Court Upholds Lower Courts' Decrees, Orders PSEB to Pay Arrears to Wrongfully Terminated Employee
In a significant ruling, the Punjab and Haryana High Court has dismissed an appeal by the Punjab State Electricity Board (PSEB) against a lower court judgment that declared the termination of Jagir Singh, a former ad hoc security guard, as illegal, null, and void. The court has ordered the PSEB to pay Singh's salary arrears from the date of his termination in 1989 until his retirement, along with an interest rate of 9% per annum.
The case, titled Punjab State Electricity Board v. Jagir Singh, revolved around the termination of Singh's services without the mandatory 24-hour notice as stipulated in his appointment letter and without following the principles of natural justice. The High Court, led by Mrs. Sudeepti Sharma, J., upheld the decisions of the Civil Judge (Jr. Divn.), Amritsar, and the Addl. District Judge, Amritsar, which had both found in favor of Singh.
The court emphasized that the termination order was passed in violation of the terms of the appointment letter and the principles of natural justice, making it illegal, null, and void. The judgment also highlighted that the principle of "No Work No Pay" does not apply in cases where the employee is willing to work but is prevented from doing so by the employer or due to court orders.
The litigation began in 1990, with the civil suit being decreed in Singh's favor in 1996. The appeal by PSEB was dismissed in 1999, but the matter lingered in the judicial system due to a stay order, preventing Singh from reaping the benefits of the decree for 26 years. The court expressed concern over the prolonged delay in adjudication, which deprived Singh of justice and emphasized the necessity of timely resolutions in legal disputes.
In its ruling, the court directed the PSEB to allow Singh the benefits he was entitled to and underscored that justice demanded immediate compliance without forcing Singh to pursue further legal actions. The court's decision reiterated the importance of adhering to contractual terms and the principles of natural justice in employment matters.
Bottom Line:
Termination of service without serving a notice as per terms of the appointment letter and without following principles of natural justice is illegal, null, and void. The principle of "No Work No Pay" does not apply when the employee is willing to work but is unlawfully prevented by the employer.
Statutory provision(s): Principles of natural justice, Employment termination protocols, Principle of "No Work No Pay"
Punjab State Electricity Board v. Jagir Singh, (Punjab And Haryana) : Law Finder Doc id # 2884844
