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Supreme Court of India

GANGANAGAR ZILA DUGDH UTPADAK SAHKARI SANGH LTD. AND ANR.versusPRIYANKA JOSHI AND ANR.

Citation
1999 INSC 280
Decided
19 July 1999
Disposal
Appeal(s) allowed

Holding

Termination of a probationary employee for valid reasons such as unauthorised absence can be effected without a formal inquiry, and the use of 'Barkhast' or 'dismissed' does not render the order punitive.

Summary

The respondent was appointed as Assistant Manager on a one‑year probation and, after being granted leave, failed to report for duty despite notices. The employer issued a one‑sentence order dated 30 November 1994 terminating her services, using the term 'Barkhast' (dismissed). The respondent challenged the termination, arguing that an inquiry was required and that the order was punitive. The Rajasthan High Court held that the order was a dismissal that cast a stigma and allowed the appeal. The Supreme Court reversed, observing that the appointment terms permitted termination during probation for unsatisfactory service and that a reason (unauthorised absence) existed, so no inquiry was necessary. It further held that the wording 'Barkhast' or 'dismissed' in this context does not constitute punishment, and therefore the writ petition was dismissed.

Issues considered

  • Whether a probationary employee's services can be terminated without a formal inquiry.
  • Whether the use of the terms 'Barkhast' or 'dismissed' makes the termination punitive, requiring procedural safeguards.
  • Whether the termination order casts a stigma requiring the protections afforded to dismissals.

Subjects

probationterminationservice rulesdismissalinquirypunishmentemployment lawBarkhast

Judgment

A               GANGANAGAR ZILA DUGDH UTPADAK SAHKARI
                         SANGH LTD. AND ANR.
                                   v.
                       PRIY ANKA JOSHI AND ANR.

                                       JULY 19, 1999
B
                    [B.N. KIRPAL ANDS. RAJENDRA BABU, JJ.]


              Service Law :

C             Gangmul Service Rules, 1992 :

            Ganganagar Zita Dugdh Utpadak Sahkari Sangh-Assistant Manager-
      Appointment of-Put on probation for one year-Absence from duty during
      probationary period-Services terminated-Order challenged as being passed
      without an inquiry-Held, in the appointment order it was mentioned that
D     sen1ices of employee could be terminated during probationary period if
      services were unsatisfactory-When there is reason for terminating the services
      during the probationary period and the order is worded in an innocuous
      manner, such an order cannot be regarded as by way of punishment-Jn the
      order the word used was 'Barkhast'-Jn the circumstances even the use of
E     word 'dismissed' cannot be regarded as by way of punishment.

              Words and Phrases.

              'Barkhast', 'dismissed'-Effect of

p             CIVIL APPELLATE JURISDICTION : Civil Appeal No. 3887 of
      1999.

            From the Judgment and Order dated 12.1.99 of the Rajasthan High Court
      in D.B.C.S.A. No. 566of1998.

'.G           R.M. Tatia for Indra Makwana for the Appellants.

              Manu Mridul and Surya Kant for Respondents.

              The following Order of the Court was delivered :

H             Special leave granted.
                                            968
           DUGDHA UTPADAK SANGH, GANGANAGAR v. PRIY ANKA JOSHI                 969

           The respondent was employed as an Assistant Manager on 6th October,         A
     1993. She was put on probation for one year. It appears that leave was granted
    to her from 16th October, 1994 to 25th October, 1994. Thereafer, she did not
    join duty despite notices dated 7th November , 1994 and 23rd November, 1994.

          Impugned order dated 30th November, 1994 was passed which reads as
    follows:                                                                           B

                "Smt. Priyanka Joshi, Assistant Manager (Plant) is being
            BARK.HAST (dismiss) from the service of Sangh with effect from the
            afternoon today dated 30.11.94 under Gangmul Service Rules, 1992."
                                                                                       c
           The respondent filed a writ petition contending that her services could
    not be terminated without following the procedure of holding an inquiry. The
    Single Judge dismissed the writ petition holding that the impugned order did
    not cast any stigma. The respondent then filed an appeal which was allowed
    by the High Court by holding that the perusal of the impugned order showed
    that it was an order of dismissal and did cast a stigma.                           D

           In our opinion, the Division Bench of the High Court was not correct
    in the conclusion which it arrived at. It is not in dispute that when the order
    dated 30th November, 1994 was passed, the respondent was still on probation.
    The reason for passing of the said order appears to be the absence of the          E
    respondent from duty. In the order of appointment, it was clearly stipulated
    that the respondent's services could be terminated during the probationary
    period if the services were unsatisfatory. When judging the performance of
    a person ifthe services are terminated during the period of probation, obviously
    there has to be a reason for such termination. If the services are terminated
    during the probationary period without any reason whatsoever, it is possible       F
    that such an order may be impugned on the ground that it has been passed
    arbitrarily. On the other hand, when there is a reason for terminating the
    services during the probationary period and the order terminating services is
    worded in an innocuous manner, we do not see any force in the contention
    that such an order has to be regarded as by way of punishment.                     G

L         Impugned order dated 30th November, 1994 is only of one sentence
    which states that the respondent's services were being BARKHAST
    'dismissed'. The real word used there was 'Barkhast' and under the
    circumstances even the use of the word 'dismissed' cannot, in our opinion,
    be regarded as by way of punishment.                                               H
    970                     SUPREME COURT REPORTS                   [1999] 3 S.C.R.

A         For the aforesaid r:eason, the appeal is allowed. The judgment of the
    Division Bench is set aside with the result that the writ petition filed by the
    respondent in the High Court stands dismissed.

    RP.                                                           Appeal allowed.
                                                                                      -


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