B.C. Saksena, J. - (1.) This writ petition is directed against an award dated 15th of May, 1991, passed by the Labour Court in Adjudication Case No. 148 of 1989. By the impugned Award Labour Court had granted the relief of reinstatement to Sirish Chandra Pandey, opposite party no. 1 with back wages.
(2.) The petitioner-company has been incorporated and registered under the Companies Act. Formerly it was known as IEL Ltd. Opposite party no. 1 was appointed on a post in Grade 'B' of General Staff by an appointment letter dated 2nd of December, 1969. In the year 1986-87 the petitioner-Company considered the administrative requirement as well as desire on the part of the employees to seek voluntary retirement. It was decided that the employees may be allowed to take premature retirement if they so desire. The interested employees were to offer themselves for premature retirement and on the offer being acceptable to the petitioner-Company they were given benefits as per various options available. The options included the lump sum payment or on instalments annuity payments being paid monthly. The petitioner's case further is that the amount payable under the various options was duly informed and the employees were required to opt for such option which suited him best. It is stated that about 200 employees in the Fertilizer Division have already taken the voluntary retirement.
(3.) The opposite party no. 1 after discussion with the then General Manager of the Company on 5th of February, 1987 and after understanding the total pros and cons and implications of voluntary retirement sought his voluntary retirement by his letter dated 5th May, 1987. Copy of the said letter is Annexure-2 to the writ petition and it shows that opposite party no. 1 categorically stated therein "I fully understand that consequent upon my premature retirement on 1st October, 1987 my tenure of employment with the Company shall cease." The petitioner Company informed the opposite party no. 1 by letter dated 27th May, 1987 that in terms of his letter dated 5th February, 1987 it has been decided to accept his request and as desired by him he will be paid a lump sum amount of Rs. 98,048 In the said letter it was informed "It should be understood that all payments made in terms of this letter are subject to deduction of tax at source in accordance with the provisions of the Income Tax Act as may be applicable on the relevant date. Please sign the duplicate of this letter to signify your acceptance." The opposite party no. 1 had taken the original of this letter and signed the duplicate copy on 5th of June, 1987 in token of his acceptance.;