Madras High Court (MHC) 
Chennai

Madras HC upholds reinstatement of private firm's staff due to lack of proof

The management had approached the High Court seeking to quash the order passed by the Labour Court, Hosur, which had set aside the termination and directed the reinstatement of T Rajeswari with continuity of service

DTNEXT Bureau

CHENNAI: The Madras High Court has dismissed a writ petition filed by Meadow Rural Enterprises Private Ltd, challenging a Labour Court order that reinstated a woman worker with 25 per cent back wages, holding that disciplinary proceedings were vitiated by vague charges and lack of proof.

The management had approached the High Court seeking to quash the order passed by the Labour Court, Hosur, which had set aside the termination and directed the reinstatement of T Rajeswari with continuity of service. It contended that the employee had indulged in anti-management activities, created unrest among co-workers and that the organisation had lost confidence in her.

Justice D Bharatha Chakravarthy observed that neither the show-cause notice nor the charge memo specified clear instances of misconduct and that the complaints relied upon were general and identical in nature.

The court further found that the witnesses had failed to provide concrete particulars to substantiate the allegations. Holding that the enquiry suffered from vagueness and absence of credible evidence, the judge ruled that the Labour Court had rightly exercised its powers under the Industrial Disputes Act in ordering reinstatement, while limiting back wages to 25 per cent, considering the overall circumstances.

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