MP High Court: Acceptance Not Mandatory for Retrenchment Compensation Under Section 25F

MP High Court: Acceptance Not Mandatory for Retrenchment Compensation Under Section 25F

  • Case Name: Ram Das Sahu & Others v. State of Madhya Pradesh & Others

The Madhya Pradesh High Court has held that actual acceptance of retrenchment compensation is not essential for compliance with Section 25F of the Industrial Disputes Act, 1947. 

Justice Maninder Bhatti dismissed petitions by two daily wage gardeners challenging their 2008 termination, ruling that the employer complied with legal requirements by sending termination orders and compensation cheques via registered post after the workers refused them in person. 

The Court also found that permission under Section 33 had been duly obtained and upheld the termination.

This ruling reinforces Pramod Jha v. State of Bihar, affirming that a valid offer suffices for compliance, not acceptance.

Read Judgment / 9 months ago

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