M/s Hema Engineering Industries Ltd vs S. Dhanasekar and Anr. Etc.

The High Court as well as the Labour Court have concluded that the respondents are to be reinstated with back wages.

However, having regard to the material on record, we do not find it appropriate to confirm the order passed by the High Court as well as by the Labour Court directing the appellant to reinstate the respondents. There is no definite finding by the Labour Court as well as by the High Court that the workers had worked for 240 days in a year.

Be that as it may, having regard to the fact that the respondents have left service in the year 2003, which normally means that they may be working elsewhere, we deem it appropriate to dispose of the appeal by directing the appellant to pay compensation of Rs.3,50,000/- (Rupees three lac fifty thousand only) to each of the respondents. The respondents are 13 in number. Therefore, the amount to be deposited by the appellant is Rs.45,50,000/- in toto out of which Rs.28,00,000/- (Rupees twenty eight lac only) has already been deposited before the Labour Court. We make it clear that the amount of Rs.28,00,000/- already deposited along with the interest accrued thereon shall be deducted while depositing Rs.45,50,000/- by the appellant. The rest of the amount shall be deposited before the Labour Court by the appellant within eight weeks from today. The total amount deposited along with the interest accrued thereon shall be disbursed in favour of the respondents equally.

The appeals are, accordingly, disposed of.