- 1 - HC-KAR NC: 2025:KHC-D:15531 WP No. 67613 of 2010 IN THE HIGH COURT OF KARNATAKA, AT DHARWAD DATED THIS THE 13TH DAY OF NOVEMBER, 2025 BEFORE THE HON'BLE MR JUSTICE ANANT RAMANATH HEGDE WRIT PETITION NO. 67613 OF 2010 (L-TER) BETWEEN: 1. 1A. VEERAPPA S/O. GANGAPPA JAWALI, SINCE DECEASED BY HIS LR’S., SUVARNA W/O VEERAPPA JAWALI, AGE: 53 YEARS, OCC: HOUSEHOLD WORK, R/O. HUBBALLI. 1B. SHIVANAND S/O VEERAPPA JAWALI, AGE. 34 YEARS, OCC. SERVICE, R/O. HUBBALLI. 1C. GANGADHAR S/O VEERAPPA JAWALI, AGE. 31 YEARS, OCC. SERVICE, R/O. HUBBALLI. … PETITIONERS (BY SRI. ANANT P. SAVADI, ADVOCATE) AND: THE MANAGEMENT OF LOKA-SHIKSHANA TRUST, KOPPIKAR ROAD, REP. BY ITS SECRETARY, HUBBALLI. … RESPONDENT (BY SRI. T.A. CHAVAN, ADVOCATE) THIS WRIT PETITION IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA, PRAYING TO A WRIT OR ORDER OR DIRECTION EITHER IN THE NATURE OF CERTIORARI OR IN ANY OTHER APPROPRIATE ORDER, BE ISSUED QUASHING THE AWARD PASSED BY THE PRINCIPAL LABOUR COURT, HUBLI IN REF. NO.1/2005 DATED: 18/05/2010 AT ANNEXURE-D AND DIRECT THE RESPONDENT TO PAY FULL BACK WAGES WITH OTHER BENEFITS WITH ALL CONSEQUENTIAL FRINGE BENEFITS. Digitally signed by CHANDRASHEKAR LAXMAN KATTIMANI Location: HIGH COURT OF KARNATAKA DHARWAD BENCH Date: 2025.11.19 12:20:59 +0530 - 2 - HC-KAR NC: 2025:KHC-D:15531 WP No. 67613 of 2010 THIS PETITION COMING ON FOR FURTHER HEARING, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: ORAL ORDER (PER: THE HON'BLE MR JUSTICE ANANT RAMANATH HEGDE) This petition is filed assailing the part of the award denying backwages despite the order of termination being set aside and employee was directed to be reinstated. 2. The workman who is now no more was working with respondent/employer as sweeper from 1983. The workman was removed from employment on 07.08.1990 on the charges of attempt to theft. 3. The workman raised an industrial dispute in the year 2006. The Labour Court, on considering the materials on record concluded that charges are not established and gave a clean chit and directed reinstatement by setting aside the penalty of dismissal from employment. 4. Learned counsel for the petitioners would submit that since the workman is given a clean chit, the award passed by the Labour Court denying backwages is without any justification. Learned counsel would refer to the judgment of the Apex Court in - 3 - HC-KAR NC: 2025:KHC-D:15531 WP No. 67613 of 2010 Deepali Gundu Surwase vs Kranti Junior Adhyapak Mahavidyalaya & Ors.1 to contend that in case the workman is found to be not guilty, the benefit of payment of backwages consequent to an award of setting aside penalty of dismissal should be automatic, and only in exceptional cases, backwages can be denied and no exceptional case is made out by the respondent/employer to deny the backwages. 5. Learned counsel for the respondent would submit that the workman had not made a claim that he is not gainfully employed after he was removed from employment. In the cross examination workman has admitted that immediately after the dismissal from employment he was selling certain articles as street vendor and he had an income of Rs.30 - Rs.50 per day, as such the contention relating to backwages is not available. 6. The Court has considered the contentions raised at the Bar and perused the records. 1 2013 (10) SCC 324 - 4 - HC-KAR NC: 2025:KHC-D:15531 WP No. 67613 of 2010 7. The finding of the Labour Court that the workman is not guilty has attained finality as the employer’s challenge to the award has failed as the writ petition is dismissed. 8. The Labour Court has directed reinstatement and also granted continuity of service however, backwages is denied. The Labour Court has denied bank wages on two grounds: (a) Workman has not pleaded that he is not gainfully employed; (b) Workman has admitted in the cross-examination that he is earning Rs.30 - Rs.50 per day. 9. The learned counsel for the respondent would submit that when workman was removed from employment in the year 1990, he was earning around Rs.1,400/- per month as salary. Thus, it is his contention income of that Rs.30/- to Rs.50/- per day, admitted by the workman would translate into a figure which is almost same as the salary earned by the workman, as such, workman is not entitled to backwages. 10. It is relevant to notice that Rs.1,400/- per month salary paid to the workman was in the year 1990. The admission - 5 - HC-KAR NC: 2025:KHC-D:15531 WP No. 67613 of 2010 in the cross-examination is when the workman was cross- examined in the year 2010. The cross examination is not specific as to in which year the workman was earning Rs.30/- to Rs.50/- per day. Since the cross-examination was held in the year 2010, the Court would assume that the statement made by the workman that he had an income of Rs.30/- to Rs.50/- per day is for the year 2010. 11. In that view of the matter, the contention that the workman was gainfully employed cannot be accepted. It is true that the workman had some income and that income cannot be equated with gainful employment. Since, the petitioner had to sustain himself and his family he had to earn something. Thus, in case he was earning Rs 30-40 a day in 2010 as a street vendor said earning cannot come in the way of denying backwages. 12. It is noticed that the employer had also filed a Writ Petition challenging the award and said Writ Petition No.65781/2010 was dismissed on merits in the year 2024 and the operation of the award was stayed in the said proceeding. - 6 - HC-KAR NC: 2025:KHC-D:15531 WP No. 67613 of 2010 13. In these circumstances, the petitioner was not reinstated. Admittedly, Section 17B wages were not paid to the workman. 14. It is also required to be noticed that though the workman was removed from employment in the year 1990, he raised a dispute in the year 1999 i.e. after 9 years. No proper explanation is forthcoming from the workman as to what made him to raise a dispute in the year 1999, nine years after the removal from employment and not within a reasonable period. 15. Under these circumstances, to balance the equity, the Court is of the view that the workman is entitled to 50% of the backwages, and not 100% backwages which he would have otherwise been entitled had he raised a dispute within a reasonable period. 16. Hence the following: ORDER i. Writ Petition is allowed-in-part. - 7 - HC-KAR NC: 2025:KHC-D:15531 WP No. 67613 of 2010 ii. The amount due in terms of this order and the award payable to the petitioner shall be paid within 45 days from today. iii. Failing to comply the order, the employer is liable to pay interest @ 7% per annum on the amount due, from the date of superannuation or from the date of death, whichever is earlier, till the date of payment. Sd/- (ANANT RAMANATH HEGDE) JUDGE BRN CT:BCK LIST NO.: 2 SL NO.: 4