'Landmark' India labour ruling

Ms Keys says she was terminated without reason

A labour court in India has awarded 5m rupees ($122,000) in compensation to an American journalist sacked by the Associated Press (AP) news agency.

The court said the journalist was covered by Indian laws because the agency had a base in India.

Laurinda Keys was sacked in 2004. She went to court in 2005 claiming that her dismissal was without any reason.

Legal experts say the landmark ruling will affect foreign employers and their employees in India.

In her complaint, Ms Keys said her services had been "terminated without any reason on the pretext that her position was being abolished".

But, she said, later her position was "re-advertised and refilled".

'Revolutionary'

In its response to the court, Associated Press said that the agency was managed by a company incorporated in the US and therefore her employment conditions were governed exclusively by US laws.

The agency said the services of Ms Keys were terminated in accordance with the terms of her employment.

In his ruling, Assistant Labour Commissioner AV Premnath ordered AP to pay 4.5 million rupees ($112,000) plus interest at the rate of 12% a year.

Ms Keys' lawyer Suman Doval said the total is expected to touch 5m rupees ($125,000).

The lawyer said the ruling was "revolutionary in nature" and would have ramifications for foreign employers and their workers in India.

Ms Keys worked with AP for 28 years and was posted in more than 30 countries across Asia, Africa, Europe and North America.