49. The Department of Personnel and Training's OM No. 41016/1(S)/90/Estt. B dated May 1, 1991, regarding the treatment of strike periods for Central Government Employees:
• The OM reiterates the Cabinet's directions issued earlier in the Department of Personnel & Administrative Reforms O.M. No. 33011/1/77-Estt. B dated April 25, 1978.
• Key Cabinet directions:
o The principle of 'no work-no pay' must be strictly followed and not circumvented by granting leave for the strike period.
o Ministries/Departments must consult the Department of Personnel & Training before taking or announcing decisions on important service matters related to strikes to ensure uniformity and avoid embarrassment.
• The Department of Personnel & Training has noted instances of Central Government offices attempting to treat strike periods as duty or leave.
• There have also been cases of Ministries/Departments making decisions on significant service matters without consulting the Department of Personnel & Training, violating the earlier directions.
• The principle of 'no work-no pay' is based on Fundamental Rule 17(1).
• The Supreme Court, in the case of Bank of India vs. T.S. Kelawala & Others (1990), upheld the principle that wages are for work done, not mere attendance, and employees are not entitled to pay for periods of concerted absence (strike), regardless of the strike's legality.
• In light of the Supreme Court's observations, the Cabinet has reviewed its policy and directed all Ministries/Departments to strictly adhere to the instructions outlined in the Department of Personnel & Administrative Reforms O.M. of April 25, 1978.
• The Ministry of Finance and other relevant departments are requested to bring these directions to the notice of all concerned for strict compliance in the future.
Department of Personnel and Training's OM No. 41016/1(S)/90/Estt. B dt. 1st May, 1991 is reproduced below in this regard.
Treatment of period of strike by Central Government Employees
Attention of the Ministry of Finance, etc., is invited to the Department of Personnel & Administrative Reforms O.M. No. 33011/1/77-Estt. B dated the 25th April, 1978 in which the Ministries/Departments were requested to ensure compliance of the following directions of the Cabinet, namely: -
(i) All Ministries/Departments must observe the principle of 'no work-no pay' and this should not be circumvented in any way including by grant of leave for the period of a strike; and
(ii) On all important service matters which are likely to have repercussions on other services (e.g. action taken against Government employees participating in strikes), all Ministries/Departments, including the Ministry of Railways, should, with a view to ensuring the maximum possible uniformity in the general approach, consult the Department of Personnel & A.R. (now Department of Personnel & Training) before taking/announcing any decision so that embarrassment to the Government in dealing with the generality of civil services is avoided.
(1) Notwithstanding the above directions, the Department of Personnel & Training has been receiving several references from Central Government offices that in the case of employees who had participated in a strike, the period of absence may be treated as duty or leave instead of applying the principle of 'no work-no pay'. It has also come to notice that in some cases, the Ministries/Departments had taken decisions on important service matters likely to have repercussions on other services without consulting this Department and in contravention of the said directions.
(2) The principle of 'no work-no pay', is laid down in proviso to Fundamental Rule 17 (1) which provides that any officer who is absent without any authority shall not be entitled to any pay and allowances during the period of such absence. The principle was examined in depth by the Supreme Court and upheld in the Civil Appeal No. 2581 of 1986 - Bank of India vs. T.S. Kelawala & Others (1990 (3) SLJ). Though the issue did not pertain directly to applicability of the principle to Government servants, the Court has analysed the principle in all its facets and its observations are relevant. Some relevant extracts of the Supreme Court judgement delivered on 4th May, 1990 are as under: -
Where the contract, standing orders or the Service rules/regulations are silent on the subject, the Management has the power to deduct wages for the absence from duty when the absence is a concerted action on the part of the employees and the absence is not disputed. Whether the deduction from wages will be pro rata for the period of absence only or will be for a longer period will depend upon the facts of each case such as whether there was any work to be done in the said period, whether the work was in fact done and whether it was accepted and acquiesced in, etc.
It is not enough that the employees attend the place of work. They must put in the work allotted to them. It is for the work and not for the mere attendance that the wages/ salaries are paid.
It is clear that wages are payable only if the contract of employment is fulfilled and not otherwise. Hence, when the workers do not put in the allotted work or refuse to do it, they would not be entitled to the wages proportionately.
Whether the strike is legal or illegal, the workers are liable to lose wages for the period of strike. The liability to lose wages does not either make the strike illegal as a weapon or deprive the workers of it. When workers resort to it, they do so knowing fully well its consequences. During the period of strike, the workers withhold their labour. Consequently, they cannot expect to be paid.
(3) In the light of the above, the Cabinet has now reviewed the general policy in this regard and directed that all Ministries/Departments must observe the instructions contained in Department of Personnel & Administrative Reforms O.M. of 25th April, 1978 (reproduced in para 1 of this O.M.) scrupulously.
(4) Ministry of Finance etc. are accordingly requested to bring the directions of the Cabinet to the notice of all concerned for strict compliance in future.
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