Place of employment would determine the territorial jurisdiction of labour court: Delhi HC

Place of employment would determine the territorial jurisdiction of labour court: Delhi HC

Delhi High Court in J Balaji vs. The Hindu New Delhi & Anr. [Letters Patent Appeal No. 640/2022]on August 29, 2023 while noting that the employee was employed in Chennai when his services were terminated and the termination order was also issued in Chennai, held that the cause of action for challenging the termination order arose entirely in Chennai and Delhi Courts have no territorial jurisdiction in the said case. The Court further stated that merely because employer has a full-fledged office in Delhi or that employee was posted in Delhi immediately before his transfer to Chennai, would not confer territorial jurisdiction on the Delhi Courts. The Court finally concluded that though the Industrial Disputes Act, 1947 does not make any reference to the aspect of territorial jurisdiction, however, the situs of the place of employment of a workman would be a determinative factor in conferring territorial jurisdiction upon a labour court for deciding a labour dispute raised by a workman.

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