Legal Analysis on Compensation in Dismissal Case

Delve into the intricate legal analysis conducted by the court in a dismissal case involving compensation. The case examines the nuances of reinstatement and awarding compensation in lieu of reinstatement. Follow along as we uncover the court’s reasoning behind the decision and the considerations taken into account. Stay tuned for a deeper dive into the legal complexities at play.

Facts

The respondent was appointed as Clerk-cum-Cashier in Allahabad Bank on 23.09.1985.
He was suspected of involvement in a fire accident at the Bank in 1989 which led to the burning of records.
An FIR was registered and disciplinary proceedings were initiated against the respondent.
He was ultimately dismissed from service on 22.08.1991 based on his alleged involvement.
The dismissal was challenged by the respondent, leading to industrial dispute proceedings.
The departmental appeal and Mercy Appeal filed by the respondent were both rejected.
The Central Government Industrial Tribunal-cum-Labour Court, Kanpur heard the industrial dispute (No 98 of 1994).
The High Court had initially ordered reinstatement with back wages, but the Supreme Court granted interim relief against this direction.
The case was further heard by the Supreme Court on 23.08.2019.
The workman had worked for about six years and had attained superannuation before dismissal.
The High Court had issued directions for reinstatement which were later stayed by the Court.
During the proceedings, the workman attained superannuation.
The appeal is against the High Court’s order quashing the award of not reinstating the workman with back wages.
Reinstatement with full back wages is not automatic in cases of termination or dismissal.
The Industrial Tribunal ordered compensation of Rs.30,000 in lieu of reinstatement on the grounds of loss of confidence.
The High Court found that there was no acceptable evidence for dismissal.
The High Court ordered reinstatement with all consequential benefits.
The Industrial Tribunal had also ordered compensation in lieu of reinstatement due to lack of evidence of misconduct.