LIFE INSURANCE CORPORATION OF INDIA vs ANWAR KHAN (D) BY LRS.

The Supreme Court upheld the decision of the Allahabad High Court affirming the order of the Assistant Labour Commissioner regarding the applicability of the Payment of Wages Act, 1936 to Development Officers of the LIC. The Court clarified that the definition of 'employee' under the U.P. Dookan Aur Vanijya Adhisthan Adhiniyam, 1962 does not exclude those receiving salaries above Rs. 1500, and that compensation can be awarded despite a bona fide dispute. The Court held that the proceedings under the Act were valid and the claim for wages and compensation was maintainable.