Termination of Temporary Employee is Valid if Passed under Terms & Conditions of Employment. The Hon’ble Supreme Court has made different view in various cases.
When the service rules provide for termination of service in certain contingencies and the services are terminated in accordance with the service rules and this is also mentioned in the order of termination, then it is not punitive (Union of India Vs Kartar Singh, AIR 1968 P&H 106 1968 Lab IC 519).
Termination of service of temporary officer as per rules on account of unsuitability assessed on the basis of adverse entries in his character roll was held not punitive and therefore valid Treveni Shankar Saxena Vs State of UP 1992 Supp) SCC 524 1992 SCC (L & S) 440, Municipal Committee, Sirsa Vs Munshi Ram (2005) 2 SCC 382 2005 SCC (185) 277. See. CCS (TS) Rules, 1965 Appendix 3).
Where the services of a temporary employee could simply be terminated under the rules without holding an inquiry mere allegation or suspension order or contemplation of an inquiry culminating in termination order cannot be held to be punitive attaching stigma Dhananjay Vs Zilla Parishad, Jalna. (2003) 2 SCC 386 2003 SCC (L & S) 170.
Termination on expiry of fixed penod of appointment although preceded by a warning on account of alleged misconduct is not punitive Birla VXL Ltd Vs. State of Punjab, (1998) 5 SCC 682 1998 SCC (L & S) 1422
When the termination is a termination simpliciter attaching no stigma principles of natural justice are not required to be observed State of MP Vs Virendera Kumar Chourasiya, 1999 SCC (L & S) 1155; Dakshini Haryana Bij Vitran Nigam Ltd. Vs. Mau Khan, (2009) 7 SCC 355 (2009) 2 SCC (L & S) 339
Temporary Government servants do not hold night to post where the service rule provided that a temporary servant can be terminated if services were no more required by paying one month’s salary in lieu of notice, the termination was upheld. However, in view of long service of the employee and the employer’s delayed action, a compensation of Rs. 50,000 / – was directed. Treveni Shankar Saxena Vs State of UP 1992 Supp (I) SCC 524
When there is no provision in the service contract that the services of a workman can be terminated by one month’s notice, then the termination of service on notice would amount to punishment since the employee had a right to hold the post. Pushkar Dalt Vs. Union of India, Air 1963 All 441 (1962) 4 FLR 165
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