P&H: Enhances Compensation of Daily-Wage Beldar to Rs 2 Lakh, Says Reinstatement Not Automatic

punjab-haryana
⚖️ Order Date: 31 Aug 2026
Headnotes

(i) Industrial Disputes Act, 1947, Sections 25-F, 25-G and 25-H — Compensation in lieu of reinstatement — Determination of quantum — No straightjacket formula exists — Various factors like nature and mode of appointment/employment, wages received by workman at time of termination, length of service etc....

(ii) Industrial Disputes Act, 1947, Ss.25-F, 25-G and 25-H — Daily-wage workman — Quantum of compensation — Workman had worked for almost four years and was drawing wages of Rs.630 per month at the time of termination — Compensation of Rs.1,00,000 awarded by learned Single...


Facts of the Case

P&H: Enhances Compensation of Daily-Wage Beldar to Rs 2 Lakh, Says Reinstatement Not Automatic

The Punjab and Haryana High Court has enhanced the compensation payable to a former daily-wage Beldar of the Punjab Irrigation Department from Rs 1 lakh to Rs 2 lakh, while declining to order reinstatement in service.

The case was filed by Ram Sarup, who said he had been appointed in January 1986 and terminated in December 1989 without notice or retrenchment compensation. He claimed that the termination violated Sections 25-F, 25-G and 25-H of the Industrial Disputes Act, 1947, because he had completed more than 240 days of service and his juniors were allegedly retained.

The Labour Court had accepted...

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