1. This petition has been filed against the judgment and award passed by the Labour Court, Vadodara in Reference (LCV) No. 516/1988 dated 12.05.2003 insofar as the Labour Court awarded lump-sum compensation of Rs.51,000/- to each of the petitioner-workman in lieu of reinstatement in service with full back wages.
2. The facts in brief are that the petitioners herein were serving as Fitters / Turners in the respondent- Company. It is the case of the petitioners that when they demanded seniority and other admissible allowances from the respondents, through the Union, the respondent-Company orally terminated their services. Being aggrieved by the said action, the petitioners raised a dispute, which culminated into a reference before the Labour Court. After hearing both the sides, the Labour Court partly allowed the reference by awarding lump-sum compensation of Rs.51,000/- to each of the petitioner-workmen. Being aggrieved by the said award of granting lump-sum compensation in lieu of reinstatement and back wages, the present petition has been preferred.
3. Heard learned counsel for the respective parties.
In the impugned award, the Labour Court has recorded that both the petitioners were gainfully employed when the reference was heard. The Labour Court has also recorded that the respondent-Company has entered into out-of-Court settlement with several other employees by granting lump-sum compensation. Since both the petitioners had not rendered long years of service and earlier also such settlements were entered into by the respondent-Company, the Labour Court decided to award lump-sum compensation in lieu of reinstatement and back wages.
4. Considering the facts of the case, I am of the view that no error has been committed by the Court below by awarding lump-sum compensation. I am in complete agreement with the reasonings given by the Court below while passing the award and hence, find no reasons to entertain this petition.
5. For the foregoing reasons, the petition is dismissed. Rule is discharged. It is stated that the respondents have yet not paid the lump-sum compensation awarded by the Labour Court. If that be so, the respondents are directed to make payment of the said amount of compensation to each of the respondents along with 9% interest per annum to be computed from the date of award till the payment is made. Such payment to be made within a period of three months from today.
(K.S.JHAVERI, J.) PRAVIN