BAREILLY HOLDINGS LTD. vs THEIR WORKMEN

The Supreme Court held that under Section 72 of the Employees State Insurance Act, 1948, employers cannot reduce or discontinue benefits payable to employees based on their entitlement to similar benefits under the E.S.I. Act. The Court emphasized that the purpose of Section 72 is to prevent employers from using E.S.I. benefits as a justification for reducing contractual benefits. The appeal was dismissed, affirming the Industrial Tribunal's award in favor of the workmen, who were entitled to full wages for sick leave as per their service conditions.