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Justice after 34 years: Supreme Court restores back wages for hotel worker who died waiting for verdict

A bench of Justices Manoj Misra and Ujjal Bhuyan was hearing the plea filed through the legal representatives of the employee challenging the order setting aside 50% back wages awarded to him.

3 min readNew DelhiUpdated: Dec 31, 2025 09:29 AM IST

Supreme Court held that doing odd jobs to survive cannot be a ground to deny back wages particularly when termination of his service is by way of punishment.

Justice after 34 years: Over three decades after a hotel employee was terminated on the charges of alleged misconduct, the Supreme Court has restored 50 per cent back wages awarded to him, however, unfortunately the employee could not live to see the verdict.

A bench of Justices Manoj Misra and Ujjal Bhuyan was hearing the plea filed through the legal representatives of the employee challenging the order passed by a division bench of Rajasthan High Court setting aside 50 per cent back wages awarded to him.

While setting aside the division bench’s order, the apex court observed, “Punishment, as a matter course, visits a person with stigma which hampers re-employment. In such circumstances, if the learned Single Judge of the High Court reduced the back wages entitlement to 50%, no interference was required with its order.”

Case

The case dates back to 1978, when Dinesh Chandra Sharma began working as a room attendant at a hotel. His employment was terminated in July 1991 on charges of misconduct.

Following an industrial dispute, the Labour Court found the management’s inquiry unfair. Despite being given an opportunity to prove the charges in court, the management failed to lead any evidence. Consequently, in December 2015, the Labour Court ordered Sharma’s reinstatement with full back wages.

While the single bench of the Rajasthan High Court modified the award by reducing back wages to 50 per cent, the division bench subsequently set aside even this relief holding that the employee had failed to prove whether he was not “gainfully employed” during the intervening period.

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Findings

The court noted that the requirement for a workman to plead non-gainful employment is not an “inviolable rule” and held that each case must be decided on its own facts.

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The court further observed that an affidavit on behalf of the employee stating that he was not gainfully employed in the interregnum was not refuted with any evidence in rebuttal.

“The learned Single Judge of the High Court was just and proper in the facts of the case. Reason being, the workman had served for long and a gainful employment, either in a Government Department or Public Sector Undertaking, is not possible if one crosses the age bar,” the court noted.

The court held that doing odd jobs to survive cannot be a ground to deny back wages particularly when termination of his service is by way of punishment.

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“No doubt, a person may do odd jobs to survive but that cannot be a ground to deny back wages particularly when termination of his service is by way of punishment. Because punishment, as a matter course, visits a person with stigma which hampers re-employment,” the court held.

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The court therefore allowed the appeal and set aside the division bench’s order while restoring the single bench’s directions.

Ashish Shaji

Ashish Shaji is a Senior Sub-Editor at The Indian Express, where he specializes in legal journalism. Combining a formal education in law with years of editorial experience, Ashish provides authoritative coverage and nuanced analysis of court developments and landmark judicial decisions for a national audience. Expertise Legal Core Competency: Ashish is a law graduate (BA LLB) from IME Law College, CCSU. This academic foundation allows him to move beyond surface-level reporting, offering readers a deep-dive into the technicalities of statutes, case law, and legal precedents. Specialized Legal Reporting: His work at The Indian Express focuses on translating the often-dense proceedings of India's top courts into clear, actionable news. His expertise includes: Judicial Analysis: Breaking down complex orders from the Supreme Court and various High Courts. Legal Developments: Monitoring legislative changes and their practical implications for the public and the legal fraternity. Industry Experience: With over 5 years in the field, Ashish has contributed to several niche legal and professional platforms, honing his ability to communicate complex information. His previous experience includes: Lawsikho: Gaining insights into legal education and practical law. Verdictum: Focusing on high-quality legal news and court updates. Enterslice: Working at the intersection of legal, financial, and advisory services. ... Read More