Terminated on False Grounds: How to Navigate Industrial Disputes for Management Roles?

Could you please provide information on whether the Industrial Disputes Act, 1947 is applicable to the officer cadre (management) in a tower manufacturing company?

An employee who initially joined as an assistant foreman and was later promoted to the officer cadre (management) was terminated on false grounds of poor performance without fulfilling statutory compliance in 2004. The labor court canceled the case. What steps should be taken next? Please advise.

Regards,
R.K. Madan

Dear Madan,

Until and unless we know the details of the judgment of the labor court, we may not be able to comment or suggest to you. As far as the position is concerned, the Officer is not a management cadre. For entering a management cadre, three things need to be complied with, i.e.,

1. Does he have the power of sanctioning leave?
2. Is he delegating the works?
3. Does he have the power to sign the checks? If not, he is not a management cadre person.

If the management has substantiated his poor performance by creating proper records such as work allocation, obtaining updated information on the status of work, quantum of work completed, records on training, rescheduling the work schedules, time allocation to complete the works, organizing infrastructure, manpower, and support in the completion of the works, etc., and the data duly signed by the employee, then they might have submitted it to the court and the witnesses. They might have also not given any increment for the last two years and communicated the reasons behind it. If these conditions exist, then you have to accept the verdict. If not, you can challenge it in the High Court. Please note that going to the High Court is a costly and time-consuming activity, so think before proceeding.

Regards,
Kamesh

Thank you for your valuable suggestions. On the basis of leave, promotion, and recommendation only, gate pass slip sign for some of our workman labor, the court has decided that my type of work is of managerial cadre.

On the basis of two subsequent years of false letters for non-performance, no salary increment is given. The labor court decided poor performance due to no proper record; only targets set initially were recorded on the performance sheet with no review after six months and at the end of the year. Only letters were given for poor performance, with no salary increment.

I agree with your thoughts; therefore, I do not want to go to the high court. I have gone to the local collector's office citizen forum. Is it right? Please suggest if there is any new way. Please discuss.

Thanks,
R. K. Madan