Full Judgment Text
http://JUDIS.NIC.IN SUPREME COURT OF INDIA Page 1 of 5
PETITIONER:
RAJANGAM, SECRETARY,DISTRICT BEEDI WORKERS’ UNION AND ORS.
Vs.
RESPONDENT:
STATE OF TAMIL NADU AND ORS.
DATE OF JUDGMENT19/11/1992
BENCH:
MISRA, RANGNATH (CJ)
BENCH:
MISRA, RANGNATH (CJ)
YOGESHWAR DAYAL (J)
CITATION:
1991 SCR Supl. (2) 357 1992 SCC (1) 221
JT 1991 (5) 299 1991 SCALE (2)1043
ACT:
Beedi & Cigar Workers (’Conditions of Employment ,Act,
1966/Rules, 1968:
Improper/non-implementation of in the State of Tamil
Nadu--Employment of child labour--Prohibition of--Contract
labour system--Prevalence of--Whether indispensable--Formu-
lation of Schemes .for proper implementation of the provi-
sions for welfare of workers--Directions issued.
Child Labour Abolition Act, 1986.
Manufacture of beedi and cigar---Health hazard---Employ-
ment of child labour--Abolition of---Directions issued for
strict implementation.
Beedi Workers Cess Act, 1976/Beedi Workers Welfare Fund Act,
1976.’
In the nature of beneficial provisions--Implementation o fin
the true spirit----Insurance ,Schem for workers--Directions
issued.
HEADNOTE:
These petitions relate to child employment, prevalence
of contract labour system and the non-implementation of
Beedi and Cigar Workers (Conditions of Employment) Act,
1966. This Court considered the petitions and appointed a
Trust viz., Society for Community Organisation Trust for
conducting appropriate investigation and to submit a report.
The Trust submitted its report, which was then circulated to
the Respondent State Government and the beedi manufacturers.
On the direction of this Court for formulating a scheme,
two Schemes cameto be formulated, one by the State Govern-
ment and the other by the petitioners. This Court directed
that
the terms should be settled for one Scheme to be accept-
ed by the Court, and given time to the Union of India to
respond to the same. Union of India filed certain objec-
tions.
Rejecting the objections and disposing of the petitions,
this Court,
358
HELD: 1.1 The Beedi and Cigar Workers (Condition of
Employment) Rules, 1968 should be strictly implemented and
once that is done the evil of not furnishing the books to
the home workers would be eradicated. [361 D, E]
http://JUDIS.NIC.IN SUPREME COURT OF INDIA Page 2 of 5
2. An establishment of the Regional Provident Fund
Commissioner with full equipment for the purpose of imple-
mentation of the Statute should be located within the area
and the Regional provident Fund Commissioner should have
directions to enforce the Act in all aspects. This estab-
lishment should start functioning within three months from
now. [361 E, F]
3. The labour laws as also the Beedi and Cigar
Workers (Conditions of Employment) Act should be strictly
enforced so that the workers get their legitimate dues and
the conditions of employment improve. [361 F-G]
4. Tobacco manufacturing has indeed health hazards. Child
labour in this trade should therefore be prohibited as far
as possible and employment of child labour should be stopped
either immediately or in a phased manner to be decided by
the State Government but within a period not exceeding three
years from now.The provisions of Child Labour Abolition Act,
1986 should be strictly implemented. [361 G, 11]
5. The Union Government is directed to look into the
aspect whether contract labour system is indispensable in
this trade and take its final decision one way or the other
within six months from now. [362-A]
6. Beedi trade is a flourishing one and exploitation
of labour is rampant in this trade. A governmental labour
establishment should he located in the area with full com-
plement to answer the requiretenants of the matter. [362-F]
7. Sincc Beedi manufacturing process is carried more out-
side the factory than within, the system of maintaining the
registers as a regulating practice has become necessary.
Great care should, there-
fore be taken to ensure the maintenance of the
register system as the bulk of the employees outside the
factories can be regulated through the record maintained in
the registers. [362-C]
8. The Beedi Workers Welfare Cess Act, 1976 and the Beedi
359
Workers Welfare Fund Act, 1976 which contain beneficial
provision should be implemented in the true spirit and since
they are legislations of the Central Government, the machin-
ery of the Central Government should be made operational in
the area. [362-D]
9. It should be ensured that pass hooks are maintained
in the names of actual workers. [362-E]
10. The Welfare Fund should be properly administered and
in the case of death of workman appropriate assistance
should be extended out of the Fund quickly. [362 E, F]
11. In view of the health hazard involved in the manu-
facturing process, every worker including children, if
employed should be insured for a minimum amount of Rs.50,000
and the premium should be paid by the employer and the
incidence should not be passed on to the workman. [362-F]
12. The implementation of the scheme within the State in
an effective manner would require to be supervised by an
independent external agency. The Tamil Nadu State Legal Aid
JUDGMENT:
three year period of such supervision would meet the re-
quirement and at the end of such period the scheme is ex-
pected to become effectively operative. The Tamil Nadu Board
may undertake the supervision from January 1992, and it is
directed that the State Government and the said Board to
coordinate the implementation.The Secretary of the Tamil
Nadu Board who would be mainly in-charge of the field job
shall be paid by the State Government a sum of Rs.1,500 per
month from January 1992, as an allowance to meet out of
pocket expenses for the period he does the work as Secretary
http://JUDIS.NIC.IN SUPREME COURT OF INDIA Page 3 of 5
of the Board. [362 G, H, 363-A]
&
ORIGINAL JURISDICTION: Writ Petition (Civil) No. 1262 of
1987
WITH
Writ Petition (Civil) No. 13064 of 1983.
(Under Article 32 of the Constitution of India).
Har Dev Singh and R.K. Agnihotri for the Petitioners.
Raju Ramachandran, R.Mohan, Ms Shanta Vasudeva,
P.K.Manohar, K.Swamy, Ms.A.Subhashini and R.C.Kohli for the
respondents.
360
The Judgment of the Court was delivered by
RANGANATH MISRA, CJ. A letter petition received from
the District Beedi Worker’s Union, Tirunelveli in the State
of Tamil Nadu was treated as an application under Article 32
of the Constitution and notice was ordered intially to
three factories referred to in the said letter and later to
other beedi manufacturing units within the State. In the
letter, complaint was made about manipulation of records
regarding employees, non-payment of appropriate dues for
work taken, failure to implement the provisions of the
labour laws, prevalence of contract labour system etc.
There is a connected petition also relating to the same
subject matter with different ancillary reliefs covering
employment of child labour and the non-implementation of the
Beedi and Cigar Workers (Conditions of Employment) Act,
1956. We have considered it appropriate to deal with both
the applications together.
This Court by an Order dated 24th October, 1989 appointed a
social organisation by name ’Society for Community Organisa-
tion Trust (SOCCO) ganisation
for making appropriate investigation and circuated the
State to the court. After the Report was received an were
given time to file their respones Tamil Nadu and the manu-
facturers were given time to file their response by way of
affidavits. This Court then directed that a scheme should
be formulated for for consideration of the Court. This
court made an Order on 24th July, 1991 to the following
effect.
"We gather from the submissions made at
the bar that in the meantime some exercise has
been undertaken for the purpose of finalising
the Scheme. Initially the state of Tamil Nadu
has taken the lead but later Union of India
has also go interested and meeting on a bigger
,scale for the purpose of finalising the
Scheme is being arranged. The attorney General
is present in
Court today. We have also suggested to him
that he may par-
ticipate in the proceedings to help the schem
to be finalised as quickly as possible."
Then came two Schemes, one by the petitioners and the other
by the State of r Thamil Nadu. By order dated October 8,
1991, the Court directedon -the basis of consent of counsel
that at a conference the terms should be settled for one
Scheme to be adopted by the Court. On 10 th October, 1991,
on the representation of the parties, the Court made the
following Order:
"Pursuant to our earlier direction, the em-
ployers, employees and the State Government
http://JUDIS.NIC.IN SUPREME COURT OF INDIA Page 4 of 5
through their representatives met
361
and have sorted out, some of the differences.
Matters which are agreed to by all. and as-
pects which are not agred to by the employers
have been seperately shown. A copy of this may
be served on counsel for the Union of India
present in the court today and he is given
three weeks’ time to indicate the responses.
The appropriate Ministry of the Government of
india to respond to the relevant aspects."
Pursuant to this Order, the Under Secretary in the Minis-
try of Labour of the Union Government has filed an affidavit
which we have examined.
The objection which have. been especially refered to in
the affidavit of the Central Government do not really
surive after the matter is heard inasmuch as these are
questions with which the union Government in not concerned
and Under the constitutional scheme they relate to the power
of the State Government. w,e would like’ to dispose of
these petitions with the following directions taken from the
scheme as formulated by the petitioners and the State
Government,
1. The Beedi and Cigar Workers (Conditions
of Employment) Rules 1969 should be strictly
implemented ,and once that is done the evil of
not furnishing the books to the home workers
would be eradicated.
2. An establishment of the Regional Provident
Fund Commissioner with full ’equipment for the
purpopose of implementation of the Statute
should be located within the area and the
Regional Provident Fund commissioner should
have directionS to enforce the
Act in all aspects. This establishment
should start functioning within three months
from now.
3. The labour laws as also the Beedi and
Cigar Workers (Conditions of Employment) Act
should be strictly enforced so that the
workers
get their legitimate dues and the conditions
of employment improve.
4. Tobacco manufacturing has indeed health
hazards. Child labour in this grade should
theirfore be prohibited as far as possible
and employment of child labour should be
stopped either immediately or in a phased
manner to be decided by the State GovernmeAts
Out within a perioed not exceeding three years
from now. The provisions of Child Labour
Abolition Act, 1986 should be strictly imple-
mented.
362
5. Contract labour system, it is alleged, is
indispensable this trade. The Union Government
is directed look into this aspect of the
matter and take its final decision one way or
the other within six months from now.
6. Beedi trade is a flourishmg one. Exploi-
tation of labour is rampant in this trade. A
governmental labour establishment should be
located in the area with full complement to
answer the requirements of the matter.
7. Since beedi manufacturing process is
http://JUDIS.NIC.IN SUPREME COURT OF INDIA Page 5 of 5
carried more outside the factory than within,
the system of maintaining the registers as a
regulating practice has become necessary.
Great care should, therefore, be taken to
ensure the maintenance of the register system
as the bulk of the employees outside the
factories can be regulated only through the
record maintained in the registers.
8. The Beedi Workers Welfare Cess Act, 1976
and the Beedi Workers Welfare Fund Act, 1976
which contain beneficial provisions should be
implemented in the true spirit and since they
are legislations of the Central Government,
the machinery of the Central Government should
be made operational in the area.
9. Grievance has been made that the pass
books are not maintained in the names of
actual workers. This should be ensured.
10. The Welfare Fund should be properly
administered after and in the case of death of
a workman appropriate assistance should be
extended out of the Fund quickly.
11. In view of the health hazard involved in
the manufacturing process, every worker in-
cluding children, if employed, should be
insured for a minimum amount of Rs.50,000 and
the premium should be paid by the employer and
the incidence should not be passed on to the
workman.
We are of the view that the implementation of the scheme
within the state in an effective manner would require to be
supervised by an independent external agency. The Tamil Nadu
State Legal Aid & Advice Board can be entrusted with this
responsibility. A three year period of such supervision, in
our opinion, would meet the requirement and at the end of
such period the scheme is expected to become effectively
operative. We, therefore, require the Tamil Nadu Board to
undertake the super.
363
vision from January, 1992 and we direct the Tamil Nadu
Government and the said Board to coordinate the implementa-
tion. The Secretary of the Tamil Nadu Board Mr. Raja, who
would be mainly in-charge of the field job shall be paid a
sum of Rs. 1,500 (fifteen) per month from January 1992, as
an allowance to meet out of pocket expenses by the State
Government for the period he does the work as Secretary of
the Board.
We dispose of these cases with the directions indicated
above and hope and trust that the authorities as also the
employers and the employees would try to implement the
directions in true spirit. Liberty to apply.
G.N. Petitions
disposed of.
364