Gemini Ltd. has an industrial unit employing 500 workmen but has not got the Standing Orders certified under the Industrial Employment (Standing Orders) Act, 1946. The Management initiated proceedings against one of its workmen for misconduct. The management is of the view that as there are no certified standing orders applicable to the factory establishment, it is under no obligation to follow any procedure except the principles of natural justice. State whether the view held by the management is legally valid.

Facts of the Case

Gemini Ltd., an industrial unit employing 500 workmen, has not obtained certification of its Standing Orders under the Industrial Employment (Standing Orders) Act, 1946. The management initiated disciplinary proceedings against one of its workmen for alleged misconduct. The management contends that, since certified Standing Orders are not in force, it is not legally required to follow any specific procedural rules for domestic enquiry and only needs to adhere to the general principles of natural justice.

Issues in the Case

1. Whether Gemini Ltd. is legally obliged to follow the procedures specified under the Standing Orders Act, 1946, despite non-certification.
2. Whether principles of natural justice alone suffice for disciplinary proceedings in the absence of certified standing orders.
3. The legal validity of the management’s claim that no formal procedure applies.

Legal Principles Covered to Support Case Proceedings and Judgements

• Under Section 1 and Section 4 of the Industrial Employment (Standing Orders) Act, 1946, employers with 100 or more workmen must frame and submit Standing Orders for certification.
• Section 5 requires that until certification, any model Standing Orders prescribed by the Act or the rules may apply.
• Courts have held that non-certification does not absolve an employer of following statutory norms or providing a fair domestic enquiry. Principles of natural justice are a minimum, but procedural compliance under industrial law remains mandatory.

Possible Judgement

The management’s view is not legally valid. Even without certified Standing Orders, disciplinary proceedings must follow statutory provisions and recognized procedural safeguards. A domestic enquiry conducted purely on natural justice principles may be upheld, but failure to comply with applicable model rules or statutory requirements could render the disciplinary action liable to be quashed by the Labour Court.

About Lawgnan

Certified Standing Orders are essential for clear, lawful employment procedures, especially in large industrial units. Employers cannot bypass statutory obligations merely because Standing Orders are uncertified; principles of natural justice alone are insufficient. Workmen must be aware of their rights to procedural fairness during disciplinary proceedings. For guidance on framing Standing Orders, conducting lawful domestic enquiries, or resolving employment disputes, visit lawgana.in. Access expert insights, step-by-step legal explanations, and practical solutions to ensure compliance with labour laws. Protect your rights, ensure fair treatment at work, and navigate industrial disputes effectively with trusted legal advice.