Case: SR. SENIOR SUPERINTENDENT OF POST OFFICES Vs. GURSEWAK SINGH

4. The factual matrix of the case, briefly stated, is as under:4.1. On 26.06.1991, Respondent No. 1 was engaged as a Gramin Dak Sewak i.e. an Extra-Departmental Agent, to work on a part-time basis in the Postal Department at Faridkot, Punjab4.2. In 2014, Respondent No. 1 voluntarily resigned from the said part-time job. On 28.08.2014, the Department accepted the resignation, and Respondent No. 1 was discharged with immediate effect4.3. Respondent No. 1 approached the Controlling Authority-cum-Assistant Labour Commissioner, Central Jalandhar, seeking gratuity under the Payment of Gratuity Act, 1972 (herein after referred to as the 1972 Act)4.4. The Appellant – Department took the stand that Respondent No. 1 was not entitled to ex-gratia gratuity under the Gramin Dak Sewak (Conduct & Engagement) Rules, 2011 as he had voluntarily resigned from the job. The Controlling Authority-cum-Assistant Labour Commissioner, Central Jalandhar, vide Order dated 21.09.2015, allowed the claim of Respondent No. 1 and directed the Department to pay an amount of Rs. 1,06,021/- along with Interest @ 10% p.a. from 28.08.20144.5. The Department filed an Appeal u/S. 7(7) of the 1972 Act, against the Order dated 21.09.2015 before the Deputy Chief Labour Commissioner (Central) Kendriya Sadan, ChandigarhThe Appellate Authority vide Order dated 17.05.2016 dismissed the Appeal filed by the Appellant – Department, and upheld the Order dated 21.09.2015 passed by the Controlling Authority-cum-Assistant Labour Commissioner, Central Jalandhar4.6. The Department filed C.W.P. No. 11412 of 2017 before the Punjab & Haryana High Court at Chandigarh under Article 226/227 of the Constitution against the Order dated 17.05.2016The learned Single Judge vide Oder dated 23.05.2017 dismissed the Writ Petition filed by the Department relying upon earlier judgments passed by the same High Court in Senior Superintendent of Post Officers, Jalandhar Division, Jalandhar v. Darshan Ram (through LRs) & Ors. 2014 (9) SCT 120 (DB) and Senior Superintendent of Post Officers v. Smt. Sham Duiari & Ors. 2006 (3) SCT 577 4.7. The Department challenged the Order dated 23.05.2017 passed by the Single Judge by way of LPA No. 1612 of 2017 before the Punjab & Haryana High Court at ChandigarhThe division bench of the Punjab & Haryana High Court at Chandigarh on 01.12.2017, dismissed the LPAfiled by the Department on the ground that SLPs filed against the earlier judgments had been dismissed by this Court. As a consequence, the judgment of the learned Single Judge did not warrant interference4.8. The Department has filed the present Appeal to challenge the Judgment and Order dated 01.12.2017 passed by a division bench of the High Court.

Reasoning:
9.1. Section 1(3)(b) of the 1972 Act applies to every establishment within the meaning of any law for the time being in forceThis Court in State of Punjab v. Labour Court Jalandhar(1980) 1 SCC 4 has held that there is no reason for limiting the meaning of the expression law in Section 1(3)(b) of the 1972 ActThe Indian Post Office Act, 1898 would fall under the expression law in Section 1(3)(b). Consequently, the Post & Telegraphs Department would be an establishment under the 1972ActSection 2(e) of the 1972 Act, however specifically excludes persons who are governed by any Act, or Rules providing for payment of Gratuity9.4. Section 2(e) of the 1972 Act excludes persons who hold a post with the Central or State Government and are governed by any other Act or rules providing for payment of gratuityGramin Dak Sewaks are engaged as Extra Departmental Agents, a post governed by the 2011 Rules. Superintendent of Post Officers v. PK Rajamma; (1997) 3 SCC 94 See also Union of India v. Kameshwar Prasad; (1997) 11 SCC 650 These Rules have a separate provision for payment of Gratuity to the Extra Departmental Agents. A Gramin Dak Sewak is not an employee under the 1972 Act. The first issue is answered accordingly10.1. The 2011 Rules provide that Gramin Dak Sewaks are Extra-Departmental Agents, who are outside the Civil Service of the Union, and shall not claim to be at par with the Central Government Employees. The Extra- Departmental Agents are engaged by the Department of Posts & Telegraphs to cater to the postal requirements in the rural and remote areas. The system avails the services of schoolmasters, shopkeepers, landlords, and such other persons in a village who have a reasonable standard of literacy, and adequate means of livelihood, and can therefore assist the Department on a part-time basis by way of gainful avocation, to provide service to the rural communities for their postal requirementsRule 3-A(i) of the 2011 Rules provides that the Gramin Dak Sewaks shall not be required to perform duties beyond a maximum period of 5 hours a day. This shows the avocational nature of the serviceRule 6(1) of the 2011 Rules provides for payment of gratuity to Gramin Dak Sewaks. However, Rule 6(13) states that no Gratuity is payable if an Extra-Departmental Agent quits the agency on his ownThe Order was passed under Rule 6(13) permitting Respondent No. 1 to quit the services of the Gramin Dak Sewak as per his voluntary resignationAs a consequence of his resignation, Respondent No. 1 became disentitled from the payment of Gratuity under the statutory 2011 Rules applicable to Gramin Dak Sewaks. The second issue is answered accordingly.