Disposed

Rajapandian.P v. the Fertilisers and Chemicals Travancore Ltd.

Kerala HC10 Apr 2018WP(C)/10845/2018

Case brief

AI extract

What is this about?

The court directed a public sector employer to process terminal benefits, including leave adjustment and lump-sum payments, for an employee transferring to another public enterprise within two months, citing statutory and administrative provisions.

What did the court decide?

Direction to the 1st respondent to consider representations Exts.P4 and P5 regarding terminal benefits and leave adjustment in compliance with Office Memoranda Exts.P11 & P12 and Sections 79 and 80 of

Rajapandian.P Vs the Fertilisers and… — Pension and Retirement Benefits | Kerala HC (2018)

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IN THE HIGH COURT OF KERALA AT ERNAKULAM

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PRESENT:

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THE HONOURABLE SMT. JUSTICE P.V.ASHA

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TUESDAY, THE 10TH DAY OF APRIL 2018 / 20TH CHAITHRA, 1940

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WP(C).No. 10845 of 2018

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PETITIONER:

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RAJAPANDIAN.P, S/O LATE PERUMAL, 27, NADU STREET,THENKALAM, THIRUNELVELI, TAMIL NADU-627 357 PRESENTLY RESIDING AT PLOT NO.101,SIVANIVAS, THALAMPOO STREET, POOMPOZHIL NAGAR, AVADI, CHENNAI-600 054.

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BY ADV.SRI.M.P.PRAKASH

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RESPONDENT(S):

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1. THE FERTILISERS AND CHEMICALS TRAVANCORE LTD, REPRESENTED BY ITS CHAIRMAN AND MANAGING DIRECTOR, UDYOGAMANDAL, KOCHI-683 501.

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2. THE CHAIRMAN AND MANAGING DIRECTOR, FACT LTD., UDYOGAMANDAL, KOCHI-683 501.

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3. THE CHIEF MANAGER (HR), FACT LTD., UDYOGAMANDAL, KOCHI-683 501.

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4. UNION OF INDIA, REPRESENTED BY IT'S SECRETARY, MINISTRY OF FINANCE, BUREAU OF PUBLIC ENTERPRISE, NEW DELHI-110 001.

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R1 TO R3 BY SRI.M.GOPIKRISHNAN NAMBIAR,SC R4 BY SRI.N.NAGARESH, ASSISTANT SOLICITOR GENERAL OF INDIA SRI.RAJAGOPALAN.A., CGC

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THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 10-04-2018, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:

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sts

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12/4/2018

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WP(C).No. 10845 of 2018 (E)

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APPENDIX

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PETITIONER(S)' EXHIBITS

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EXHIBIT P1:	A TRUE COPY OF THE CONFIRMATION LETTER DATED 7.6.2011.
EXHIBIT P2:	A TRUE COPY OF INTIMATION DATED 7.2.2017.
EXHIBIT P3:	A TRUE COPY OF THE NOC AND EXPERIENCE CERTIFICATE DATED 13.6.2017.
EXHIBIT P4:	A TRUE COPY OF THE TECHNICAL RESIGNATION DATED 19.8.2017.
EXHIBIT P5:	A TRUE COPY OF THE REPRESENTATION DATED 21.8.2017.
EXHIBIT P6:	A TRUE COPY OF FINAL SETTLEMENT OF ACCOUNTS DATED 18.9.2017.
EXHIBIT P7:	A TRUE COPY OF THE RELIEVING ORDER DATED 18.9.2017.
EXHIBIT P8:	A TRUE COPY OF THE SERVICE CERTIFICATE 18.9.2017.
EXHIBIT P9:	A TRUE COPY OF THE SALARY STATEMENT FOR THE MONTH OF SEPTEMBER, 2017.
EXHIBIT P10:	A TRUE COPY OF THE REMINDER LETTER DATED 20.11.2017.
EXHIBIT P11:	A TRUE COPY OF THE OM DATED 14.12.1982 ISSUED BY THE 4TH RESPONDENT.
EXHIBIT P12:	A TRUE COPY OF THE OM DATED 25.7.1985 ISSUED BY THE 4TH RESPONDENT.

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RESPONDENT'S EXHIBITS: NIL

/TRUE COPY/

P.S.TO JUDGE

sts 12/4/2018

P.V.ASHA, J.

W.P(C) No.10845 of 2018-E

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Dated this the 10^th day of April, 2018

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JUDGMENT

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The petitioner, who was working as a Process Technician under the 1^st respondent, submitted an application for appointment as Junior Engineer in Chennai Petroleum Corporation Ltd after getting no objection from the 1^st respondent. The petitioner joined the 1^st respondent on 10.04.2008. On getting selected and appointed in the new company the petitioner submitted his resignation which was accepted as per Ext.P7 order and he was relieved w.e.f 18.9.2017. From the service certificate it is seen that the petitioner was drawing pay in the scale of Rs.9,250- 32,000 with basic pay of Rs.11,770/-. Even before relieving, the petitioner had submitted Ext.P4 representation while tendering his resignation requesting to process all applicable terminal benefits due to him including P.F, Gratuity, Leave, etc. as per admissible rules for the service rendered by him under the 1^st respondent and to transfer

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W.P(C) No.10845 of 2018-E

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the same to new company – the CPCL Chennai, at the earliest.

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By Ext.P5 representation also he reminded his request to adjust the notice period from the balance privilege in his account accumulated in his service under the 1^st respondent. While relieving the petitioner and settling his accounts the respondents issued Ext.P9 statement, according to which the petitioner has to his credit a balance of 207.50 towards privilege leave and 76 towards medical leave. However, even after several reminders the respondents did not take any action. The petitioner has filed this writ petition in the above circumstances. The petitioner points out that as per Ext.P12 memorandum the respondents have to carry forward the earned leave to the CPCL where he joined after getting relieved from the 1^st respondent. Ext.P12 reads as follows:

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“References have been received in the Bureau seeking clarification as to whether sick leave or half pay leave could also be permitted to be carried forward in the event of a movement of any employee from one public enterprise to another public enterprise. This matter has been examined in its all aspects. It is clarified that instructions referred to in paragraph 1 of this OM are only in respect of carry forward of the earned leave or the leave on average pay as the case may be and do not cover sick leave or half pay leave which might have been accumulated by an employee in his previous organisation. The transferor organisation should, however, liquidate its liability by making a lump sum payment to the borrowing organisation in respect of leave salary for earned leave or leave on average pay standing to the credit of the public sector employee on the date of his transfer from one enterprise to another.”

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Therefore, the respondents are bound to liquidate its liability by making a

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lumpsum payment to the organisation in which the petitioner joined.

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W.P(C) No.10845 of 2018-E

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Ext.P11 O.M issued by the Government of India on 14.12.1982 is also to the same effect which directs to carry forward leave, gratuity, etc. to the new organisation. The petitioner also submits that under Sections 79 and 80 of the Factories Act, the 1^st respondent is bound to make payment of leave wages to the petitioner from the next date of the cessation of his service. The petitioner's resignation was only a technical resignation in order to take up employment in the new organisation to which he applied with the consent of the respondents.

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As the respondents have not even considered Ext.P4 representation submitted by the petitioner right from 19.08.2017 onwards, there shall be a direction to the 1^st respondent to consider his representations Exts.P4 and P5 with reference to the office memorandum Exts.P11 and P12 and also the provisions contained in Sections 79 and 80 of the Factories Act and to take a positive action, within a period of two months from the date of receipt of a copy of this judgment.

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The writ petition is disposed of accordingly.

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Sd/-

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(P.V.ASHA, JUDGE)

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rtr/

Rajapandian.P v. the Fertilisers and Chemicals Travancore Ltd.

Case brief

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Rajapandian.P v. the Fertilisers and Chemicals Travancore Ltd.

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