Rama Nand Vs P.O.Labour Court etc. — Punjab & Haryana HC (2025) — LawSathi Research

Rama Nand Vs P.O.Labour Court etc. — Punjab & Haryana HC (2025) — LawSathi Research

What the court decided

AI extract

Outcome

Lump sum compensation enhanced from Rs. 15,000/- to Rs. 1,75,000/- payable to the petitioner-workman (deceased; amount to be given to his wife suffering from cancer); respondents, having no objection, to comply within 8 weeks of receipt of copy of the order; petitioner's counsel undertook to raise no further claim; pending applications, if any, disposed of.

Issue for consideration

Whether the compensation amount awarded by the Labour Court (Rs. 15,000/-) needs to be enhanced, there being no challenge to the award dated 20.05.1998 itself.

Court's answer

Since there is no challenge to the award dated 20.05.1998 (Annexure P-24) or to the award of compensation by the employer, the only question for consideration is whether the compensation amount needs enhancement.

Ratio / Principle

The Rs. 15,000/- compensation due since 1998 remained unpaid for 27 years, and interest thereon takes its present value to about Rs. 1,40,000/-; this, coupled with the death of the petitioner-workman and the fact that the amount is to be given to his wife suffering from cancer, formed the basis for enhancing the compensation.

Key takeaways

The lump sum compensation payable to the petitioner-workman was enhanced to Rs. 1,75,000/-, with counsel for the petitioner undertaking that no further claim would be raised apart from the compensation awarded by this Court.ratio¶23

Detailed headnote1 paragraphs

Punjab & Haryana High Court (Harsimran Singh Sethi, J., oral) disposed of CWP-14626-1999 (O&M) on 23.07.2025. The petition challenged a Labour Court award dated 20.05.1998 (Annexure P-24) which had upheld the termination of workman Rama Nand (appointed Helper on 03.10.1988; suspended 11.12.1990 for misconduct; last drawn wages Rs. 870/- p.m.) but, the allegations being proved yet not serious, awarded Rs. 15,000/- as lump sum compensation. With the award itself unchallenged, the sole question was enhancement of the compensation. The unpaid Rs. 15,000/- (due since 1998) with 27 years' interest came to about Rs. 1,40,000/-; considering the workman's death and that the amount was to go to his wife suffering from cancer, the Court enhanced the lump sum compensation to Rs. 1,75,000/-. Counsel for the respondents consented to pay within 8 weeks; counsel for the petitioner undertook to raise no further claim. Petition and pending applications disposed of. No statute or precedent was cited.

IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH

214

CWP-14626-1999 (O&M) Decided on :23.07.2025

RAMA NAND.

Versus

PRESIDING OFFICER, LABOUR COURT-II FARIDABAD AND ANOTHER . . . Respondents

CORAM: HON'BLE MR. JUSTICE HARSIMRAN SINGH SETHI

PRESENT: Ms. Sanchi Bindra, Advocate for Mr. Amar Vivek Aggarwal, Advocate for the petitioner.

Mr. Karan Kaushal, Advocate for Mr. Nitesh Dalal, Advocate for respondent No. 2.

HARSIMRAN SINGH SETHI , J. (Oral)

In the present petition, the challenge is to the impugned award dated 20.05.1998 (Annexure P-24), by which, though the termination of services of the petitioner-workman was held valid by the labour Court, but keeping in view the fact that the allegations levelled against him during the service period which though were proved, were not of a serious nature, a lump sum compensation of Rs.15,000/- was also awarded to the petitionerworkman.

Learned counsel for the petitioner submits that the petitioner - workman was appointed as a Helper by respondent No. 2 on 03.10.1988 and his last drawn wages were Rs. 870/- per month. Thereafter, on 11.12.1990, due to misconduct on the part of the petitioner-workman, the services of the workman were suspended and a charge-sheet was served upon him. Vide impugned order dated 20.05.1998 (Annexure P-24), though the termination of the services of the petitioner were held valid, but keeping in mind the long

RIYA 2025.07.25 17:01 I attest to the accuracy and integrity of this document

CWP-14626-1999 (O&M)

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duration of service rendered by the petitioner-workman, a compensation amount of Rs. 15,000/- had been awarded to the petitioner-workman but the said amount has not been paid to the petitioner till now. Learned counsel for the petitioner further submits that the petitioner will be satisfied in case the compensation amount is enhanced keeping in view the fact that the petitioner has continuously worked with the respondents-department for a long duration and even during the pendency of the proceedings initiated against him, but for the said period, he was not given the wages that were due to him.

Learned counsel for the respondents submits that as the termination of the services of the petitioner were held valid by the labour Court keeping in view the misconduct on the part of the petitioner, hence, the impugned order dated 20.05.1998 (Annexure P-24) is liable to be upheld. 4. I have heard learned counsel for the parties and have gone through the case file with their able assistance.

Once, there is no challenge to the award dated 20.05.1998 (Annexure P-24) and the award of compensation by the Labour Court by the employer, the only question which arises for consideration is whether there is a need to enhance the compensation amount as has been awarded keeping in view the facts and circumstances of the present case.

Keeping in view the fact that the amount of compensation to the tune of Rs. 15,000/- was required to be paid in the year 1998 itself but the same has not been paid even after a period of 27 years and interest on the said amount will take the amount of compensation as of now, to the tune of Rs. 1,40,000/- hence, keeping in view the totality of facts and circumstances coupled with the fact that the petitioner workman has died and the amount of compensation is to be given to the petitioner workman’s wife who is

RIYA 2025.07.25 17:01 I attest to the accuracy and integrity of this document

CWP-14626-1999 (O&M) -3-

suffering from cancer, the lump sum amount of compensation to the tune of Rs. 1,75,000/- be paid to the petitioner-workman. Learned counsel for the petitioner also undertakes that that no further claim will be raised by petitioner-workman apart from the compensation awarded by this Court hereinbefore.

At this stage, learned counsel for the respondents very fairly submits that as the respondents have no objection in paying the said amount in favour of of the petitioner-workman, the aforesaid order will be complied with by him within the period of 8 weeks of receipt of copy of this order.

The present petition is disposed of in the above terms.

Pending application, if any, also stands disposed of.

(HARSIMRAN SINGH SETHI) JUDGE

23.07.2025 Riya Whether speaking/reasoned: Yes /No Whether Reportable: Yes/ No

RIYA 2025.07.25 17:01 I attest to the accuracy and integrity of this document