Service Before Regularization Where Workman Completed 240 Days Continuous Service U/S 25B Industrial Disputes Act Qualifies For Pension: Gujarat HC

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5 April 2022 10:21 AM IST

  • Service Before Regularization Where Workman Completed 240 Days Continuous Service U/S 25B Industrial Disputes Act Qualifies For Pension: Gujarat HC

    The Gujarat High Court has held that past services of the daily-wagers where they have completed 240 days of continuous service as per Section 25B of the Industrial Disputes Act, would qualify for pension.Justice Biren Vaishnav, heavily relying on the case of Executive Engineer, Panchayat v. Samudabhai Jyotibhai Phedi, held,"for counting the period for purposes of pension, the date...

    The Gujarat High Court has held that past services of the daily-wagers where they have completed 240 days of continuous service as per Section 25B of the Industrial Disputes Act, would qualify for pension.

    Justice Biren Vaishnav, heavily relying on the case of Executive Engineer, Panchayat v. Samudabhai Jyotibhai Phedi, held,

    "for counting the period for purposes of pension, the date of initial appointment needs to be taken into consideration and for the purposes of taking initial date of appointment those years in which the petitioners have completed 240 days have to be counted for the purposes of pension."

    The Court was hearing a petition seeking the revision of pension and the payment of gratuity from the date of initial appointment of the Petitioners along with arrears and additionally release the benefits of 300 days unavailed privilege leave in favour of the Petitioners as envisaged in the Government Resolution of 1988 with interest.

    The Petitioners indicated that they had worked with the Respondents for more than three decades and pension payment orders were annexed for the purpose of counting pension from the date of regularisation.

    The Petitioner contested that the issues raised before the High Court were already settled in the Executive Engineer, Panchayat (Maa & M) Department vs. Samudabhai Jyotibhai Bhedi., 2014(4) GLR 2952 matter. Per contra, the Respondent submitted that there was no evidence to suggest that the Petitioners had completed 240 days in each year of service from the date of initial appointment till they completed 10 years of service to avail the benefits.

    The High Court referred to the decision of the Single Judge Bench in Samudabhai to hold:

    "entire past services of daily-wager which was continuous is liable to be reckoned for the purpose of pensionary benefits and for the purpose of granting pension."

    It observed that petitioners are entitled to the pensionary benefits by reckoning the entire length of service from the date of initial joining for the purposes of pension and other terminal benefits. The respondents were therefore directed to fix the pension of the petitioners by counting their services from the date of their initial joining until the date of their retirement and in doing so each year of service preceding the date of regularization in which years the petitioners have completed 240 days shall only be considered for recalculating pension.

    The retirement benefits, except leave encashment benefit shall be paid to the petitioners within a period of eight weeks, the Court said.

    "As far as entitlement of the petitioners for leave encashment is concerned, the issue is pending and is at large before the Apex Court and learned advocate for the petitioner would concede that the issue regarding leave encashment can be dealt with at a later point of time depending on the outcome of the SLP, if occasion arises," the Court noted in its order.

    Case Title: Harkishanbhai Dahyabhai Lad vs State Of Gujarat

    Case No.: C/SCA/11624/2020

    Click Here To Read/Download Order

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