Delhi Public School Ghaziabad Society Ordered to Pay Rs. 34.20 Lakh to Former Teacher for Contract Breach
In a significant ruling, the Punjab and Haryana High Court has ordered the Delhi Public School Ghaziabad Society to compensate a former teacher, Pawan Kumar, with Rs. 34.20 lakh for wrongful termination. The court found that Kumar's termination violated the terms of his service contract, as he was not provided the mandatory three months' notice or salary in lieu thereof.
The judgment, delivered by Justice Tribhuvan Dahiya, addressed the appeal filed by the Delhi Public School Ghaziabad Society against the decision of the Educational Tribunal, Gurugram. The Tribunal had previously ordered the reinstatement of Kumar, which was challenged by the school society.
Kumar, who served as a Trained Graduate Teacher (TGT) in Mathematics, was terminated after more than 24 years of service without the contractual notice or salary. Despite receiving a full and final settlement after much delay, the court held that the declaration he signed at the time could not bar him from challenging the termination.
The court emphasized that in cases of wrongful termination in private institutions not governed by statutory mandates, specific enforcement of service contracts is not viable. Instead, compensation is deemed the appropriate remedy. Drawing from precedents, the court calculated the compensation based on five years' salary and allowances, considering the aggravating and mitigating circumstances of the case.
The judgment also highlighted that Kumar was made to sign a declaration under the dominant influence of the employer, which could not be used against him in asserting his rights. The court awarded interest on the compensation amount for any delay in payment, underscoring the principle of fairness in employer-employee relationships.
This ruling reinforces the legal standpoint that private educational institutions cannot evade contractual obligations, and wrongful termination must be addressed through adequate compensation.
Bottom Line:
Compensation in lieu of reinstatement can be awarded in cases of wrongful termination of service contracts in private institutions, instead of specific enforcement of contracts of service.
Statutory provision(s): Employment Law, Master-Servant Relationship, Contract Law, Principles of Wrongful Termination, Compensation Assessment.
