Can an Employee Work Elsewhere While Awaiting a Legal Decision? Seeking Legal Insights

Dear All,

In the event of a legal case involving an employee where a decision is pending, is that individual permitted to work for another company? What is the legal perspective on this matter?

Regards,
Ranjeet

Dear Ranjeet, The information you have provided is inadequate. You need to tell us what type of case is going on. Is the case between an employee and whom? Is it a criminal or civil case? Who is the petitioner, and who is the respondent? What is the designation of the employee? Is the employee from government services, a PSU, or a private company? There are many questions associated with the post. Please give us the complete facts of the case. Suggestions can be given thereafter.

Thanks,

Dinesh Divekar

Below is the response to your queries:

Case Details Required

You need to tell us what type of case is going on. Is there a labor case? Who is the case between—the employee and whom? The case is between the management and the employee. Who is the petitioner and who is the respondent? The petitioner is a workman while the respondent is management. What is the designation of the employee? Does he come under the category of workmen, or what if any executive had filed any case? Is the employee from government services, a PSU, or a private company? It is a private company. If it were a PSU, what would be the next course of action?

There are many questions associated with the post. Please provide us with complete facts of the case. Suggestions can be given thereafter.

Regards,
Ranjeet

Dear Ranjeet,

Once again, you have allowed others to assume that the case concerns the non-employment of the employee pending the decision of the Labour Court, and the employee is currently employed elsewhere. In this context, "gainful employment" would refer to working under another employer during the interim period. The potential legal consequences, if the Labour Court rules in favor of the employee, could be:

- (a) The employee may not receive back wages from the date of dismissal to the date of reinstatement, if ordered in the award.

- (b) If the employer decides to appeal the award to the High Court and initially obtains a stay on its operation, the employee may not receive their last-drawn wages under Sec.17B until the appeal is resolved.

Regards,

Dear Ranjeet, This is in addition to what Mr. Umakanthan has said. If the matter is *sub judice* and if the petitioner gains employment, he could forfeit his claim for back wages. If the petitioner is a workman, the provisions of the Industrial Disputes Act, 1947 become applicable. Otherwise, it will not be a labor case but a civil case.

If the petitioner is from government services, the case will be handled by the Central Administrative Tribunal (CAT); otherwise, it will go to the labor court or civil court.

Thanks,

Dinesh Divekar

These matters deal with complex matters of law. Full facts, contracts, etc., need to be examined as stated earlier. What is the ground on which external union has intervened? With limited facts available, the answer of the learned member Shri Umakanthan.M is correct. Basic facts as I can understand - your company has a contract with X for the supply of cars and drivers. X has hired drivers from Y. There is no link/relationship between your company and Y. The right of employment with your company does not arise.

Dear Ranjeet,

Working in another company is possible, but the company's verification officers will check the employee's previous record at their previous organization. If they find any false information or learn about a legal or illegal case involving the employee, the employee may end up being blacklisted. Once an employee is blacklisted, no organization will be willing to hire them.

Regards,
Shailesh