Gujarat High Court

Continuous service granted by Labour Court must be included when calculating ten-year eligibility for regular pay benefits.

Jitendrabhai Dahyabhai Loladiya v. State of Gujarat & Ors., R/Special Civil Application No. 885 of 2022

Gujarat High CourtJUDGMENT: no citation2 MIN READSOURCE JUDGMENT
THE ORIGINAL LAWLENS SUMMARY
01

Facts

The petitioner was engaged as a daily wager by the respondent in January 1987

Source reference: p. 3

His service was terminated in 1990, but following a reference to the Labour Court, he was reinstated on 13.08.1994 with continuity of service and 25% back wages

Source reference: p. 3, 6

Although the respondent’s own regularization order dated 10.09.2001 acknowledged his entry as January 1987, a subsequent seniority list dated 01.01.2005 erroneously recorded his appointment date as 17.05.2002

Source reference: p. 3-4

Consequently, an office order dated 15.06.2013 granted him the benefits of the Government Resolution (GR) dated 17.10.1988 only from 01.04.2010, rather than upon completion of 10 years from his initial 1987 appointment

Source reference: p. 4

The petitioner sought a direction to correct his seniority and pay arrears

Source reference: p. 2
02

Issues

1. Whether the respondent-authority erred in calculating the 10-year period for regular pay scale benefits from 2002/2010 instead of the petitioner’s initial date of entry in 1987

Source reference: p. 3 / para. 4

2. Whether the period between termination and reinstatement, where the Labour Court granted continuity of service, can be excluded for the purpose of granting benefits under GR dated 17.10.1988

Source reference: p. 6 / para. 11.1
03

Law Applied

The court applied the Government Resolution dated 17.10.1988, which entitles daily wagers to a regular pay scale and other benefits upon completion of 10 years of continuous service

Source reference: p. 6

It further applied the principle of "continuity of service" derived from the Industrial Disputes Act framework, as affirmed by the Labour Court’s award, which mandates that a workman be treated as if their service was never interrupted for the purpose of seniority and retirement benefits

Source reference: p. 6

The court also relied on the principle of parity and non-discrimination under Article 14, referencing the precedent of *Punjiben Panchanbhai Makhwana v. State of Gujarat* (SCA No. 12787 of 2012), which established that similarly situated employees must be granted benefits from their initial entry date

Source reference: p. 7
04

Reasoning

The court found that the respondent's seniority list of 2005 erroneously recorded the petitioner's entry date as 17.05.2002 without any legal basis, especially since the respondent’s own 2001 order recognized the 1987 entry

Source reference: p. 6

Since the Labour Court had specifically granted "continuity of service" in its 1995 award, the court reasoned that the period between termination and reinstatement could not be ignored when calculating the 10 years required for regularization

Source reference: p. 6

The court further observed that the working-day chart provided by the respondent was factually inconsistent, as it showed the petitioner working during a period he was purportedly terminated

Source reference: p. 7

By comparing the petitioner to the case of *Punjiben Makhwana*, the court determined that the petitioner was entitled to the benefit of the regular pay scale exactly 10 years after his initial 1987 appointment

Source reference: p. 7-8
05

Holding

The court allowed the petition and quashed the impugned order dated 15.06.2013

It held that the petitioner must be treated as a regular employee from January 1997 (10 years post-initial appointment in January 1987)

Source reference: p. 8

The respondents were directed to recalculate his pay, correct the seniority list, and pay all consequential benefits and salary arrears by 30.04.2026, failing which a 6% interest per annum would apply from 01.05.2026 until realization

Source reference: p. 8-9
Gujarat High Court

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Jitendrabhai Dahyabhai Loladiya v. State of Gujarat & Ors., R/Special Civil Application No. 885 of 2022

Gujarat High Court · no citation

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