties, 

under same mode of engagement, have been regularised by the 

employer, denial of similar treatment to other identically placed 

workers may amount to arbitrary and discriminatory conduct. In 

such case, the Labour Court or Industrial Court would not be 

creating a new right in favour of the workman; rather, it would be 

enforcing equality and preventing unfair discrimination amongst 

similarly situated employees.

26.The rationale behind this distinction is plain. If no one has 

been regularised and the Court directs regularisation because of 

long service, the Court may be stepping beyond permissible limits 

and creating rights. But where the employer itself has chosen to 

regularise some amongst a class of similarly placed workers, then 

the inquiry shifts from creation of right to question of equal 

treatment. Once employer extends permanency to some workers 

from a particular category, it cannot deny the same benefit to 

others from the same class without disclosing lawful distinction. In 

such a situation, the Court merely ensures parity. It does not create 

a benefit but removes inequality already brought into existence by 

employer’s own conduct.

27.Thus the decision in  ONGC v. Krishan Gopal  clearly lays 

down dual proposition. Firstly, regularisation cannot be granted 

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because the worker has served for long years. Secondly, where 

employer has itself regularised other similarly situated employees 

engaged in similar manner, refusal to extend same treatment to the 

remaining employees may amount to discriminatory treatment.  In 

such   circumstance,   Industrial   or   Labour   Court   may   validly 

intervene   to   restore   fairness   and   equal   treatment   among 

employees similarly circumstanced.

28.The fact that the deceased workman’s name appeared in the 

same list along with those employees who were later absorbed as 

permanent employees assumes significance.  The inclusion of his 

name in that common list indicates that his case had been viewed 

by the employer within the same  category of employees who were 

under   consideration   for   regularisation.   Therefore   unless   the 

employer   demonstrates   some   disqualification,   misconduct, 

dissimilarity, or legal impediment specifically applicable to the 

deceased workman, the denial of similar benefit to him raises 

doubt regarding fairness of such action.

29.On the point of delay while approaching court, it is observed 

from the material placed on record that the correspondence dated 

11 July 2005 and 15 July 2005 clearly indicates that the deceased 

workman had continuously approached the Petitioner requesting 

that he be permitted to resume duties. The contents of the said 

communications   reveal   that   the   deceased   workman   had   not 

treated   his   employment   as   abandoned   nor   had   he   accepted 

cessation of service. On the contrary, the repeated requests made 

by him demonstrate his intention and willingness to continue in 

employment   and   to   discharge   duties   under   the   Petitioner 

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establishment.   The   said   correspondence   therefore   constitutes 

relevant   circumstance   showing   that   the   deceased   workman 

asserted   continuation   of   employer   employee   relationship   and 

sought restoration thereof.

30.Further, the subsequent correspondence dated 19 April 2006 

addressed   to   the   Additional   Municipal   Commissioner,   the 

communication dated 18 April 2006 addressed to the Additional 

Municipal Commissioner, City, and thereafter the letter dated 11 

June   2007   addressed   to   the   Commissioner   of   the   Municipal 

Corporation and the Chief Labour Officer, further disclose that the 

deceased   workman   continuously   pursued   his   grievance   before 

authorities of the Corporation with the same request that he be 

allowed   to   report   for   duty.   The   representations   to   higher 

authorities shows that the deceased workman was pursuing his 

claim before all administrative forums. 

31.What   is   material   is   that   despite   such   repeated 

representations made over years, the Petitioner appears neither to 

have allowed the deceased workman to resume duties nor to have 

issued any response to the various communications sent by him. 

The   absence   of   any   satisfactory   reply   from   the   employer   to 

repeated requests of a workman seeking reinstatement creates 

doubt regarding the fairness of the employer’s conduct. If indeed 

the   Petitioner’s   case   was   that   the   deceased   workman   had 

abandoned   service   or   had   lawfully   ceased   to   remain   in 

employment,   it   would   have   been   expected   that   the   employer 

would communicate such position. 

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32.It   is   thereafter   seen   that   on   14   December   2007,   the 

Petitioner   issued   termination   letter   to   the   deceased   workman 

alleging therein that he had remained absent from duty from 25 

June   2003   without   intimation.   This   communication   assumes 

importance   because   it   demonstrates   that   the   Petitioner   itself 

subsequently   proceeded   to   issue   communication   treating   the 

services of the deceased workman as terminated on account of 

alleged absence. The issuance of such termination letter weakens 

the stand that no termination ever took place. If the employer had 

already considered the deceased workman as having ceased to be 

in service long prior thereto, the necessity of issuing termination 

communication in December 2007 itself requires explanation. The 

issuance of such letter indicates that the employer itself found it 

necessary to communicate cessation of service, thereby lending 

support to the case of the Respondents that the relationship of 

employment had remained in dispute and had not conclusively 

ended merely by passage of time.

33.Even thereafter, the conduct of the deceased workman did 

not reflect  acquiescence. The record  shows  that the deceased 

workman again addressed communication dated 17 January 2008 

to several authorities including the Commissioner of the Municipal 

Corporation,   Dr.   Smt.   Shubha   Raul,   the   Mayor,   Deputy 

Commissioner   and   Chief   Labour   Officer   of   the   Municipal 

Corporation. This further demonstrates that even after receipt of 

termination communication, the deceased workman did not accept 

the   same   quietly   but   immediately   challenged   the   action   and 

continued to seek intervention from competent authorities. 

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34.It is also brought on record that on 26 March 2008 the 

Mayor addressed communication to Mr. Phanase requesting that 

the deceased workman be permitted to resume duties. The fact 

that even the office of the Mayor appears to have intervened and 

recommended that the deceased workman be allowed to resume 

duties   indicates   that   the   grievance   raised   by   the   deceased 

workman was treated with seriousness at administrative level. 

Though such recommendation may not create legal right, it does 

indicate that the claim of the deceased workman had substance to 

warrant consideration.

35.Thereafter,   being   unable   to   secure   relief,   the   deceased 

workman approached this Court by filing Writ Petition No. 6279 of 

2009.   In   the   said   proceedings,   this   Court   directed   that   the 

deceased   workman   may   make   an   application   and   that   the 

Petitioner   may   consider   his   case   sympathetically   for   ad   hoc 

appointment if vacancy was available. Though the said order did 

not   adjudicate   upon   the   rights   of   the   deceased   workman,   it 

demonstrates that the deceased workman had remained vigilant 

and   had   taken   recourse   to   proceedings   for   redressal   of   his 

grievance.   It   further   shows   that   the   dispute   regarding   his 

employment status was being pursued and had not lapsed into 

abandonment.

36.Pursuant to the aforesaid liberty, the deceased workman 

made applications dated 8 December 2009, 4 January 2010 and 19 

January 2010. This reflects his diligence and willingness to comply 

with directions of the Court in order to secure re-employment. In 

response thereto, the Petitioner issued communication dated 8 July 

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2010 stating that no vacancy was available and, therefore, the 

deceased workman could not be appointed. The said reply is 

significant because instead of rejecting the deceased workman on 

ground that he had no claim or no prior relationship with the 

establishment, the Petitioner chose to reject him only on ground of 

non-availability of vacancy. 

37.Subsequently, the deceased workman again approached this 

Court   by   filing   Writ   Petition   No.   6329   of   2011.   In   the   said 

proceedings,   this   Court   held   that   the   writ   petition   was   not 

maintainable and observed that the deceased workman may avail 

remedy of raising industrial dispute under the Industrial Disputes 

Act,   1947.   Thereafter,   acting   upon   such   liberty,   the   deceased 

workman   raised   the   present   industrial   dispute   before   the 

Appropriate   Government.   The   sequence   of   these   proceedings 

shows chain of remedies by the deceased workman. At no point 

can it be said that he slept over his rights or abandoned his 

grievance.   Rather,   the   record   shows   assertion  of   claim   before 

authorities, municipal officers, constitutional court and ultimately 

industrial forum.

38.The   Petitioner   has   sought   to   contend,   relying   upon   the 

decisions   in  

Nedungadi Bank, Prabhakar and Krishi Utpadan 

Mandi Samiti

, that stale disputes ought not to be referred and that 

back wages ought not be granted where there is delay in raising 

dispute.   There   can   be   no   quarrel   with   the   legal   principles 

enunciated in those judgments. The proposition that industrial 

dispute must be live and subsisting at the time of reference and 

that stale and dead disputes ordinarily ought not to be entertained 

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is well settled. Equally, the proposition that unexplained delay may 

disentitle grant of full back wages is also accepted principle of law.

39.Accordingly, while delay is a relevant factor and cannot be 

ignored, delay by itself does not extinguish industrial dispute. The 

Court is required to examine whether the dispute had become so 

stale, dead, and buried by passage of time that no adjudication 

could be undertaken. In the peculiar facts of the present matter, 

where   repeated   representations   and   judicial   proceedings 

intervened   throughout   the   period,   such   conclusion   cannot  be 

drawn. The Labour Court, therefore, cannot be faulted for holding 

that   notwithstanding   lapse   of   time,   the   dispute   still   required 

adjudication on merits.

40.Thus, in the opinion of this Court, the reliance placed by the 

Petitioner upon the aforesaid judgments does not carry the matter 

any further. The principles laid down therein are well settled, but 

their application depend always upon factual foundation of each 

case. Therefore, the Labour Court was justified in holding that the 

industrial dispute remained sufficiently live for adjudication.

41.In view of the discussion made hereinabove, the following 

order is passed:

(i)  The present Petition, being devoid of merits, stands 

dismissed;

(ii)  The Award dated 11 April 2019 passed by the learned 

2nd Labour Court, Mumbai in Reference (IDA) No. 181 of 

2013 is hereby upheld;

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(iii)  The Petitioner shall comply with the impugned Award, 

if not already complied with, within a period of eight weeks 

from the date of this order;

(v)  In the event the monetary benefits arising under the 

impugned Award have not yet been released, the same shall 

be calculated and disbursed to the legal heirs of the deceased 

workman within the aforesaid period;

(vi)  Rule is discharged in the aforesaid terms;

(vii)  In the facts and circumstances of the case, there shall 

be no order as to costs.

42.Pending interlocutory application(s), if any, stands disposed 

of.

43.At this stage, learned Advocate for the petitioner seeks stay 

of this judgment and order for a period of four weeks from today. 

However, for the reasons recorded above, the request for stay is 

rejected.

(AMIT BORKAR, J.)

24

Description

Bombay High Court Upholds Industrial Dispute Award in Significant Ruling on Worker Regularization

In a pivotal decision, the **Bombay High Court Writ Petition** No. 9089 of 2023, concerning Shabnoor Ayub Pathan versus Brihanmumbai Mahanagarpalika, has been thoroughly examined and the Labour Court’s award upheld. This ruling, now a key reference on CaseOn, delves into critical aspects of worker rights under the **Industrial Disputes Act** and the nuances of employee regularization. Legal professionals and students frequently consult CaseOn for comprehensive analyses of such landmark judgments, understanding their implications on employment law and administrative fairness.

The case revolved around a deceased workman, Mr. Zamir Abdul Sattar Shaikh, who sought reinstatement, permanency, and back wages from the Brihanmumbai Mahanagarpalika (BMC), his former employer. The BMC challenged the Labour Court’s award, primarily citing delay in raising the dispute, lack of continuous service, and the workman's temporary 'Badli' (substitute) status.

Understanding the Case: An IRAC Analysis

Issue:

  1. Was the Labour Court justified in entertaining an industrial dispute filed nearly ten years after the alleged termination?
  2. Did the deceased workman complete the requisite 240 days of continuous service to avail protection under the Industrial Disputes Act, 1947?
  3. Could the Labour Court direct regularization/permanency given the workman's status and the employer's actions regarding similarly situated employees?
  4. Was the grant of full back wages appropriate despite the delay in raising the dispute?

Rule: Legal Principles Applied by the Court

The High Court relied on several established legal principles, particularly:

  • Delay and Laches: While stale disputes generally shouldn't be referred (referencing Nedungadi Bank Ltd. v. K.P. Madhavankutty), delay alone doesn't extinguish a dispute if the workman consistently pursued remedies. Unexplained delay can, however, disentitle full back wages (Krishi Utpadan Mandi Samiti v. Ved Ram).
  • Continuous Service: Completion of 240 days of continuous service is a statutory prerequisite for protection under the Industrial Disputes Act, 1947 (Mohd. Ali v. State of H.P.).
  • Regularization and Discriminatory Treatment: Citing ONGC v. Krishan Gopal (2021) 18 SCC 707, the Court reiterated a dual proposition: mere long service doesn't automatically grant permanency, and regularization requires sanctioned posts, qualifications, and proper recruitment. However, if an employer *itself* has regularized other similarly placed employees, denying the same benefit to another worker without a lawful distinction amounts to arbitrary and discriminatory conduct, which Labour Courts can rectify to ensure parity, not create new rights.

Analysis: The Court's Reasoning

The Bombay High Court meticulously analyzed the facts and the Labour Court’s findings:

Addressing the Delay

The Court acknowledged the ten-year gap but found that the deceased workman had actively and continuously pursued his grievance. He made repeated representations to various authorities, filed two Writ Petitions before the High Court, and only after being granted liberty by the High Court did he formally raise the industrial dispute. The Court noted that the BMC itself issued a termination letter in December 2007 (for alleged absence from June 2003), suggesting the employment relationship was still considered active and not abandoned. This consistent pursuit of justice prevented the dispute from becoming 'stale or dead' in the eyes of the law.

Evidence of Continuous Service

While acknowledging that wage slips primarily show payment for work done, the Court emphasized that when read with other documents like the identity card (which stated his appointment date as July 1997 and last working date as June 2003) and correspondence, there was sufficient basis for the Labour Court to infer substantial service. The Court found evidentiary value in the identity card as an official document from the employer. The employer's admission of giving 'artificial breaks' to the workman further supported the claim of continuous service.

Discrimination in Regularization

This was a critical point of the judgment. The deceased workman's name appeared in a proposed list for absorption into permanent service alongside 15 other employees who were subsequently regularized. The High Court, applying the second part of the ONGC v. Krishan Gopal principle, reasoned that once the employer considered the workman for regularization and extended this benefit to others in the same category without valid distinction, denying it to the deceased workman was discriminatory and an arbitrary exercise of power. The Labour Court was therefore justified in enforcing parity rather than creating a new right.

For legal professionals navigating these complex rulings, especially those involving the **Industrial Disputes Act**, CaseOn.in offers invaluable support. Our 2-minute audio briefs provide concise yet comprehensive summaries, enabling quick analysis of specific judgments and their legal ramifications, like this important ruling on regularization and delay.

Back Wages Justification

Given the workman’s diligent efforts to seek redressal through multiple forums and the finding that the dispute remained live, the High Court implicitly endorsed the Labour Court's decision to grant full back wages. The delay was deemed 'explained' by the ongoing legal and administrative battles.

Conclusion: Upholding Worker Rights

The Bombay High Court dismissed the Writ Petition, thereby upholding the Labour Court’s award. It affirmed that a workman's persistent efforts to seek justice can overcome arguments of delay, especially when the employer's own actions suggest an ongoing employment relationship. Most importantly, the judgment reinforces the principle that employers cannot arbitrarily deny regularization to one employee when similarly situated colleagues have been granted permanency without a legally sound reason.

Why This Judgment is an Important Read for Lawyers and Students

This judgment serves as a vital precedent for several reasons:

  • Diligent Pursuit vs. Delay: It clarifies that mere passage of time does not automatically invalidate an industrial dispute if the workman has been actively pursuing their rights through various administrative and legal channels. This offers hope and guidance for workmen in similar situations.
  • Evidentiary Value of Employer Documents: The emphasis on documents like identity cards and the employer's own communications (e.g., termination letters issued years after alleged absence) highlights their significance as corroborative evidence in establishing continuous service and an ongoing employment relationship.
  • Anti-Discrimination in Regularization: The application of the ONGC v. Krishan Gopal principle regarding discriminatory regularization is crucial. It empowers courts to ensure fairness when employers grant permanency to some but not all similarly placed employees from a common list.
  • Scope of Appellate Review: The High Court's stance on limited interference in Labour Court findings (unless perverse or without evidence) reinforces the sanctity of factual determinations by specialized tribunals.

This case is a must-read for employment lawyers, labor law practitioners, and law students studying the Industrial Disputes Act, offering deep insights into the interpretation of continuous service, the impact of delay, and the critical issue of fair regularization practices.

Disclaimer

Please note that all information provided in this article is for informational purposes only and does not constitute legal advice. While efforts have been made to ensure accuracy, the content should not be relied upon as a substitute for professional legal counsel. For specific legal issues, it is essential to consult with a qualified legal professional.

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