Disciplinary Action Under Industrial Dispute Act: What Are the Rights of a Wrongfully Terminated Employee?

Dear Sir,

I would like to inquire about the procedures that need to be followed by an employer for disciplinary action against a workman under the Industrial Dispute Act.

If the correct procedure is not adhered to before terminating a workman, what entitlement does the victimized employee have against the employer?

Regards,
Govind

It is not clear to me whether your question relates to the punishment of termination following a procedurally defective disciplinary process or to the defective procedures in the process before final orders.

Industrial Dispute Resolution

In the former case, you can raise an industrial dispute under Section 2-A(1) of the Industrial Disputes Act, 1947, before the Conciliation Officer for the area against the employer for reinstatement with back wages and all attendant benefits. In the event of conciliation failure, you can approach the Labour Court for the same relief under Section 2-A(2) of the Act.

However, in the latter case, the employee has to await the final orders of the disciplinary proceedings.

My case pertains to the first scenario where the employer has already issued a termination letter. Initially, they provided a show-cause notice to which I responded within seven days. Following my reply, they terminated me on disciplinary grounds after a lapse of two months and three days with no communication in between. However, during the period before the notice was served, they kept me under suspension and continued to pay my full salary.

Questions Regarding Termination Procedure

I have a couple of questions:

1. What is the correct procedure for termination on disciplinary grounds?
2. If it is found that the procedure was incorrect but the employer is not interested in reinstating me, what compensation would they be required to pay?

Thank you.