Disciplinary Enquiry Presented by Group 9 (Section A)
Akshat Sadat - H25007, Ananya Joshi - H25009, Anisha Mohanty - H25010, Disha Pruthi - H25020, Pritha Ghosh - H25040
SETTING THE PRETEXT
Disclaimer: Events portrayed here may have been exaggerated for the purpose of setting the background of the case. Any similarity to people of the
audience is wholly coincidental, and the presenting team does not mean any disrespect to any party.
what is discipline?
Discipline, is the foundation on which any well organized and established
enterprise exist. It forms the backbone of the industrial management. With
the establishment of relationship of employer and employees, certain Code
of Conduct for mutual relationship develops between employer and
employee.
Discipline connotes observance of the prescribed rules of conduct or mode
of life. It implies willingness to work and conforming to the established
rules. Obedience to lawful orders is contemplated under the
contract of service. Any violation of this code of conduct is called
Misconduct. Misconduct in an establishment entails disciplinary action. The
employers regards the right of disciplinary action critical to the
efficiency of the establishment. As misconduct is the root cause of the
disciplinary proceeding it is critical to understand misconduct.
MISCONDUCT
Where to find list of misconducts Acts of misconduct under Standing
Miconduct pertaining to ”workmen” and procedure for Orders-Whether Exhaustive
disciplinary action can be found in the certified The Standing Order of a company only describes certain
standing order of an establishment , Other Rules of cases of misconduct and the same cannot be exhaustive of
Conduct and Discipline Employees not covered by the all the species of misconduct which a workman may commit.
Certified Standing Orders, or working in establishments Even though a given conduct .may not come within the
which are not 'industrial establishments', are specific terms of misconduct described In the Standing
Order, it may be a misconduct in the special facts of a case
governed by the rules of conduct and discipline that
provided it is reasonable.
the employer has framed.
Absence of Standing Orders-Effect Misconduct Classification
In the absence of a standing order or misconduct not being Misconduct can be broadly be categorized into three categories:-
listed anywhere, the question whether a particular act is (i) Misconduct relating to work i.e. non-performance or
a misconduct would depend on the facts and circumstance of negligence of duty; absence without leave or overstaying
each case. sanctioned leave.
(ii) Misconduct relating to discipline i.e. in sub-ordination or
disobedience whether alone or in combination with others.
(iii) Misconduct relating to integrity i.e. theft, fraud or dishonesty,
giving false information misappropriation of
employers money, etc.
Disciplinary enquiry
A disciplinary enquiry is carried out, based on the principles of natural justice, whenever any employee commits any misconduct, in
order to decide the fate of their employment.
The disciplinary enquiry is carried out by the disciplinary committee of the respective establishment in relation to the matters of
misconduct of the employees. Such committee generally comprises of:
Workers Representative, such as the member of Trade Union, as specified under Rule 14 (4)(b-a) of the Industrial Employment
(Standing Orders) Central Rules, 1946.
Employers Representative, such as the head of the department where the workman was employed, and
An Independent Officer, i.e. an enquiry officer.
An internal hearing, to ascertain the guilt of the workmen of the alleged misconduct, is conducted by the administrative officer.
Domestic Enquiry is mandatory in order to dismiss an employee; however, it is not necessary for suspending him by way of
punishment.
OBJECTIVE
The aim of conducting a domestic enquiry is that the allegations so levelled against the accused
employee will be investigated. This enquiry helps to establish the truth of the matter.
Natural justice
Rules of Natural Justice is meant those basic Principles of Justice which are founded on Equity and reason and without
which no Justice can be done. It is not possible to make a complete list exhausting all the rules of Natural Justice in
brief It can be said that the Rules of Natural Justice are those rules which it is absolutely essential to Natural Justice?
Rules of Natural Justice is a matter of substance, not of form. It has been crystallised into two basic principles of Equity.
1. No one shall be a judge in his own cause (nemo judex in propria causa sua) I.e. he must not have anything like
personal interest in the case,
2. No decision shall be given against a party without affording it a reasonable hearing (audi-alterem partem).
There are many derivatives of this principle;
i. Nemo prohibetur plures negotiations sive artex exercere- No one can be prohibited from making use of several
defences,
ii. Nemo debet esse testis in sua propria causa-No one ought to be a witness in his own cause,
iii. Judcis (nostrum) est judicare secendum allegata et probate-It is the duty of a judge to determineaccording to what
us akkeged and proved.
iv. Non Referi quid notum sit judici, si noium non sit in forma judicii: No judge should import his private knowledge of
the facts into a case
v. Probandi neccassitas incumbit illi qui agit-The necessity of proving lies upon him who brings the charge
process of enquiry
Written Complaint
Preliminary Enquiry
Suspension pending enquiry (if necessary) If the situation does not warrant immediate If there is no prima facie case, drop the case
suspension, domestic enquiry process initiates
Order for Subsistence Allowance
during Suspension pending enquiry Filing Charge sheet
Disciplinary authority serves Charge Sheet
Charged Employee Replies
Appointment of Enquiry Officer (EO)
Notice of Enquiry
Management Rep Defence Rep
Management Witnesses/records Defence Witnesses/records
Enquiry Proper
Enquiry Report
Communication of Enquiry Report to
Disciplinary Authority
Imposition of Penalty
Review/Appeal
PROCESS OF ENQUIRY
PRELIMINARY ENQUIRY PROPER
Notice of Enquiry
Enquiry Officer reads the charge sheet to The Presenting Officer presents the case and The charged employee
the charged employee. If the charged arranges for the witnesses. Employer presents concerned should be given
employee pleads guilty then appropriate their case followed by examination, cross prior notice and sufficient
penalty is imposed. If not then the response examination re-examination of the time to prepare his/her
of the charged employee is recorded and Management Witnesses by the Employee defence and arrange for a
they can proceed with the enquiry. Representative. Defence then provides its representative (if required).
case, producing evidencetakes and witnesses.
The notice must be clear and
self-evident (the date, time,
EO FINDINGS PENALTIES place of inquiry, etc. should be
Penalties for minor misconducts can include mentioned clearly).
Enquiry officer gives his findings on each warning, fine and/or recovery of part of any
charge with an enquiry report that includes loss caused by the charged employee through The enquiry should, as far as
analysis of evidence and reasonings. The negligence. possible, be held during the
report is submitted to the disciplinary Penalties for major misconducts can include working hours and at a place
authority that appointed him and a copy is warning, withholding of increment, demotion, easily accessible to the
sent to the charged employee. suspension, discharge or any other charged employee.
punishment the management may deem fit.
CHARGE SHEET
Consists of facts and allegations which the issuer seeks to
establish against the employee
It conveys what exactly is the case the employee has to answer
It ensures that a fair and reasonable opportunity of being heard
is given to the charged employee
Date of charge sheet Give reference of
Name of offending relevant Certified
employee. Standing Order/Service
Date of incident Rules
Description of incident Specify the time limit
Specify in verbatim if there and whom to submit
are words of abuse or threat the reply to
A reasonable period of time should be given, but not less than
48 hours from the receipt of the Charge-sheet
If the Charge-sheeted employee requests for extension of time,
such requests may be considered on its own merits
PLAYERS
Charge Sheeted Employee (CSE)
EO
An Enquiry Officer (EO) is an impartial officer appointed by
the management to conduct a domestic/departmental enquiry Employee accused of the offence. Who is defended by the defense
when an employee is accused of misconduct. The EO acts like representative
a “mini-judge” inside the organisation.
Management Representative (MR) Defence Representative (DR)
MR represents the management’s case and establishes the Illiterate workers can take help of colleagues to represent
charges against the CSE by providing evidence through them. The judiciary usually allows the charged employee to
witnesses and documents. MR also conducts cross be represented by a lawyer (as MR’s are usually legally
examination of defence witness. trained) but discourages this practice in simple domestic
They may have discussions with the preliminary cases. DR cross examines Management’s Witness and can
investigations officers to gather details of the case that bring in further evidence to support the CSE’s plea.
might not have come on record.
Appellant: Management (Hombe Gowda Hombe Gowda Educational Trust v. State of Karnataka
Educational Trust/College)
Argument: Assault on a superior (principal) Context: A teacher hit the Principal of a college with a chappal. A proper inquiry proved this. He was
is a grave misconduct; dismissal is dismissed following a disciplinary enquiry. The Tribunal and High Court cut the penalty. The Supreme
appropriate. Discipline in colleges must be Court said: For an assault in a college, dismissal is justified.
strict for students and staff.
Laws Applicable: Tribunals may change punishment under Section 11A (ID Act, 1947) only if the
Respondent: Venkappa Gowda penalty is wholly disproportionate or shocks the conscience. Here, the penalty fit the misconduct.
(Lecturer/Teacher)
Argument: Provocation by the principal Rules Applicable:
should reduce punishment. Assault = Gross indiscipline: Provocation does not excuse violence by a teacher in an educational
Tribunal used Section 11A to soften penalty, setting.
stating that the fault of Principal should be Section 11A limits: Interference only if punishment is wholly disproportionate or shocks one's
considered. conscience.
Proportionality: Serious misconduct can merit dismissal; not arbitrary where discipline is vital.
FINAL JUDGEMENT BY SC: Selective action: Not acting against the Principal does not wipe out the lecturer’s proven misconduct.
Assault = gross indiscipline: A teacher
must show restraint even if provoked.
Section 11A: Use it sparingly. Interfere only
Timeline:
if punishment is grossly disproportionate.
[Link]: Teacher Venkappa Gowda hit the Principal with a chappal during a dispute regarding the
Proportionality: For physical assault in a
attendance registering.
professional setting, dismissal is not an
[Link] Inquiry: Departmental inquiry found him guilty; the penalty was dismissal.
excessive punishment.
[Link]: Allowed evidence; held that misconduct was proved but cut the penalty to reinstatement with
Selective action: Not punishing the
back wages.
Principal does not cure the lecturer’s
[Link] Court: Misconduct upheld; adjusted back wages to 60% due to near superannuation of teacher.
misconduct.
[Link] Court: Restored the dismissal with no costs.
CaSES REFFERRED
Krishnakali Tea Estate (2004) Muriadih Colliery V. Ramana v. A.P. SRTC
Violent misconduct Courts cannot interfere with
Tribunal can reduce
justifies dismissal,
punishment only if grossly disciplinary punishment
supporting that Gowda’s
disproportionate, which unless it shocks the
assault warranted strict
Gowda’s dismissal was not. conscience, Gowda’s did not.
punishment.
Bharat Forge v. Nakate M.P. Electricity Board v. KSRTC v. A.T. Mane
Tribunal cannot reduce Jagdish Sharma Domestic tribunal findings
punishment based on sympathy Assaulting a superior is gross shouldn’t be replaced by courts
or irrelevant factors, making the indiscipline that justifies evidence proved Gowda’s guilt,
reduction in Gowda’s case dismissal, directly matching so punishment stands.
improper. Gowda’s conduct.
Dwarikesh Sugar Industries Navinchandra v. Union of
Municipal Board, Pratapgarh
Lower courts must follow India
Not a binding precedent;
Supreme Court precedent; Supreme Court rulings bind all
cannot be used to reduce
Tribunal ignored established authorities, so Tribunal had to
punishment in Gowda’s case
law on disciplinary punishment. follow SC principles on
proportionality and discipline.
Sh. Ram Kumar Padhy v. M/S Competent Software Pvt. Ltd. (2020)
Court: Delhi District Court
Date: 20 February 2020
Petitioner: Sh. Ram Kumar Padhy (Employee)
Respondent: M/S Competent Software Pvt. Ltd. (Employer)
Background: The company issued a charge sheet and initiated a domestic enquiry against the employee for misconduct. The employee challenged the enquiry,
alleging breach of natural justice and arbitrary disciplinary action.
Employee’s Claims
Enquiry was procedurally defective and biased.
Principles of natural justice violated: inadequate opportunity to defend, evidence not shared transparently.
Punishment disproportionate to the alleged misconduct → amounted to victimisation. Sought setting aside of the disciplinary action and reinstatement.
Company’s Defence
Charge-sheet issued in compliance with certified standing orders / service rules.
Employee was not denied hearing; notice of enquiry, opportunity to reply and present defence was given.
Impartial enquiry officer appointed; decision based on evidence.
Penalty proportionate given seriousness of misconduct → no victimisation.
Court’s Findings
The enquiry was conducted as per the principles of natural justice —
Audi Alteram Partem - “Hear the Other Side.”
This is the most fundamental doctrine of natural justice. In this case, the court found that:
The employee was informed of all allegations through a formal charge sheet.
He was given sufficient time to prepare his reply.
He was called for multiple enquiry sittings, and there was no evidence that he was prevented from attending.
He was allowed to offer explanations, produce documents, and question the evidence presented by the employer.
Sh. Ram Kumar Padhy v. M/S Competent Software Pvt. Ltd. (2020)
Right to representation - A fair inquiry allows the employee to defend themselves in a reasonable manner. The court noted that:
The management permitted the employee to be assisted by a coworker or representative, as per company rules.
There was no restriction placed on the employee preventing him from presenting his side.
He was allowed to submit written responses and address the charges point by point.
Reasoned findings - Courts insist that an enquiry report must not be vague; it must show how the officer reached the conclusion. In this case:
The enquiry officer prepared a written enquiry report.
The report connected specific evidence with specific charges.
The findings were not arbitrary; they were supported by attendance records, documents, and statements produced during the inquiry.
Provision Relevance
Therefore: Makes it mandatory to define service
The final decision was reasoned, not mechanical: an essential test of legality. IESO Act, 1946 - Section 3
rules and an enquiry procedure.
No malafide or bias was proved by the employee.
Enables individuals to raise disputes
Penalty not disproportionate to the misconduct established in the enquiry ID Act, 1947 – Section 2A
regarding disciplinary action.
Judgment Labor Jurisprudence – Penalty/Punishment must be
The disciplinary enquiry has been upheld; the employer's action is deemed legal. Doctrine of Proportionality proportional to the misconduct.
No unfair labour practice established; no reinstatement granted.
Right to a fair hearing wherein CSE is
Principles of Natural
given fair opportunity to defend
Justice
himself.
Ratio Decidendi
“When a domestic enquiry provides adequate notice, opportunity of defence, impartial adjudication, and reasoned findings, courts will not interfere merely
because the employee disputes the outcome.”
Provisions regarding Misconduct under IESO Central Rules, 1946
Section 14 – Disciplinary Action for Misconduct
( 1 ) Fine up to 2% of the monthly wages for certain acts and omissions (subject
to authority or government approval in pursuance of the Payment of Wages Act,
1936.
( 2 ) A workman can be suspended without notice (not more than 4 days at a
time). He can be dismissed without notice or compensation in lieu of notice if
found guilty.
( 6(a) ) A workman aggrieved by the order can appeal to an appellate authority
within 21 days of the order
( 6(c) ) The appellate authority would give its verdict within 15 days of the receipt
of appeal and communicate its decision to the workman
Model Standing Orders under IR CODE 2020
24. Disciplinary action for misconduct
(1) A worker may be suspended by the employer pending investigation or enquiry into
complaints or charges of misconduct against him. Such investigation or enquiry, or where
there is an investigation followed by enquiry, both the investigation and enquiry shall be
ordinarily completed within ninety days from the date of suspension. The worker shall be
paid subsistence allowance during the period of suspension which shall be subject to the
worker not taking any employment elsewhere during the period of suspension.
Payment of subsistence allowance- Section 10A (IESO Act, 1946)
(2) The amount of subsistence allowance payable to such worker shall be as under, namely:-
(a) at the rate of fifty percent of wages which the worker was entitled to immediately
preceding the date of such suspension, for the first ninety days of suspension; and
(b) at the rate of seventy-five per cent of such wages for the remaining period of suspension,
if the delay in completion of disciplinary proceedings against such worker is not directly
attributable to the conduct of such worker.
Model Standing Orders under IR CODE 2020
What Constitutes Misconduct?
(3) For the purposes of this standing order,-
(A) the following shall denote misconduct, namely:-
(a) theft, fraud, or dishonesty in connection with the employer’s business or property;
(b) taking or giving of bribes or an illegal gratification whatsoever in connection with the employer’s
business or his own interests;
(c) willful insubordination or disobedience, whether alone or in conjunction with another or others, or of
any lawful or reasonable order of a superior. The order of the superior should normally be in writing;
(d) habitual late attendance and habitual absence without leave or without sufficient cause; (e)
drunkenness, fighting or riotous, disorderly or indecent behaviours while on duty at the place of work;
(f) habitual neglect of work;
(g) causing wilful damage to work in progress or to property of the employer;
(h) sleeping on duty;
(i) malingering or slowing down work; (j) acceptance of gifts from subordinate employees;
Model Standing Orders under IR CODE 2020
What Constitutes Misconduct?
(k) conviction in any Court of Law for any criminal offence involving moral turpitude;
(l) continuous absence without permission and without satisfactory cause for more than ten days;
(m) giving false information regarding one’s name, age, father’s name, qualification or previous service at
the time of the employment;
(n) leaving work without permission or sufficient reason;
(o) threatening, abusing or assaulting any superior or co-worker;
(p) preaching of, or inciting to, violence;
(q) abetment of or attempt to abetment of any of the aforesaid acts of misconduct;
(r) going on illegal strike either singly or with other workers without giving 14 day’s previous notice;
(s) disclosing to any unauthorized person of any confidential information in regard to the working or process
of the industrial establishment which may come into the possession of the worker in the course of his work;
(t) refusal to accept any charge-sheet or order or notice communicated in writing;
(u) failure or refusal to wear or use any protective equipment given by the employers;
(v) claiming false bill for reimbursement; and
(w) Involvement in unauthorized access of any IT system, computer network of the employer/
customer/client.
Model Standing Orders under IR CODE 2020
What Constitutes Misconduct?
(3) For the purposes of this standing order,-
(B) “sexual harassment” which means the ‘sexual harassment’ as defined in clause (n) of section 2 of the
Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013 (14 of 2013)
and includes the circumstances specified in sub-section (2) of section 3 of the said Act. Note:- The words
defined in the Indian Penal Code (45 of 1860) and used in this sub-paragraph shall has the same meaning
as defined in such Code.
Under Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013
Section 2(n) “sexual harassment” includes any one or more of the following unwelcome acts or behaviour
(whether directly or by implication) namely:
(i) physical contact and advances; or
(ii) a demand or request for sexual favours; or
(iii) making sexually coloured remarks; or
(iv) showing pornography; or
(v) any other unwelcome physical, verbal or non-verbal conduct of sexual nature.
Model Standing Orders under IR CODE 2020
Under Sexual Harassment of Women at Workplace (Prevention, Prohibition and
Redressal) Act, 2013 Section 3(2) -
The following circumstances, among other circumstances, if it occurs or is present in relation to
or connected with any act or behaviour of sexual harrassment may amount to sexual
harassment:
(i) implied or explicit promise of preferential treatment in her employment; or
(ii) implied or explicit threat of deferential treatment in her employment; or
(iii) implied or explicit threat about her present or future employment status; or
(iv) interference with her work or creating an intimidating or offensive or hostile work
environment for her; or (v) humiliating treatment likely to affect her health or safety.
Model Standing Orders under IR CODE 2020
24. Disciplinary action for misconduct
(4) (a) Where a disciplinary proceeding against a worker is contemplated or is pending or where
criminal proceedings against him in respect of any offence are under investigation or trial and
the employer is satisfied that it is necessary or desirable to place the worker under suspension,
he may, by order in writing, suspend him with effect from such date as may be specified in the
order. A statement setting out in detail the reasons for such suspension shall be supplied to the
worker within a week from the date of suspension.
(b) In the enquiry, the worker shall be entitled to appear in person or to be represented by an
officebearer of a Trade Union of which he is a member or a co-worker of his choice.
(c) The proceedings of the enquiry shall be recorded in Hindi or in English or the language of
the State where the industrial establishment is located, whichever is preferred by the worker.
(d) The proceedings of the inquiry shall be completed within a period of ninety days from the
date of suspension.
Model Standing Orders under IR CODE 2020
24. Disciplinary action for misconduct
(4) (e) If on the conclusion of the enquiry or, as the case may be, of the criminal proceedings, the
worker has been found guilty of the charges framed against him and it is considered, after giving
the worker concerned a reasonable opportunity of making representation on the penalty proposed,
that an order of dismissal or suspension or fine or stoppage of annual increment or reduction in
rank would meet the ends of justice, the employer shall pass an order accordingly:
Provided that when an order of dismissal is passed under this clause, the worker shall be
deemed to have been absent from duty during the period of suspension and shall not be
entitled to any remuneration for such period, and the subsistence allowance already paid to him
shall not be recovered:
Provided further that where an order imposing fine or stoppage of annual increment or
reduction in rank is passed under this clause, the worker shall be deemed to have been on duty
during the period of suspension and shall be entitled to the same wages as he would have
received if he had not been placed under suspension, after deducting the subsistence allowance
paid to him for such period:
Provided also that in the case of a worker to whom the provisions of clause (2) of article 311 of
the Constitution apply, the provisions of that article shall be complied with.
Model Standing Orders under IR CODE 2020
Article 311 in Constitution of India 311. Dismissal, removal or reduction in rank of persons
employed in civil capacities under the Union or a State
(2) No such person as aforesaid shall be dismissed or removed or reduced in rank except after an
inquiry in which he has been informed of the charges against him and given a reasonable
opportunity of being heard in respect of those charges;
Provided that where it is proposed after such inquiry, to impose upon him any such penalty, such
penalty may be imposed on the basis of the evidence adduced during such inquiry and it shall not
be necessary to give such person any opportunity of making representation on the penalty
proposed: Provided further that this clause shall not apply--
(a)where a person is dismissed or removed or reduced in rank on the ground of conduct which has
led to hi s conviction on a criminal charge; or
(b)where the authority empowered to dismiss or remove a person or to reduce him in rank is
satisfied that for some reason, to be recorded by that authority in writing, it is not reasonably
practicable to hold such inquiry; or
(c)where the President or the Governor, as the case may be, is satisfied that in the interest of the
security of the State, it is not expedient to hold such inquiry.
Model Standing Orders under IR CODE 2020
24. Disciplinary action for misconduct
(5) In awarding punishment under sub-paragraph (4), the authority imposing the punishment shall take into
account any gravity of the misconduct, the previous record, if any, of the worker and any other extenuating or
aggravating circumstances that may exist. A copy of the order passed by the authority imposing the
punishment shall be supplied to the worker concerned.
(6) (a) A worker aggrieved by an order imposing punishment under sub-paragraph (4) may within twentyone
days from the date of receipt of the order, appeal to the appellate authority specified under clause (b).
(b) The employer shall, for the purposes of Clause (a) specify the appellate authority.
(c) The appellate authority, after giving an opportunity to the worker of being heard shall pass order as he
thinks proper on the appeal within fifteen days of its receipt and communicate the same to the worker in
writing:
Provided that where there is a complaint of sexual harassment within the meaning of clause (B) to sub
paragraph (3), the complaint committee constituted for such purpose in each industrial establishment for
inquiring into such complaints, shall, notwithstanding anything contained in this paragraph, be deemed to be
the inquiring authority appointed by the employer for the purpose of these standing orders and the complaint
committee shall hold the inquiry under this paragraph, unless separate procedure has been specified by the
employer for the complaint committee for holding such inquiry into the complaints of sexual harassment, as
far as practicable.
Model Standing Orders under IR CODE 2020
24. Disciplinary action for misconduct
(7) The complaint committee referred to in sub-paragraph (6) shall consist of –
(a) a Chairperson who shall be a woman;
(b) one member representing Non-Government Organisation (NGO) or any other body which is familiar
with the issue of sexual harassment or nominees of the National or State Human Rights Commission
or the National or State Commission for Women familiar with the inquiry of the issue of sexual
harassment, to be nominated by the employer:
(8) The complaint committee referred to in sub-paragraph (6) shall make and submit every year an annual
report, to the appropriate Government, of the complaints and action taken.
(9) The employers or their agents shall report, to the appropriate Government, on the compliance of the
guidelines issued by the appropriate Government in pursuance of section 23 of the Sexual Harassment of
Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013 (14 of 2013) while monitoring the
implementation of the said Act.
Section 23 - Appropriate Govt to monitor implementation
The appropriate Govt shall monitor the implementation of this Act and maintain data on the number of cases
files and disposed of in respect of all cases of sexual harassment at workplace.
THANK YOU!