In Brief
The Supreme Court examined whether back wages must be awarded as a matter of right when an employee's wrongful dismissal is set aside and reinstatement ordered. The Court held that back wages are not automatic; the workman must prove he was unemployed and suffered financial loss during the dismissal period. The Court may award full, partial, or no back wages based on evidence and judicial discretion. Finding that the High Court and Labour Court awarded full back wages to 37 dismissed workmen without proper application of legal principles, the Supreme Court partly allowed the appeal, reducing the award to 50% back wages."
The lawyer headnote and full judgment text are available to registered users.