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Supreme Court of India 2019-07-11 partly_allowed

CHIEF REGIONAL MANAGER UNITED INDIA INSURANCE COMPANY LIMITED vs SIRAJ UDDIN KHAN

Bench: 2 — Ashok Bhushan, Navin Sinha

In Brief

An employee of an insurance company was transferred in 2007 but did not join the new posting and remained absent. He was disciplined and later dismissed in 2012 after attaining superannuation. When the dismissal order was quashed by the High Court, he claimed arrears of salary. The Supreme Court held that he could not claim back wages for the period he was absent without authorization, as the principle of "no work no pay" applied. Back wages are only automatically payable when an employer's illegal action (like wrongful dismissal) restrained the employee from working. Here, the employee's own unauthorized absence was the cause, so his back wages claim was to be reconsidered by the employer.

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Labour Law Employment Law Service Discipline Back Wages Civil Procedure

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