Amalorpavam Higher Secondary School vs The Union Territory Of Puducherry on 21 January, 2025

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Madras High Court

Amalorpavam Higher Secondary School vs The Union Territory Of Puducherry on 21 January, 2025

    2025:MHC:184



                                                                               W.P.No.13619 of 2024


                                  IN THE HIGH COURT OF JUDICATURE AT MADRAS

                                         Reserved on              21.10.2024
                                        Pronounced on             21.01.2025



                                                       CORAM

                                  THE HONOURABLE MS.JUSTICE R.N.MANJULA

                                            W.P.No.13619 of 2024 and
                                            W.M.P.No.14771 of 2024
                     Amalorpavam Higher Secondary School,
                     Rep. by its Principal,
                     Lourdes Campus, Vanarapet,
                     Puducherry - 605 001.
                                                                               ... Petitioner
                                                       Vs.

                     1.The Union Territory of Puducherry,
                       Rep. by the Under Secretary to Govt. (Labour),
                       Labour Department,
                       Govt. of Puducherry, Puducherry.

                     2.The Labour Officer (Conciliation),
                       Office of the Labour Officer (Conciliation),
                       15, First Floor, Nehru Nagar,
                       Puducherry 605 011.

                     3.A.John Bosco                                            ... Respondents


                     Prayer: Writ Petition is filed under Article 226 of the Constitution of


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                     India, to issue a Writ of Certiorari, to call for the records relating to the
                     Notification bearing G.O.Rt.No.47/LAB/AIL/S/2024 dated 22.04.2024,
                     on the file of the 1st respondent and quash the same.

                                        For Petitioner  : Mr.T.P.Manoharan, Senior Counsel for
                                                          Mr.T.M.Naveen
                                        For Respondents : Mr.M.Nirmal Kumar,
                                                          Govt. Advocate (Pondy) for R1 & R2
                                                          Mr.Balan Haridas, for R3

                                                           ORDER

The petitioner has filed this Writ Petition seeking issuance of a

Writ of Certiorari, to call for the records relating to the Notification

bearing G.O.Rt.No.47/LAB/AIL/S/2024 dated 22.04.2024, on the file of

the 1st respondent and quash the same.

2. Heard Mr.T.P.Manoharan, learned Senior Counsel for the

petitioner, Mr.M.Nirmal Kumar, learned Government Advocate (Pondy)

for R1 & R2 and Mr.Balan Haridas, learned counsel for R3 and perused

the materials available on record.

3. The petitioner has challenged the notification of the first

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respondent dated 22.04.2024 through which a reference has been made

by the first respondent Government in respect of the dispute raised by the

third respondent who was a driver in the petitioner School.

4. The brief facts of the case are as follows:

The petitioner is an Unaided Private Minority School recognised

under the National Commission for Minority Educational Institutions.

The third respondent was appointed as a temporary driver in the

petitioner school on 21.07.2001 and his services have been regularised

with effect from 01.07.2006. As lot of complaints have been received

from the parents of the students against the third respondent that he was

temperamental, rude, rough, discourteous and inconsiderate to children,

he was asked to handle the load carrier vehicle for transporting stationary

and other materials required for the School.

4.1. From 01.06.2015, the third respondent deliberately disobeyed

the instructions of the School and refused to drive the Tata Ace Van

assigned to him and claimed that he should be allowed to take only

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School Bus. On 10.06.2015, he had given a letter to the petitioner school

by making unnecessary allegations and marked copies of the said letter to

the various authorities including the second respondent. The Pondicherry

School Education Act and Rules are applicable to both the petitioner and

the third respondent and hence, the petitioner School had initiated

disciplinary action against the third respondent for the misconduct

committed by him under the said Act and Rules.

4.2. The Industrial Dispute Act is not applicable to the petitioner

School and the third respondent. Based on the copy of the letter marked

to the second respondent / Labour Officer (Conciliation), he assumed

power and authority and had issued notice dated 10.02.2016 to the

petitioner School calling upon the School to participate in the

conciliation proceedings. The petitioner School had challenged the same

by way of filing a Writ Petition in W.P.No.9524 of 2016. By an order

dated 17.07.2023, this Court has directed the second respondent to

consider the reply of the petitioner School dated 13.08.2015 and pass

appropriate orders on merits. However, the second respondent once again

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issued a notice on 12.10.2023 to the petitioner School and the petitioner

had given a detailed reply on 18.11.2023 and the letter dated 21.11.2023.

But, the second respondent has proceeded with the conciliation

proceedings. So, a contempt petition was filed by the petitioner in

Cont.P.No.3059 of 2023.

4.3. In the meanwhile, the second respondent proceeded with the

conciliation and filed a failure report on 13.03.2024 to the first

respondent. The petitioner has sent a letter to the first respondent also

narrating all the facts. But without considering the same, the first

respondent has given a summary notification by referring a non-existed

industrial dispute to the Labour Court, Puducherry. Hence, the petitioner

has filed this Writ Petition challenging the above notification.

5. Mr.T.P.Manoharan, learned Senior Counsel for the petitioner

submitted that as per Section 19(1) of the Pondicherry School Education

Act, 1987, all the teachers and other persons employed in any recognised

school shall be governed by the Code of Conduct prescribed under

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Appendix – II of the Pondicherry School Education Rules, 1996. As per

the Code of Conduct found in Appendix – II of the Rules, “all the drivers

of the School shall be at the disposal of the School, co-operate with the

School and serve in all its activities at the assigned places, carry out the

works assigned to them faithfully and diligently and maintain discipline

at all times. The third respondent ought to have been co-operative in

carrying out the works assigned to him by maintaining discipline”. But

the third respondent disobeyed the instructions of the School and refused

to drive the Tate Ace Van, by demanding to engage him to drive Ashok

Leyland Mini Bus and created unnecessary problems and he remained

absent from duty unauthorisedly. So it is claimed by the petitioner that as

per Section 19(1) of the Pondicherry School Education Act and Rule 48

of the Pondicherry School Education Rules, the third respondent is liable

for disciplinary action for the misconducts committed by him.

5.1. In accordance with the procedure prescribed under Rule 54 of

the Pondicherry School Education Rules, 1996, the disciplinary authority

had initiated disciplinary action and issued charge sheet on 29.07.2015

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calling upon the third respondent to submit his explanation. The third

respondent submitted his explanation on 21.10.2015, but it was found to

be unsatisfactory. So, an Enquiry Officer was appointed in accordance

with Rule 54(1)(ii) of the Pondicherry School Education Rules, 1996

through a memorandum dated 27.02.2016. The third respondent had

actively participated in the disciplinary enquiry and it was pending.

Under such circumstances, the first respondent has issued a notification

by referring the industrial dispute to the Labour Court which is not

maintainable.

6. Mr.M.Nirmal Kumar, learned Government Advocate (Pondy) for

the respondents 1 and 2 submitted that the petitioner having participated

in the reference, cannot challenge the same by filing a Writ Petition. As

there is no lack of jurisdiction or delay and laches, no grounds are

available to the petitioner to challenge the notification issued by the first

respondent. The order passed in W.P.No.9524 of 2016, did not set aside

the reference, instead the second respondent / Conciliation Officer has

been directed to consider the reply of the petitioner School and pass

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orders. Hence, the petitioner does not have any locus to raise the legality

of the reference in this Writ Petition. During the pendency of the enquiry

under any other Act, if a reference is made by the Government under

Section 10 of the Industrial Disputes Act, pending disciplinary

proceedings cannot be continued.

7. Mr.Balan Haridas, learned counsel for the third respondent

submitted that as the two enactments viz., the Industrial Disputes Act and

the Pondicherry School Education Act comes to the benefit of the

employee, he can exercise his right under the doctrine of election. As the

third respondent thought it fit that the Industrial disputes Act is beneficial

to him, he had chosen to file an industrial dispute. As the third

respondent was terminated orally and was not allowed to work, he had

raised the industrial dispute.

8. Admittedly, in the earlier Writ Petition filed in W.P.No.9524 of

2016 the notice issued by the second respondent calling upon the

petitioner School for enquiry / conciliation was under challenge. In the

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order dated 17.07.2023, the competency of the second respondent to

make a reference with regard to the third respondent’s employment with

the petitioner has not been dealt. The order has simply directed the

second respondent to consider the reply of the petitioner and then pass

orders. Consequent to the said direction, the second respondent has made

a conciliation failure report and submitted it to the Government.

Thereafter, the first respondent Government had issued a notification for

referring the dispute to the Labour Court.

9. The petitioner School is a recognised Unaided Private Minority

School which is governed under the Pondicherry School Education Act.

According to Section 2(g) of the Act, the employee of the School covered

under the Act means “a teacher and it included every other employee

working in a recognised school”. Undoubtedly, the third respondent who

has been appointed as a driver would come under the purview of the

definition of “employee” as found under the Pondicherry School

Education Act.

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10. Section 19 of the Act would prescribe that “every teacher and

every other person employed in any recognised school shall be governed

by such Code of Conduct that may be prescribed and any teacher or

other person so employed shall be subjected to disciplinary action for

violation of the Code of Conduct”. Section 21 of the Act would state that

“any teacher or other person employed in any recognised school is

dismissed, removed or reduced in rank or whose appointment is

otherwise terminated, can prefer an Appeal against the order to such

authority or officer not below the rank of the Director of Education

(Pondy)”. The Act also contains the most important provision in Section

25 which would state that the provisions of this Act would have the

overriding effect for any other law at that time in force.

11. The Code of Conduct was given under Appendix – II of the

Pondicherry School Education Rules, 1996. The third respondent being

the employee of the School, no doubt he is subject to the Code of

Conduct found under Appendix – II r/w Rule 48 of the Pondicherry

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School Education Rules. As per the Code of Conduct, every employee

should be at the disposal of the Institution and serve the Institution in all

its activities in such places as he may be posted from time to time. The

allegation against the third respondent is that he was instructed to handle

a Carrier Van and he protested that he would handle only School Bus.

12. The third respondent who was employed as a driver, is

expected to handle any kind of vehicle of the School without insisting

that he would operate only a certain vehicle. In fact, the third respondent

himself had written letters to the petitioner School asking them to allow

him to operate the School Bus. As the petitioner was not willing to allow

the third respondent to engage himself with the School Bus, there

appeared some unwillingness on the part of the third respondent and that

had resulted in the disciplinary action initiated against him. When the

same was pending, the third respondent has sent letters to various

authorities including the second respondent.

13. According to the petitioner, the pendency of the disciplinary

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action cannot be considered as a dispute arising under the Industrial

Disputes Act unless it had culminated into an order of dismissal. Even in

the case of suffering the major penalty, the employees have got their

statutory remedy only by way of preferring a First and Second Appeal

under Sections 21 and 22 respectively of the Act. So it is claimed by the

petitioner that in view of the non obstante clause and overriding effect

assured under Section 25 of the Act, the Industrial Dispute Act cannot be

made applicable and the second respondent has exceeded his jurisdiction

in conducting the conciliation proceedings and submitted the failure

report which had culminated into the impugned order of reference before

the Labour Court.

14. However, it is claimed by the third respondent that he would

fall under the definition of workman under the Industrial Disputes Act as

well and hence, he is entitled to invoke a better remedy available to him

by choosing among multiple remedies available under more than one

statute.

15. Before adverting into the jurisdiction, it is essential to have an

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understanding about Section 10 of the Industrial Disputes Act through

which a reference is being made. As per Section 10 of the Industrial

Disputes Act, “before making any reference, the Government has to form

an opinion as to the existence of an industrial dispute or even an

apprehension about the dispute and then, pass an order in writing”. Now

a question would come whether Section 10 refers to the industrial dispute

defined under Section 2(k) or under Section 2-A.

16. No doubt Section 2-A refers about a dispute arising out of

discharge, dismissal or retrenchment of an individual and it is a latest

addition by way of an amendment to the Industrial Dispute Act by the

Amendment Act 35 of 1965 with effect from 01.12.1965. The above

amendment had enhanced the scope of the industrial dispute as inclusive

of disputes between the employer and an individual workman. But

however, a separate mechanism has been prescribed under Section 2-A

(2), irrespective of Section 10 of the Act. And the disputes are limited to

those arising out of discharge, dismissal and retrenchment of individual

workman and by prescribing a limitation of three years [(Section 2-A(3)]

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from the date of discharge, dismissal, retrenchment or termination.

17. So, a reference under Section 10 is available only to those

disputes defined under Section 2(k). The term “industrial dispute”

defined under Section 2(k) of the Industrial Dispute Act is as below:

“2(k) “industrial dispute” means any dispute or
difference between employers and employers, or between
employers and workmen, or between workmen and
workmen, which is connected with the employment or
non-employment or the terms of employment or with the
conditions of labour, of any person.”

18. From the above definition of the term “industrial dispute” seen

under Section 2(k), it can be safely concluded that it indicates and

includes only those collective difference and not one to one difference

found under Section 2-A. To make it more specific to attract a reference

under Section 10, the dispute or difference should be between, (i) the

employers and the employers, (ii) the employers and the workmen and

(iii) the workmen and workmen. Further, the scope of such disputes can

span from employment, non-employment or the terms of the

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employment.

19. So far as the dispute between an individual and the employer is

concerned, the remedy by way of raising an industrial dispute can be

availed only under Section 2-A and not under Section 2(k). The case of

the third respondent is that he has been illegally terminated and hence,

aggrieved. Such kind of individual grievance can be considered as an

industrial dispute but only under Section 2(A) of the Industrial Disputes

Act. If an individual workman is affected and wishes to raise an

industrial dispute, he can straight away file an application to the Labour

Court after expiry of 45 days from the date he has made an application to

the Conciliation Officer. In the instant case, even if the Conciliation

Officer is assumed to have the jurisdiction to decide the application of

the third respondent, it should have been treated as an individual dispute

raised by an individual workman and not a collective dispute for which

reference can be made by the Government under Section 10(1)(c) of the

Act.

20. So the very course adopted by the second respondent in

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inviting a reference from the first respondent Government under Section

10(1)(c) and 10-B itself is improper, apart from the fact of eligibility of

the third respondent to raise an industrial dispute under the Industrial

Disputes Act.

21. Even the third respondent does not contend that he cannot be

governed under the Pondicherry School Education Act and Rules, but he

claims that he has more than one remedy and hence, he opted to choose

the remedy under the Industrial Disputes Act. In this regard, it is relevant

to refer Section 25(J) of the Industrial Dispute Act which reads as under:

“25-J. Effect of laws inconsistent with this Chapter —

(1) The provisions of this Chapter shall have effect
notwithstanding anything inconsistent therewith
contained in any other law under the industrial
employment (Standing Orders) Act, 1946.

(2) For the removal of doubts, it is hereby declared
that nothing contained in this Chapter shall be deemed to
affect the provisions of any other law for the time being
in force in any State insofar as that law provides for the
settlement of industrial disputes, but the rights and

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liabilities of employers and workmen insofar as they
relate to lay-off and retrenchment shall be determined in
accordance with the provisions of this Chapter.”

22. The proviso to Section 25(J)(1) states that a workman is

entitled to get more favourable benefits available to him than the benefits

provided under the Industrial Disputes Act. It has a non obstante clause

and hence the Act will have an effect notwithstanding anything

inconsistent contained in any other law under the Industrial Employment

(Standing Orders) Act, 1946.

23. However, the sub-clause (2) of Section 25(J) would state that

the provisions of the Industrial Disputes Act shall not affect the

provisions of any other law of the State for the time being in force

insofar as that law provides for the settlement of industrial disputes. Even

in that case the rights and liabilities of the employees and workmen

relating to lay off or retrenchment can be dealt only in accordance with

the provisions of the Industrial Disputes Act.

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24. Now coming back to the Pondicherry School Education Act, it

is a self contained Act which has all the provisions for the conduct and

discipline of the employees of the School. Any employee violating the

Code of Conduct will be subjected to disciplinary proceedings and such

proceedings shall be initiated in accordance with the procedure laid

down therein. The aggrieved employee has also got avenues of appeal in

case he was punished at the end of the disciplinary proceedings. Section

25 of the Pondicherry School Education Act also has got a non obstante

clause for its application over any other Act and to have an overriding

effect.

25. A contention was raised by the third respondent that the

concept of overriding effect would occur only when there is an

inconsistency between the two provisions of two different Acts and there

is no inconsistency between the provisions of the Industrial Disputes Act

and the Pondicherry School Education Act. So it is claimed that the third

respondent can invoke a remedy under the Industrial Disputes Act also.

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26. Under the scheme of Pondicherry School Education Act,

authority has been given to the School Management to deal with its

employees whenever they violate the rules of discipline attached to their

service. The State Act came into force subsequent to the Industrial

Disputes Act.

27. As per Article 254 of the Constitution of India, when there is

an inconsistency between the laws made by the Parliament and the laws

made by the Legislation of the State in respect of any one of the matters

enumerated in the Concurrent List, the law made by the Parliament

irrespective of the matter whether it has been passed before or after the

law made by the State, shall prevail over the State law. The State law to

the extent of the repugnancy shall be void. But as per clause 2 of the

Article 254, any of the provisions of the State law in respect of the

matters enumerated in the Concurrent List has any provision repugnant

to any of the provisions of the earlier law made by the Parliament, the

law made by the State shall if it has been reserved for consideration of

the President and received his assent, later would prevail in the State.

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However, this shall not prevent Parliament from enacting at any time any

law with respect to the same matter including a law adding to, amending,

varying or repealing the law so made by the Legislature of the State.

28. In this regard, it is relevant to refer the judgment of the Hon’ble

Supreme Court held in the case of Krishna District Co-operative

Marketing Society Limited, Vijayawada Vs. N.V.Purnachandra Rao

and Others, reported in (1987) 4SCC 99. In the said judgment paragraph

Nos. 8 and 9 are extracted hereunder:

“8. We shall now proceed to consider the merits of
the contention that the State Act which is a later Act and
which has received the assent of the President should
prevail over the provisions of Chapter V-A of the Central
Act. The above contention is based on Article 254(2) of the
Constitution and the argument is that the provisions
of section 40 which deal with termination of service, in a
shop or an establishment contained in the State Act
which is enacted by the State Legislature in exercise of its
powers under Entry 22 of List III of the Seventh Schedule
to the Constitution being repugnant to the provisions
contained in Chapter V-A of the Central Act which is an
earlier law also traceable to Entry 22 of the List II1 of

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the Seventh Schedule to the Constitution should prevail
as the assent of the President has been given to the State
Act. It is true that the State Act is a later Act and it has
received the assent of the President but the question is
whether there is any such repugnancy between the two
laws as to make the provisions of the Central Act relating
to retrenchment ineffective in the State of Andhra
Pradesh. It is seen that the State Act does not contain any
express provision making the provisions relating to
retrenchment in the Central Act ineffective insofar as
Andhra Pradesh is concerned. We shall then have to
consider whether there is any implied repugnancy
between the two laws. Chapter V-A of the Central Act
which is the earlier law deals with cases arising out of
lay-off and retrenchment. Section 25J of the Central Act
deals with the effect of the provisions of Chapter V-A on
other laws inconsistent with that Chapter. Sub-section (2)
of section 25J is quite emphatic about the supremacy of the
provisions relating to the rights and liabilities arising out
of lay-off and retrenchment. These are special provisions
and they do not apply to all kinds of termination of
services. Section 40 of the State Act deals generally with
termination of service which may be the result of

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misconduct, closure, transfer of establishment etc. If
there is a conflict between the special provisions
contained in an earlier law dealing with retrenchment
and the general provisions contained in a later law
generally dealing with terminations of service, the
existence of repugnancy between the two laws cannot be
easily presumed. In Maxwell on the Interpretation of
Statutes, (12th Edn. ) at page 196 it is observed thus:

“Now if anything be certain it is this, “said the
Earl of Selborne L.C. in The Vera Cruz,
(1884) 10 App. Cas, 59 at p. 68 “that where
there are general words in a later Act capable
of reasonable and sensible application
without extending them to subjects specially
dealt with by earlier legislation, you are not
to hold that earlier and special legislation
indirectly repealed, altered, or derogated from
merely by force of such general words,
without any indication of a particular
intention to do so.” In a later case, Viscount
Haldane said: “We are bound ……. to apply a
rule of construction which has been
repeatedly laid down and is firmly

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established. It is that wherever Parliament in
an earlier statute has directed its attention to
an individual case and has made provision for
it unambiguously, there arises a presumption
that if in a subsequent statute the Legislature
lays down a general principle, that general
principle is not to be taken as meant to rip up
what the Legislature had before provided for
individually, unless an intention to do so is
specially declared. A merely general rule is
not enough even though by its terms it is
stated so widely that it would, taken by itself,
cover special cases of the kind I have referred
to.”

9. We respectfully agree with the rule of
construction expounded in the above passage. By
enacting section 25J(2) Parliament, perhaps, intended that
the rights and liabilities arising out of lay-off and
retrenchment should be uniform throughout India where
the Central Act was in force and did not wish that the
State should have their own laws inconsistent with the
Central law. If really the State Legislature intended that
it should have a law of its own regarding the rights and

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liabilities arising out of retrenchment it would have
expressly provided for it and submitted the Bill for the
assent of the President. The State Legislature has not
done so in this case. Section 40 of the State Act deals
with terminations of service generally. In the above
situation we cannot agree with the contention based
on Article 254(2) of the Constitution since it is not made
out that there is any implied repugnancy between the
Central law and the State law.”

29. But the nature of the Industrial Disputes Act which is

comprehensive and special with regard to all kind of disputes between

the employer and the workmen assumes a special status into it. Though

it is earlier in point of time, no doubt it is a special Act. The superseding

effect of the Parliament law and the State law would figure only if there

is any repugnancy between any Central or State law. Both the Acts

would fall under Entry 24 of the Concurrent List of Schedule VII. The

Pondicherry School Education Act got the assent of the President on 28th

October 1987, which is later in point of time. But the Pondicherry School

Education Act cannot be considered as a special Act which governs the

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industrial dispute and it has the characteristics of regulating and ensuring

the conduct and discipline of the employees of the school.

30. In the case of Life Insurance Corporation of India Vs. D.J.

Bahadur and others, reported in (1981) 1 SCC 315, the Supreme Court

has held that the Life Insurance Corporation could not prevail against the

continuous flow of the benefits under the Industrial Disputes Act because

the Industrial Disputes Act would prevail over the Life Insurance

Corporation Act. In the said case, the Hon’ble Supreme Court has

observed that special and general is wholly a creature of the subject and

context and may vary with situation, circumstances and angle of vision.

It is ultimately held that the regulation of condition of services including

the non-payment of bonus enjoyed by the Corporation under the Life

Insurance Act, stems out only from the very general Act and hence that

cannot substitute or supplant the Industrial Disputes Act which itself a

special legislation with regard to the disputes between the workmen and

their employers.

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31. It is observed by the Supreme Court that the legal maxim

‘generalia specialibus non derogant’ is applicable only when there is a

conflict between a special and a general statute. The Pondicherry School

Education Act is not an exclusive later act which deals with the issues of

labour dispute. It is a general act which is applicable to all those schools

in Pondicherry. But the prior enactment of the Industrial Dispute Act is a

special Act exclusively deals with the labour disputes of all establishment

falling with in its ambit and the remedies are available to all those who

have been recognised as workman under the act. The rules of

repugnancy will not apply if the earlier act happens to be a special one

and the later Act is only a general one. The task of finding out which is

special depends up on the scope of the respective acts. The same has

been analysed in detail by the Supreme Court in LIC case and those

special paragraphs of the said judgment is extracted as below:

“49. The next logical question then is as to whether
the ID Act is a general legislation pushed out of its
province because of the LIC Act, a special legislation in
relation to the Corporation employees. Immediately, we

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are confronted with the question as to whether the LIC Act
is a special legislation or a general legislation because
the legal maxim generalia specialibus non derogant is
ordinarily attracted where there is a conflict between a
special and a general statute and an argument of implied
repeal is raised. Craise states the law correctly:

“The general rule, that prior statutes are
held to be repealed by implication by subsequent
statutes if the two are repugnant, is said not to
apply if the prior enactment is special and the
subsequent enactment is general, the rule of law
being, as stated by Lord Selbourne in Mary
Seward v. Veera Cruz(3) “that where there are
general words in a later Act capable of
reasonable and sensible application without
extending them to subjects specially dealt with by
earlier legislation, you are not to hold that
earlier and special legislation indirectly
repealed, altered, or derogated from merely by
force of such general words, without any
indication of a particular intention to do so.”

“There is a well-known rule which has
application to this case, which is that a

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subsequent general Act does not affect a prior
special Act by implication. That this is the law
cannot be doubted, and the cases on the subject
will be found collected in the third edition of
Maxwell is generalia specialibus non derogant-
i.e. general provisions will not abrogate special
provisions. “When the legislature has given its
attention to a separate subject and made
provision for it, the presumption is that a
subsequent general enactment is not intended to
interfere with the special provision unless it
manifests that intention very clearly. Each
enactment must be construed in that respect
according to its own subject matter and its own
terms.”

50. The crucial question which demands an
answer before we settle the issue is as to whether the LIC
Act
is a special statute and the ID Act a general statute
so that the latter pro tanto repeals or prevails over the
earlier one. What do we mean by a special statute and, in
the scheme of the two enactments in question, which can
we regard as the special Act and which the general ? An
implied repeal is the last judicial refuge and unless

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driven to that conclusion, is rarely restored to. The
decisive point is as to whether the ID Act can be
displaced or dismissed as a general statute. If it can be
and if the LIC Act is a special statute the proposition
contended for by the appellant that the settlement
depending for its sustenance on the ID Act cannot hold
good against Sect.11 and Sec.49 of the LIC Act, read
with Reg. 58 thereunder. This exercise constrains me to
study the scheme of the two statutes in the context of the
specific controversy I am dealing with.

51. There is no doubt that the LIC Act, as its long
title suggests, is an Act to provide for the nationalisation
of life insurance business in India by transferring all
such business to a Corporation established for the
purpose and to provide for the regulation and control of
the business of the Corporation and for matters
connected therewith or incidental thereto. Its primary
purpose was to nationalise private insurance business
and to establish the Life Insurance Corporation of India.
Inevitably, the enactment spelt out the functions of the
Corporation, provided for the transfer of existing life
insurance business to the Corporation and set out in
detail how the management, finance, accounts and audit

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of the Corporation should be conducted. Incidentally,
there was provision for transfer of service of existing
employees of the insurers to the Corporation and, sub-
incidentally, their conditions of service also had to be
provided for. The power to make regulations covering all
matters of management was also vested in appropriate
authorities. It is plain and beyond dispute that so far as
nationalisation of insurance business is concerned, the
LIC Act is a special legislation, but equally indubitably,
is the inference, from a bare perusal of the subject,
scheme and sections and understanding of the anatomy
of the Act that it has nothing to do with the particular
problem of disputes between employer and employees, or
investigation and adjudication of such disputes. It does
not deal with workmen and disputes between workmen
and employers or with industrial disputes. The
Corporation has an army of employees who are not
workmen at all. For instance, the higher echelons and
other types of employees do not fall within the scope of
workmen as defined in Sec.2(s) of the ID Act. Nor is the
Corporation’s main business investigation and
adjudication of labour disputes any more than a motor
manufacturer’s chief business is spraying paints!

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52. In determining whether a statute is a special or
a general one, the focus must be on the principal subject
matter plus the particular perspective. For certain
purposes, an Act may be general and for certain other
purposes it may be special and we cannot blur
distinctions when dealing with finer points of law. In law,
we have a cosmos of relativity, not absolutes-so too in
life. The ID Act is a special statute devoted wholly to
investigation and settlement of industrial disputes which
provides definitionally for the nature of industrial
disputes coming within its ambit. It creates an
infrastructure for investigation into, solution of and
adjudication upon industrial disputes. It also provides
the necessary machinery for enforcement of awards and
settlements. From alpha to omega the ID Act has one
special mission-the resolution of industrial disputes
through specialised agencies according to specialised
procedures and with special reference to the weaker
categories of employees coming within the definition of
workmen. Therefore, with reference to industrial disputes
between employers and workmen, the ID Act is a special
statute, and the LIC Act does not speak at all with
specific reference to workmen. On the other hand, its

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powers relate to the general aspects of nationalisation,
or management when private businesses are nationalised
and a plurality of problems which, incidentally, involve
transfer of service of existing employees of insurers. The
workmen qua workmen and industrial disputes between
workmen and the employer as such, are beyond the orbit
of and have no specific, or special place in the scheme of
the LIC Act. And whenever there was a dispute between
workmen and management the ID Act mechanism was
resorted to.

53. What are we confronted with in the present
case, so that I may determine as between the two
enactments which is the special ? The only subject which
has led to this litigation and which is the bone of
contention between the parties is an industrial dispute
between the Corporation and its workmen qua workmen.
If we refuse to be obfuscated by legal abracadabra and
see plainly what is so obvious, the conclusion that flows,
in the wake of study I have made, is that vis a vis
‘industrial disputes’ at the termination of the settlement
as between the workmen and the Corporation the ID Act
is a special legislation and the LIC Act a general
legislation. Likewise, when compensation on

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nationalisation is the question, the LIC Act is the special
statute. An application of the generalia maxim as
expounded by English text-books and decisions leaves us
in no doubt that the ID Act being special law, prevails
over the LIC Act which is but general law.”

32. After making a thorough discussion on the concept of

repugnancy between the later general Act and the earlier special Act and

the resultant overriding effect, the following conclusions have been

arrived by the Supreme Court in the above Life Insurance Corporation of

India case under paragraph No.115 and it is extracted hereunder:

“115. The criteria deducible from the texts of the
three standard works just above-quoted are stated below:

(i) The legislature has the undoubted right to alter
a law already promulgated by it through subsequent
legislation.

(ii) A special law may be altered, abrogated or
repealed by a later general law through an express
provision.

(iii) A later general law will override a prior
special law if the two are so repugnant to each other that
they cannot coexist even though no express provision in

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that behalf is found in the general law.

(iv) It is only in the absence of an express
provision to the contrary and of a clear inconsistency
that a special law will remain wholly unaffected by a
later general law.”

33. The Pondicherry School Education Act regulates the matters

connecting to school education which is inclusive of Code of Conduct

that should be followed by the employees of the School. As per the Act,

the School Management has got right to initiate action against the

employees for any misconduct. It does not provide any mechanism for

settlement of a dispute between the employer and the employee, as how

the Industrial dispute Act provides.

34. Both the petitioner and the respondents have cited various

judgments in support of their respective arguments as to which of the Act

will prevail over the other in case of any inconsistency. The instant case

does not have any base on repugnancy or inconsistency. In fact both the

Acts work on different platform and entirely for different situations. In

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fact the applicability of the Industrial Dispute Act arises only after a

workman suffers a termination, which got confirmed by the Appellate

Authority. Hence all those judgements have not been taken up for

discussion, except to the extent they are necessary.

35. So far as the third respondent is concerned, he was subjected to

disciplinary proceedings and the same was pending for enquiry. Even

before the completion of the same, he has sent some applications to

various authorities including the second respondent and that was treated

by the second respondent as an application filed under Industrial

Disputes Act. The second respondent did not think for a moment whether

the disciplinary proceedings initiated against the third respondent has

been completed or not. Even when the petitioner School has submitted

its reply narrating all the incidents and also the fact that the disciplinary

proceedings against the third respondent was still pending, the second

respondent went on to conduct the conciliation proceedings as though

there is an industrial dispute and filed a failure report to the Government.

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36. The learned counsel for the third respondent cited the judgment

of the Hon’ble Supreme Court held in the case of Raj Kumar Vs. The

Director of Education and Others, reported in (2016) 6 SCC 541, in

support of his contention and submitted that the Industrial Disputes Act

would prevail over the State Act. But the above case revolves around the

retrenchment and hence, it has got no application to the facts of this case.

Despite the third respondent has got his own Conditions of Service and

Code of Conduct under the Pondicherry School Education Act, he had

straight away gone to the second respondent. Had the third respondent’s

termination was due to the retrenchment, no doubt he is entitled to raise a

dispute before the Labour Court in view of Section 25(J)(2) of the

Industrial Disputes Act. But it is not a case here. The third respondent

has raised an industrial dispute not only in a pre-matured manner and

completely deviating from the mechanism provided for individual

industrial dispute under Section 2-A of the Industrial Disputes Act.

37. Once the third respondent has chosen to subject himself to the

jurisdiction of the Enquiry Officer by filing his explanation, he ought to

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have waited for completion of the enquiry proceedings. Even without

any order of termination or any appeal preferred challenging the same,

the third respondent presumed termination and approached the second

respondent for conciliation. As the second respondent has exercised his

jurisdiction unnecessarily in a pending disciplinary action and the first

respondent has also made a reference to the Labour Court unmindful of

the individualistic and pending nature of the disciplinary proceedings,

the reference is liable to be set aside.

38. In the result, this Writ Petition is allowed and the impugned

Notification in G.O.Rt.No.47/LAB/AIL/S/2024 dated 22.04.2024 issued

by the first respondent is set aside. It is needless to add that the petitioner

is entitled to continue the disciplinary proceedings against the third

respondent from the stage where it was stalled and complete the same at

the earliest. No costs. Consequently, connected miscellaneous petition is

closed.

                     Index : Yes                                                     21.01.2025
                     Speaking
                     Neutral Citation : Yes
                     gsk



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                                                                               W.P.No.13619 of 2024


                                                                            R.N.MANJULA, J.
                                                                                              gsk
                     To

                     1.The Under Secretary to Govt. (Labour),
                       The Union Territory of Puducherry,
                       Labour Department,
                       Govt. of Puducherry, Puducherry.

                     2.The Labour Officer (Conciliation),

Office of the Labour Officer (Conciliation),
15, First Floor, Nehru Nagar,
Puducherry 605 011.

W.P.No.13619 of 2024 and
W.M.P.No.14771 of 2024

21.01.2025

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