Quashed termination restores service continuity for seniority and notional pay despite denial of back wages.

The applicant, a Substitute Bunglow Peon with temporary status since 07.05.2013, was terminated on 05.05.2014

He challenged this in O.A. No. 730/2014, where the Tribunal quashed the termination on 16.04.2019, directing reinstatement without back-wages on the "no work no pay" principle

Upon reinstatement on 18.06.2019, the Respondents treated the period from 24.10.2013 to 17.06.2019 as dies non (break in service) and treated him as a new recruit for pay fixation and seniority purposes

The applicant sought regularization of that period and pay re-fixation based on his original 2013 appointment date

1. Whether the period between an illegal termination and reinstatement (where termination is quashed) can be treated as dies non or a break in service for the purpose of seniority and pay fixation

2. Whether the "no work no pay" principle applies only to back-wages or extends to the deprivation of all service benefits during the interim period

The court primarily applied the principle established in Deepali Gundu Surwase v. Kranti Junior Adhyapak Mahavidyalaya (2013) 10 SCC 324, which holds that reinstatement following the quashing of an illegal termination implies restoring the employee to the position they would have occupied but for the employer's illegal action

It further relied on its own precedent in O.A. No. 157 of 2023, affirming that while "no work no pay" precludes back-wages, the period must still be counted for notional fixation of pay, seniority, and pensionary benefits

The Tribunal reasoned that once a termination order is quashed by a court or tribunal, it is rendered a nullity in the eye of law, and the employee is deemed to have continued in service without interruption

The Respondents' attempt to treat the period as dies non was found legally unsustainable because the applicant's absence was not unauthorized but was a direct result of an illegal termination

The Tribunal distinguished between "back-wages" and "service benefits," clarifying that the denial of back-wages does not equate to a total blanking out of the service period

To restore the applicant to his rightful status, the period of absence must be regularized to ensure his seniority and pay are fixed according to his initial 2013 appointment

The Respondents were directed to regularize the said period, grant notional fixation of pay based on the initial appointment date of 07.05.2013, and count the period for all service benefits including promotion and pension

The Respondents must pass consequential orders within 60 days of receiving the judgment