Seylan Bank PLC vs. Hon. Gamini Lokuge and others – CA WRIT/APPLICATION NO. 286/13-2023

In the case between Seylan Bank PLC and state officials including representatives from the Labour Secretariat and the 4th Respondent (a driver employed by the Petitioner), the court addressed the legal validity of an order directing reinstatement with back wages after termination upon reaching the original contractual retirement age. It was determined that unilateral administrative changes to the retirement age, established by subsequent management circulars, could not supersede or modify the binding terms set forth in the original Letter of Appointment absent proper negotiation or acceptance. The findings established that the order of reinstatement (P4) was irrational and ultra vires, and that the employee’s acceptance of terminal benefits further negated any claim to extended service or