LAWS(KAR)-2006-5-13

GENERAL MANAGER YELLAMMA COTTON WOOLLEN AND SILK MILLS Vs. REGIONAL LABOUR COMMISSIONER CENTRAL AND APPELLATE AUTHORITY

Decided On May 30, 2006
GENERAL MANAGER, YELLAMMA COTTON, WOOLLEN AND SILK MILLS, DAVANAGERE Appellant
V/S
REGIONAL LABOUR COMMISSIONER Respondents

JUDGEMENT

(1.) THE petitioner is engaged in the manufacture of cotton and polyester yarn, it is one of the units of National Textile Corporation, a Government of india undertaking. In November 1996, the petitioner had announced a Voluntary Retirement scheme (hereafter referred to as 'the VRS' for brevity) for its employees. About 250 workmen, including respondents 2 to 26 opted for the scheme. They were given all the assured benefits and retired from service.

(2.) THE said respondents 2 to 26 were all engaged as trainees, in the first instance and some were taken in Badli workmen Rolls, later and some were either confirmed or promoted or not at all. Some were even confirmed as permanent employees from trainee as detailed in the body of the petition.

(3.) AFTER a lapse of 30 months from the date of opting of VRS and having availed of all benefits without demur, had approached the assistant Labour Commissioner and controlling authority under the Payment of gratuity Act, 1972 (hereinafter referred to as 'the Authority' for brevity) alleging short payment of gratuity. The contention being that the training period was not taken into account and that the break in service for unauthorised absence ought not to have been taken into consideration, in computation and that they were entitled for gratuity as Badli even during the period when they had not completed 240 days of continuous work.