Attainment of super annuation during pendency of Lbr case

Dear all,

Could anyone please clarify that during the pendency of the case for illegal dismissal in court, if the employee attains superannuation, what would be the consequences of this on the pending case? Both the letter of appointment and the internal rules of the employer are silent on superannuation.

Please advise.

Regards,
Natraj.D

Dear Natraj,

Attainment of the predetermined age of superannuation by the employee during the normal course of his employment would result in the formal cessation of his contract of employment, entitling him to the terminal benefits. In the event of his termination at the instance of the employer for whatever reason other than dismissal on disciplinary grounds anytime before superannuation, it will not have any stigmatic impact on his career or affect his terminal benefits.

On the contrary, if such unilateral termination by the employer, including dismissal, is contested by the employee in any Court of Law, including any tribunal like that of the Labor Court, and is still pending at any stage, viz., original or appeal, his attainment of the age of superannuation during the pendency of the lis would affect the final relief to be granted, if he happens to be successful. In other words, he would be entitled to compensation that would include back wages and all attendant benefits in lieu of reinstatement up to the actual age of superannuation. Otherwise, it's needless to explain.

The only thing I will add: if your appointment letter does not mention anything about superannuation, you need to follow the state's Model Standing Orders.

Dear Mr. Nataraj D,

First of all, I would like to point out that your post is incomplete as it lacks the necessary details regarding whether your company is a factory under the Factories Act, 1948, a company registered under the Companies Act, 2013, or a shop/commercial establishment. Therefore, I kindly request you to always include all relevant details in your queries to receive an appropriate answer.

Now, addressing your question about superannuation following an employee's dismissal in a scenario where there are no specific rules either in the company policies or the employee's appointment letter. In such instances, the Hon'ble Supreme Court of India has already ruled that the retirement age should be considered as 58 years (as per the judgment in Hindustan Times v. Workmen, 1964).

Considering that the employee has been dismissed before reaching the retirement age (regardless of the circumstances), the concept of superannuation becomes less relevant, although the issue may be subject to legal proceedings. The subsequent course of action will be contingent upon the court's decision.

Chandramani Lal Srivastava Master Consultant - Service matters, IR, Contract Management & Tenders [Login to view] 9315516083 New Delhi/11.07.2022/10:13 pm