BAREILLY HOLDINGS LTD. versus THEIR WORKMEN

BAREILLY HOLDINGS LTD. versus THEIR WORKMEN

The employer cannot deduct half wages corresponding to sickness benefit under the E.S.I. Act for periods where the workman has not actually availed such benefit; deduction is permissible only if the workman has received a cash benefit for such period under the E.S.I. scheme.

Parties
Appellant: Bareilly Holdings Ltd.; Respondent: Their Workmen
Jurisdiction
India
Judgment Date
16 February 1979
Procedural Posture
Civil Appeal / Appeal by Special Leave
Outcome
Appeal dismissed
Legal Topics
Sick Leave Wages, Employees State Insurance Act, Benefit Deduction, Industrial Tribunal Jurisdiction, Conditions of Service
Labour Law Industrial Law Social Security Sick Leave Wages Employees State Insurance Act Benefit Deduction Industrial Tribunal Jurisdiction Conditions of Service

Case Brief

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Parties

Bareilly Holdings Ltd.

Appellant

Their Workmen

Respondent

Procedural Posture

Civil Appeal / Appeal by Special Leave

Legal Issues

  1. 1 Whether the action of the employers in deducting half wages corresponding to the sickness benefit to which workmen are entitled under the E.S.I. Act in the event of the workmen not availing the services of the E.S.I. scheme is legal and/or justified
  2. 2 If not, to what relief are the workmen entitled and with what details

Ratio Decidendi

The employer cannot deduct half wages corresponding to sickness benefit under the E.S.I. Act for periods where the workman has not actually availed such benefit; deduction is permissible only if the workman has received a cash benefit for such period under the E.S.I. scheme.

Court Disposition

Appeal dismissed

Orders

  • Award of the Industrial Tribunal confirmed
  • Appellant to pay costs