UNION OF INDIA vs. AVTAR CHAND

Case Type: Civil Appeal

Date of Judgment: 19-02-2019

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REPORTABLE IN THE SUPREME COURT OF INDIA CIVIL APPELLATE JURISDICTION CIVIL APPEAL Nos.3416­3445 OF 2010 Union of India & Anr.     ….Appellant(s) VERSUS Avtar Chand Etc. Etc.       ….Respondent(s)                   J U D G M E N T Abhay Manohar Sapre, J. 1. These   appeals   are   directed   against   the   final judgment and order dated 01.03.2007 passed by the High  Court of Punjab &  Haryana at  Chandigarh in Writ   Petition   Nos.   3126,   3128,   3129,   3130,   3132, 3133­3145,   3148­3151   and   3153­3161   of   2007 whereby the High Court dismissed the writ petitions filed by the appellants herein. Signature Not Verified Digitally signed by ANITA MALHOTRA Date: 2019.02.19 17:09:41 IST Reason: 1 2. A f ew facts need mention  infra  for the disposal of these appeals which involve a short point. 3. The   appellant   No.1   is   the   Union   of   India (Commander,   Western   Base   Workshop,   General Reserve Engineers Force at Pathankot) and respondent No.2 is its official (Chief Engineer(Project), Sampark, P.O. Gangyal, Jammu) whereas the respondents are the workers. 4. The respondents, who were the skilled workers, worked with the appellant No.1’s workshop (GREF) at Pathankot   for   the   period   from   01.03.2001   to 30.06.2004.   The   respondents,   however,   raised   a grievance that during the said period, they were paid less wages than the minimum wages fixed for their category   of  employment  under   the  Minimum   Wages Act, 1948 (for short called, “the Act”) and which were legally payable to them. 2 5. In   other   words,   their   grievance   was   that   the appellants did not pay to them the minimum wages prescribed under the Act to which they were legally entitled but were paid less than the minimum wages. The respondents, therefore, claimed the difference of what was paid to them and what were legally payable to them under the Act by the appellants. According to the respondents, each worker was, therefore, entitled to  claim  a  sum   of  Rs.49,804/­  from   the  appellants being the difference in the wages. 6. Since the appellants did not pay the difference of amount claimed by each respondent, the respondents filed applications (Claim Application No.552/2004 & others connected matters) under Section 20(3) of the Act before the Specified Authority, Chandigarh. 3 7.   By order dated 01.11.2006 (Annexure­P­2), the Specified   Authority   allowed   the   applications   and directed the appellants to pay to each respondent a sum   of     Rs.49,804/­     towards   the   claim   plus Rs.99,608/­  towards the compensation (200% of the claim) = Total ­ Rs.1,49,412/­.  8. The appellants felt aggrieved and filed the writ petitions in the High Court of Punjab  & Haryana  at Chandigarh   out   of   which   these   appeals   arise.   By impugned  order, the  High Court dismissed the writ petitions   and   affirmed   the   order   of   the   Specified Authority giving rise to filing of the present appeals by way of special leave in this Court. 9. So,   the   short   question,   which   arises   for consideration in these appeals, is whether the High Court was justified in dismissing the appellants’ writ petitions. 4 10.     Heard   Mr.   Ajit   Kumar   Sinha,   learned   senior counsel for the appellants and Mr. Binay Kumar Das, learned counsel for the respondents. 11. Mr. Ajit Kr. Sinha, learned senior counsel for the appellants while assailing the legality of the impugned order argued only one point. It was his submission that   in   an   identical   case,   the   High   Court   awarded 100%   compensation   to   similarly   placed   workers   in CWP No. 3127/2007 decided on 01.03.2007 whereas, in   the   present   case,   the   High   Court   awarded compensation   at   the   rate   of   200%   payable   to   each respondent­worker. 12.   Learned counsel urged that in the absence of any   reason   or/and   justification   for   awarding compensation at the rate of 200% in the present case, whereas awarding compensation at the rate of 100% to other   similarly   situated   workers,   the   award   of 5 compensation at the rate of 200% to each respondent in this case does not stand to any reason and hence not legally sustainable. 13. Learned counsel, therefore, urged that the High Court should have also awarded similar compensation at the rate of 100% to each respondent alike the one awarded in other case.  14. In   reply,   learned   counsel   for   the   respondents supported the impugned order and contended that no case is made out to call for any interference. 15. Having heard the learned counsel for the parties and on perusal of the record of the case including the written submissions filed on behalf of the appellants, we find substance in the submission of the learned counsel for the appellants. 16. In our considered opinion, the High Court, in the case at hand also should have awarded compensation at the rate of 100% to each respondent alike the one 6 awarded in other case (CWP No. 3127/2007 decided on 01.03.2007) which had attained finality. 17. In fact, we do not find any justification to award compensation at the rate of 200% to the respondents when in other identical case, the High Court awarded compensation at the rate of 100%  to similarly placed workers. 18. Though,   it   was   the   discretion   of   the Courts/Authority   to   award   compensation   with different percentage in every case but it was necessary to   give   reasons   in   support   of   award   of   such compensation.   It was much more so when the High Court awarded compensation at the rate of 200% to some  workers  and   awarded   at  the   rate  of   100% to other   workers   though   similarly   situated.     This necessitated   for   giving   of   reasons   as   to   why compensation was being awarded at the rate of 200% to   one   set   of   workers   as   against   the   other   set   of 7 workers at the rate of 100% when all were similarly placed.   The   High   Court   having   failed   to   give   any reason while awarding compensation at two rates, it calls for interference in these appeals. 19. In view of the foregoing discussion, we allow the appeals and modify the impugned order to the extent that each respondent­worker is held entitled to claim compensation   amount   at   the   rate   of   100%,   i.e., Rs.49,804/­ in place of 200% which was awarded by the Courts below.  20. In other words, now each respondent­worker is held entitled to receive a sum of Rs.49,804/­ (100%) towards   his   claim   plus   Rs.49,804/­   by   way   of compensation = total Rs.99,608/­. 8 21. The   appellants   are   directed   to   pay   a   sum   of Rs.99,608/­   to each respondent­worker within three months   from   the   date   of   this   order   after   proper verification.               ………...................................J. [ABHAY MANOHAR SAPRE]                                                   ....……..................................J.              [L. NAGESWARA RAO] New Delhi; February 19, 2019. 9