Case:- M/s. Xpro India Limited. Vs The State of West Bengal & Ors.
Citation:- WPA 4620 of 2025
Calcutta High Court Bench:- Justice Shampa Dutt (Paul)
The Calcutta High Court has held that an employee searching for another job with better pay or benefits, even with a rival company, does not amount to moral turpitude for the purpose of termination of employment.
- The Hon’ble Court observed that searching for better pay or facilities is a basic right of every employee and not against honesty or good morals.
- In this case, A technician, employed since 2012 with India’s sole Dielectric Film Manufacturer, was accused of being in touch with a rival company and trying to set up a Capacitor Film Manufacturing unit.
- The company claimed he violated confidentiality, suspended him, rejected his resignation, held an enquiry, terminated him, and forfeited gratuity under the Payment of Gratuity Act, citing misconduct.
- The employee applied for gratuity before the Controlling Authority, which in February 2024 ordered the company to pay.
- The company appealed, but the Appellate Authority confirmed the order.
- In the writ petition, the Court noted the company failed to prove any damage, destruction of property, or misconduct amounting to moral turpitude.
