Labour Court Tells Ex-pharma Firm Staff to Return VRS to Consider Job

Hyderabad: In a rare decision, Labour Court-2 in Hyderabad has directed two employees of Dr Reddy Laboratories Limited to repay the Voluntary Retirement Scheme (VRS) amounts they received before proceeding with their reemployment case. The workers had taken Rs 41 lakh and Rs 39 lakh respectively under the VRS.

The two employees approached the labour department to cancel their VRS and sought reemployment with the company. Consequently, the matter was referred to the Labour Court. Representing the management, counsel C. Niranjan Rao filed a petition demanding the return of the VRS funds.

After evaluating the arguments from both parties, the Labour Court mandated that the employees deposit the amounts of Rs 41,10,829 and Rs 39,45,186 respectively, which they had received from Dr Reddy’s under the VRS, before the court could consider their case for reemployment.

This verdict is considered an uncommon instance in industrial jurisprudence, highlighting the complexities of labour law. The court's decision emphasises the importance of adhering to legal protocols and promotes fair labour practices. It underscores the judiciary's commitment to maintaining equitable employment relations and ensuring that both employers and employees abide by the established legal frameworks.