Full Judgment Text
1
REPORTABLE
IN THE SUPREME COURT OF INDIA
CIVIL APPELLATE JURISDICTION
CIVIL APPEAL NO.10856 OF 2014
(Arising out of SLP (C) No.31531 of 2009)
DURGAPUR CASUAL WORKERS UNION & ORS. ... APPELLANTS
VERSUS
FOOD CORPORATION OF INDIA & ORS. ... RESPONDENTS
J U D G M E N T
SUDHANSU JYOTI MUKHOPADHAYA, J.
Leave granted.
This appeal has been preferred by the appellant-Durgapur
2.
Casual Workers Union and others (hereinafter referred to as,
‘the workmen’ for short) against the judgment and order dated
th
25 February, 2009 passed by the Division Bench of the High
Court at Calcutta in F.M.A. No.2345 of 2005 (C.A.N. 8685 of 2007
JUDGMENT
and C.A.N.4726 of 2008). By the impugned judgment, the High
Court allowed the appeal preferred by the respondent-Food
Corporation of India (hereinafter referred to as, ‘the
th
Corporation’ for short) and set aside the Award dated 9 June,
1999 passed by the Central Government Industrial Tribunal
(hereinafter referred to as, ‘the Tribunal’ for short) as
affirmed by the learned Single Judge of the High Court at
Calcutta.
3. The factual matrix of the case is as follows:
The Corporation had long back setup a rice mill in the
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name and style of Modern Rice Mill at Durgapur and it had been
handed to successive contractors for running the same. The
concerned workmen, forty nine in numbers, had been working as
contract labours under the contractors in the rice mill. The last
contractor was M/s Civicon. The contract system was terminated
and the rice mill was closed in the year 1990-1991. Thereafter,
the concerned workmen were directly employed by the Corporation
in June, 1991 as casual employees on daily wage basis in the Food
Storage Depot at Durgapur for performing the jobs of sweeping
godown and wagon floors, putting covers on infested stocks for
fumigation purpose, cutting grass, collections and bagging of
spillage from godowns/wagons etc.
There being an industrial dispute between the workmen and
the Corporation regarding the regularisation of services of the
workmen, the Government of India, Ministry of Labour in exercise
of powers conferred on them by clause (d) of sub Section (1) and
Sub Section (2A) of Section 10 of the Industrial Disputes Act,
1947 (hereinafter referred to as, ‘the Act’ for short) referred
JUDGMENT
the following dispute to the Tribunal for adjudication vide
th
Ministry’s order No.L-22012/348/95-IR (C.II) dated 18 July,
1996.
SCHEDULE
“Whether the demand of Durgapur Casual Workers Union
for absorption of 49 casual workmen as per list
enclosed by the management of FCI, Durgapur is
justified? If not, what relief they are entitled to?”
The said reference was registered as Reference No.21 of
4.
1996 before the Tribunal. The Tribunal on appreciation of
evidence brought on record by the Management of the Corporation
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and the workmen and hearing the parties answered the reference in
th
favour of the workmen by Award dated 9 June, 1999 and held that
continued casualization of service of workmen amounts to unfair
labour practice as defined in item no.10 in part I of the Fifth
Schedule of the Act and that social justice principle demands
order of absorption and thereby directed the Management to absorb
49 casual workmen as per list.
The Corporation being aggrieved preferred a Writ Petition
5.
being W.P.No.21368 (W) of 1999 before the High Court at Calcutta.
The learned Single Judge of the High Court on hearing the parties
and taking into consideration the evidence on record, dismissed
th
the writ petition by judgment and order dated 18 February, 2005
and affirmed the Award passed by the Tribunal.
Aggrieved by the aforesaid judgment of the learned Single
6.
Judge, the Corporation preferred an appeal before the Division
Bench of High Court at Calcutta. One of the grounds taken was
that the appointments of the workmen were backdoor appointments.
The workmen were working under the contractor whose services as
JUDGMENT
terminated in the year 1990-1991 and thereafter on their demand,
the workmen were engaged as casual workmen under the Corporation
in June, 1991. It was contended that in view of Constitution
Bench judgment of this Court in
Secretary, State of Karnataka
and
and others v. Umadevi (3) and others, (2006) 4 SCC 1
decisions rendered by this Court in other cases, regularization
of service cannot be allowed if it violates the basic principles
of Articles 14 and 16 of the Constitution of India. The Division
th
Bench of the High Court by impugned judgment dated 25 February,
2009 while setting aside the award as affirmed by the learned
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Single Judge held as follows:
| “ | Hence, it appears that Appointing Authority has |
|---|---|
| every right to appoint either in substantive capacity | |
| or in casual manner and/or ad-hoc. It is also a | |
| settled legal position of law that | |
| regularization/absorption of casual appointee/ad-hoc | |
| appointee in a permanent post is not other mode of | |
| appointment…...” |
“In the instant case it appears that the workmen,
illegal appointees, moved the writ application in the
year 1994 and got an order of status quo to maintain
their service condition passed by the Writ Court and
as such, service of the workmen since 1994 till this
date is covered by the order of the Court, which is
accordingly attracted by the said riders of para 53
as quoted, to negative their claim.”
“Having regard to the aforesaid judgments of the Apex
Court, now the law has got its firm root being the
law of the land that no regularization even in
respect of a workman under Industrial Dispute Act is
permissible unless the contingencies of the law is
satisfied, namely, appointment following the rule,
appointment in a post and appointment for a long
continuous period in the angle of Secretary, State of
Karnataka and Ors. v. Uma Devi (3) and Ors. (supra).
This law of the land was existing and it has been re-
echoed and reviewed in Secretary, State of Karnataka
and Ors. v. Uma Devi (3) and Ors. (supra).”
“In the instant case, from the decision under
challenge in the writ application passed by the
learned Tribunal below, it appears that the Tribunal
did not answer by any findings as to why workmen were
legally entitled to be absorbed permanently on
considering the settled legal position of law that
absorption and/or regularization are not the mode of
permanent appointment. Even the reasoning as
advanced, namely, "unfair labour practice", it also
does not support the decision to regularize in
absence of any statutory provision for regularization
of service of the workmen under the four corners of
the Industrial Dispute Act, 1947. On the other
hand, Industrial Dispute Act provides under Chapter
VC as already quoted above by Section 25-U , a penal
consequences for imprisonment and fine. The very
essence and concept of unfair labour practice in the
angle and anvil of Section 25-T and 25-U is that in
the industrial sector there is complete bar to
appoint the casual appointees for a continuous period
with the object to deprive them the status and
privileges of permanent workmen and as a coercive
measures to avoid such contingency, law has been
framed in a negative angle restraining/prohibiting
such unfair labour practice under the pain of
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punishment with imprisonment for a term in
Section 25U . Hence, even if any unfair labour
practice is assumed though it requires to be proved
by leading the evidence that such appointment as
casual appointee for a continuous period was with the
mens rea to deprive the workmen from their permanent
status and privileges, the award prima facie speaks
an "error of law" due to a decision applying
principle of "unfair labour practice" for "permanent
absorption" and it also covers the field of "without
jurisdiction" principle…..”
7. Learned counsel appearing on behalf of the appellants
submitted that in absence of any pleading made by the Corporation
before the Tribunal about legality of initial appointment of
appellants, it was not open to the Corporation to raise such
question before the Division Bench of the High Court. The
Division Bench of the High Court was also not justified in giving
any finding with regard to the initial appointment of the
workmen, in absence of any issue suggested or framed by the
Tribunal.
On the other hand, the respondents have taken a similar
8.
plea as was taken before the High Court that the initial
appointments of the workmen were backdoor appointments and hence
JUDGMENT
the regularization is not permissible.
We have heard the rival contention of the parties and
9.
perused the record.
10. The Industrial Disputes Act, 1947 is a beneficial
legislation enacted with an object for the investigation and
settlement of industrial disputes and for a certain other
benefits. Section 2 (j) of the Act defines industry as follows:
“2(j) “industry” means any business, trade,
undertaking, manufacture or calling of employers and
includes any calling, service, employment, handicraft,
or industrial occupation or avocation of workmen.”
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The Industrial dispute is defined under Section 2(k) as
follows:-
“industrial dispute” means any dispute or
“2(k)
difference between employers and employers, or between
employers and workmen, or between workmen and workmen,
which is connected with the employment or non-employment
or the terms of employment or with the conditions of
labour, of any person.”
Section 2(ka) of the said Act defines “industrial
establishment or undertaking” and reads as follow:
"industrial establishment or undertaking" means an
“(ka)
establishment or undertaking in which any industry is
carried on:
Provided that where several activities are carried on
in an establishment or undertaking and only one or some
of such activities is or are an industry or industries,
then,--
(a) if any unit of such establishment or undertaking
carrying on any activity, being an industry, is
severable from the other unit or units of such
establishment or undertaking, such unit shall be deemed
to be a separate industrial establishment or
undertaking;
(b) if the predominant activity or each of the
predominant activities carried on in such establishment
or undertaking or any unit thereof is an industry and
the other activity or each of the other activities
carried on in such establishment or undertaking or unit
thereof is not severable from and is, for the purpose of
carrying on, or aiding the carrying on of, such
predominant activity or activities, the entire
establishment or undertaking or, as the case may be,
unit thereof shall be deemed to be an industrial
establishment or undertaking;”
JUDGMENT
“Unfair labour practice", as defined under Section 2(ra)
means any of the practices specified in the Fifth Schedule.
11. The industrial establishment or undertaking as defined in
the Act not only includes the State Public Undertakings, the
Subsidiary Companies set up by the Principal Undertaking and
Autonomous bodies owned or control by the State Government or
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Central Government but also the private industries and
undertakings.
Industrial Disputes Act is applicable to all the industries
as defined under the Act, whether Government undertaking or
private industry. If any unfair labour practice is committed by
any industrial establishment, whether Government undertaking or
private undertaking, pursuant to reference made by the
appropriate Government the Labour Court/Tribunal will decide the
question of unfair labour practice.
12. In the matter of appointment in the services of the
‘State’, including a public establishment or undertaking,
Articles 14 and 16 of the Constitution of India are attracted.
However, Articles 14 and 16 of the Constitution of India are not
attracted in the matter of appointment in a private establishment
or undertaking.
13. An undertaking of the Government, which comes within the
meaning of industry or its establishment, cannot justify its
illegal action including unfair labour practice nor can ask for
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different treatment on the ground that public undertaking is
guided by Articles 14 and 16 of the Constitution of India and the
private industries are not guided by Articles 14 and 16 of the
Constitution of India.
In the light of above discussion, in the present case the
14.
issues that are to be determined are as follows:
1) Whether an issue relating to the validity of
initial appointment can be raised in absence of
any specific pleading or reference.
2) The Tribunal having held, as affirmed by the
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High Court that the respondent corporation had
committed unfair trade practice against the
workmen depriving them of status and privileges
of permanent workmen; whether the workmen were
entitled for relief of absorption?
15. Before deciding the issues, it is necessary to notice the
relevant decisions of this Court regarding regularization of
service/absorption in the Government Service or its undertakings
in the light of Articles 14 and 16 of the Constitution of India.
16. In Uma Devi (3) Constitution Bench of this Court while
observing that casual/temporary employees do not have any right
to regular or permanent employment held as follows :
“43. Thus, it is clear that adherence to the rule of
equality in public employment is a basic feature of our
Constitution and since the rule of law is the core of
our Constitution, a court would certainly be disabled
from passing an order upholding a violation of Article
14 or in ordering the overlooking of the need to comply
with the requirements of Article 14 read with Article 16
of the Constitution. Therefore, consistent with the
scheme for public employment, this Court while laying
down the law, has necessarily to hold that unless the
appointment is in terms of the relevant rules and after
a proper competition among qualified persons, the same
would not confer any right on the appointee. If it is a
contractual appointment, the appointment comes to an end
at the end of the contract, if it were an engagement or
appointment on daily wages or casual basis, the same
would come to an end when it is discontinued. Similarly,
a temporary employee could not claim to be made
permanent on the expiry of his term of appointment. It
has also to be clarified that merely because a temporary
employee or a casual wage worker is continued for a time
beyond the term of his appointment, he would not be
entitled to be absorbed in regular service or made
permanent, merely on the strength of such continuance,
if the original appointment was not made by following a
due process of selection as envisaged by the relevant
rules. It is not open to the court to prevent regular
recruitment at the instance of temporary employees whose
period of employment has come to an end or of ad hoc
JUDGMENT
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employees who by the very nature of their appointment,
do not acquire any right. The High Courts acting under
Article 226 of the Constitution, should not ordinarily
issue directions for absorption, regularisation, or
permanent continuance unless the recruitment itself was
made regularly and in terms of the constitutional
scheme. Merely because an employee had continued under
cover of an order of the court, which we have described
as “litigious employment” in the earlier part of the
judgment, he would not be entitled to any right to be
absorbed or made permanent in the service. In fact, in
such cases, the High Court may not be justified in
issuing interim directions, since, after all, if
ultimately the employee approaching it is found entitled
to relief, it may be possible for it to mould the relief
in such a manner that ultimately no prejudice will be
caused to him, whereas an interim direction to continue
his employment would hold up the regular
procedure for
selection or impose on the State the burden of paying an
employee who is really not required. The courts must be
careful in ensuring that they do not interfere unduly
with the economic arrangement of its affairs by the
State or its instrumentalities or lend themselves the
instruments to facilitate the bypassing of the
constitutional and statutory mandates.”
45. While directing that appointments, temporary or
casual, be regularised or made permanent, the courts are
swayed by the fact that the person concerned has worked
for some time and in some cases for a considerable
length of time. It is not as if the person who accepts
an engagement either temporary or casual in nature, is
not aware of the nature of his employment. He accepts
the employment with open eyes. It may be true that he is
not in a position to bargain—not at arm’s length—since
he might have been searching for some employment so as
to eke out his livelihood and accepts whatever he gets.
But on that ground alone, it would not be appropriate to
jettison the constitutional scheme of appointment and to
take
JUDGMENT
the view that a person who has temporarily or
casually got employed should be directed to be continued
permanently. By doing so, it will be creating another
mode of public appointment which is not permissible. If
the court were to void a contractual employment of this
nature on the ground that the parties were not having
equal bargaining power, that too would not enable the
court to grant any relief to that employee. A total
embargo on such casual or temporary employment is not
possible, given the exigencies of administration and if
imposed, would only mean that some people who at least
get employment temporarily, contractually or casually,
would not be getting even that employment when securing
of such employment brings at least some succour to them.
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After all, innumerable citizens of our vast country are
in search of employment and one is not compelled to
accept a casual or temporary employment if one is not
inclined to go in for such an employment. It is in that
context that one has to proceed on the basis that the
employment was accepted fully knowing the nature of it
and the consequences flowing from it. In other words,
even while accepting the employment, the person
concerned knows the nature of his employment. It is not
an appointment to a post in the real sense of the term.
The claim acquired by him in the post in which he is
temporarily employed or the interest in that post cannot
be considered to be of such a magnitude as to enable the
giving up of the procedure established, for making
regular appointments to available posts in the services
of the State. The argument that since one has been
working for some time in the post, it will not be just
to discontinue him, even though he was aware of the
nature of the employment when he first took it up, is
not one that would enable the jettisoning of the
procedure established by law for public employment and
would have to fail when tested on the touchstone of
constitutionality and equality of opportunity enshrined
in Article 14 of the Constitution.”
However, in respect of irregular appointments of duly
qualified persons working for more than 10 years, this Court
observed:
“ 53. One aspect needs to be clarified. There may be
cases where irregular appointments (not illegal
appointments) as explained in S.V. Narayanappa11, R.N.
Nanjundappa12 and B.N. Nagarajan8 and referred to in
para 15 above, of duly qualified persons in duly
sanctioned vacant posts might have been made and the
employees have continued to work for ten years or more
but without the intervention of orders of the courts or
of tribunals. The question of regularisation of the
services of such employees may have to be considered on
merits in the light of the principles settled by this
Court in the cases above-referred to and in the light of
this judgment. In that context, the Union of India, the
State Governments and their instrumentalities should
take steps to regularise as a one-time measure, the
services of such irregularly appointed, who have worked
for ten years or more in duly sanctioned posts but not
under cover of orders of the courts or of tribunals and
should further ensure that regular recruitments are
undertaken to fill those vacant sanctioned posts that
require to be filled up, in cases where temporary
employees or daily wagers are being now employed. The
JUDGMENT
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process must be set in motion within six months from
this date. We also clarify that regularisation, if any
already made, but not sub judice, need not be reopened
based on this judgment, but there should be no further
bypassing of the constitutional requirement and
regularising or making permanent, those not duly
appointed as per the constitutional scheme.
This Court in the case of
17. M.P. Administration v.
while taking into account the
Tribhuban, (2007) 9 SCC 748
doctrine of public employment involving public money and
several other facts observed as follows:
“ 6 . The question, however, which arises for
consideration is as to whether in a situation of this
nature, the learned Single Judge and consequently the
Division Bench of the Delhi High Court should have
directed reinstatement
of the respondent with full back
wages. Whereas at one point of time, such a relief used
to be automatically granted, but keeping in view several
other factors and in particular the doctrine of public
employment and involvement of the public money, a change
in the said trend is now found in the recent decisions
of this Court. This Court in a large number of decisions
in the matter of grant of relief of the kind
distinguished between a daily wager who does not hold a
post and a permanent employee. It may be that the
definition of “workman” as contained in Section 2(s) of
the Act is wide and takes within its embrace all
categories of workmen specified therein, but the same
would not mean that even for the purpose of grant of
relief in an industrial dispute referred for
adjudication, application of constitutional scheme of
equality adumbrated under Articles 14 and 16 of the
Constitution of India, in the light of a decision of a
Constitution Bench of this Court in Secy., State of
Karnataka v. Umadevi (3) and other relevant factors
pointed out by the Court in )a catena of decisions shall
not be taken into consideration.
JUDGMENT
7. The nature of appointment, whether there existed any
sanctioned post or whether the officer concerned had
any authority to make appointment are relevant factors.
(See M.P. Housing Board v. Manoj Shrivastava (2006)2
SCC 702, State of M.P. v. Arjunlal Rajak (2006)2 SCC
711 and M.P. State Agro Industries Development Corpn.
2006 (2) SCC 716
Ltd. v. S.C. Pandey, .)
The effect of Constitution Bench decision
18. in Uma Devi
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, in case of unfair labour practice was considered by this
(3)
Court in Maharashtra State Road Transport and another v.
Casteribe Rajya Parivahan Karmchari Sanghatana (2009) 8 SCC 556.
In the said case, this Court held that Umadevi’s case has not
over ridden powers of Industrial and Labour Courts in
passing appropriate order, once unfair labour practice on the
part of employer is established. This Court observed and held
as follows:
“ 34. It is true that Dharwad Distt. PWD Literate
Daily Wages Employees’ Assn.v. State of Karnataka,
(1990) 2 SCC 396 arising out of industrial
adjudication has been considered in State of
Karnataka v .Umadevi (3), (2006)4 SCC 1 and that
decision has been held to be not laying down the
correct law but
a careful and complete reading of
the decision in Umadevi (3) leaves no manner of
doubt that what this Court was concerned in Umadevi
(3) was the exercise of power by the High Courts
under Article 226 and this Court under Article 32 of
the Constitution of India in the matters of public
employment where the employees have been engaged as
contractual, temporary or casual workers not based
on proper selection as recognised by the rules or
procedure and yet orders of their regularisation and
conferring them status of permanency have been
passed.
35. Umadevi (3) is an authoritative pronouncement
for the proposition that the Supreme Court (Article
32) and the High Courts (Article 226) should not
issue directions of absorption, regularisation or
permanent continuance of temporary, contractual,
casual, daily wage or ad hoc employees unless the
recruitment itself was made regularly in terms of
the constitutional scheme.
JUDGMENT
36. Umadevi (3) does not denude the Industrial
and Labour Courts of their statutory power under
Section 30 read with Section 32 of the MRTU and PULP
Act to order permanency of the workers who have been
victims of unfair labour practice on the part of the
employer under Item 6 of Schedule IV where the posts
on which they have been working exist. Umadevi (3)
cannot be held to have overridden the powers of the
Industrial and Labour Courts in passing appropriate
order under Section 30 of the MRTU and PULP Act,
once unfair labour practice on the part of the
employer under Item 6 of Schedule IV is
established.”
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It was strenuously urged by the learned
“47.
Senior Counsel for the Corporation that the
Industrial Court having found that the Corporation
indulged in unfair labour practice in employing the
complainants as casuals on piece-rate basis, the
only direction that could have been given to the
Corporation was to cease and desist from indulging
in such unfair labour practice and no direction of
according permanency to these employees could have
been given. We are afraid, the argument ignores and
overlooks the specific power given to the
Industrial/Labour Court under Section 30(1)(b) to
take affirmative action against the erring employer
which as noticed above is of wide amplitude and
comprehends within its fold a direction to the
employer to accord permanency to the employees
affected by such unfair labour practice.”
19. Almost similar issue relating to unfair trade practice
by employer and the effect of decision of Umadevi (3) in the
grant of relief was considered by this Court in Ajaypal Singh
v. Haryana Warehousing Corporation in Civil Appeal No.6327 of
th
2014 decided on 9 July, 2014. In the said case, this Court
observed and held as follows:
“20. The provisions of Industrial Disputes Act and
the powers of the Industrial and Labour Courts
provided therein were not at all under consideration
in Umadevi’s case. The issue pertaining to unfair
labour practice was neither the subject matter for
decision nor was it decided in Umadevi’s case.
JUDGMENT
21. We have noticed that Industrial Disputes Act
is made for settlement of industrial disputes and
for certain other purposes as mentioned therein. It
prohibits unfair labour practice on the part of the
employer in engaging employees as casual or
temporary employees for a long period without giving
them the status and privileges of permanent
employees.
22. Section 25F of the Industrial Disputes Act,
1947 stipulates conditions precedent to retrenchment
of workmen. A workman employed in any industry who
has been in continuous service for not less than one
year under an employer is entitled to benefit under
said provision if the employer retrenches workman.
Such a workman cannot be retrenched until he/she is
given one month's notice in writing indicating the
reasons for retrenchment and the period of notice
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has expired, or the workman has been paid in lieu of
such notice, wages for the period of the notice
apart from compensation which shall be equivalent to
fifteen days' average pay for every completed year
of continuous service or any part thereof in excess
of six months. It also mandates the employer to
serve a notice in the prescribed manner on the
appropriate Government or such authority as may be
specified by the appropriate Government by
notification in the Official Gazette.
If any part of the provisions of Section 25F
is violated and the employer thereby, resorts to
unfair trade practice with the object to deprive the
workman with the privilege as provided under the
Act, the employer cannot justify such an action by
taking a plea that the initial appointment of the
employee was in violation of Articles 14 and 16 of
the Constitution of India.
Section 25H of the Industrial Disputes Act
23.
relates to re-employment of retrenched workmen.
Retrenched workmen shall be given preference over
other persons if the employee proposes to employ any
person.
24. We have held that provisions of Section 25H
are in conformity with the Articles 14 and 16 of the
Constitution of India, though the aforesaid
provisions (Articles 14 and 16) are not attracted in
the matter of re-employment of retrenched workmen in
a private industrial establishment and undertakings.
Without giving any specific reason to that effect at
the time of retrenchment, it is not open to the
employer of a public industrial establishment and
undertaking to take a plea that initial appointment
of such workman was made in violation of Articles 14
and 16 of the Constitution of India or the workman
was a backdoor appointee.
JUDGMENT
25. It is always open to the employer to issue an
order of “retrenchment” on the ground that the
initial appointment of the workman was not in
conformity with Articles 14 and 16 of the
Constitution of India or in accordance with rules.
Even for retrenchment on such ground, unfair labour
practice cannot be resorted and thereby workman
cannot be retrenched on such ground without notice,
pay and other benefits in terms of Section 25F of
the Industrial Disputes Act, 1947, if continued for
more than 240 days in a calendar year.
However, in other cases, when no such plea is
26.
taken by the employer in the order of retrenchment
that the workman was appointed in violation of
Articles 14 and 16 of the Constitution of India or
in violation of any statutory rule or his
appointment was a backdoor appointment, while
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granting relief, the employer cannot take a plea
that initial appointment was in violation of
Articles 14 and 16 of the Constitution of India, in
absence of a reference made by the appropriate
Government for determination of question whether the
initial appointment of the workman was in violation
of Articles 14 and 16 of the Constitution of India
or statutory rules. Only if such reference is made,
a workman is required to lead evidence to prove that
he was appointed by following procedure prescribed
under the Rules and his initial appointment was
legal.”
20. In the present case, it is admitted that the workmen had
been working as contract labours under the contractor in the
rice mill of the Corporation. The contract system was
terminated and the rice mill was closed in the year 1990-1991.
The effect was termination of services of the workmen. In that
view of the matter, they were entitled for re-employment when
the employer proposed to take into his employment any person,
in view of Section 25H, which reads as follows:
“
Section 25H. Re-employment of retrenched workmen.-
Where any workmen are retrenched, and the employer
proposes to take into his employ any persons, he
shall, in such manner as may be prescribed, give an
opportunity to the retrenched workmen who are
citizens of India to offer themselves for re-
employment and such retrenched workman who offer
themselves for re-employment shall have preference
over other persons.”
JUDGMENT
Under Section 25H the retrenched workman who offer
themselves for employment shall have preference over other
persons. It was for the said reason the workmen were employed
by the Corporation in June, 1991.
This Court in Ajaypal Singh held that the provisions of
21.
Section 25H are in conformity with Articles 14 and 16 of the
Constitution of India, though, the aforesaid provisions
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(Articles 14 and 16) are not attracted in the matter of re-
employment of retrenched workmen in private industrial
establishment and undertakings. In that view of the matter it
can be safely held that the workmen who were retrenched, were
rightly taken in the services of Corporation. Admittedly, no
plea was taken by the Corporation either before the State
Government or before the Tribunal that the initial appointment
of workmen were illegal or they were appointed through back
door means.
22. In this background, we are of the view that it was not
open to the Division Bench of the High Court, particularly in
absence of any such plea taken by the Corporation before the
Tribunal to come to a finding of fact that initial appointments
of workmen were in violation of Articles 14 and 16 of the
Constitution of India, nor it was open to the High Court to
deny the benefit to which the workmen were entitled under item
10 of Part I of the Fifth Schedule of the Act, the Tribunal
having given specific finding of unfair trade practice on the
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part of the Management of the Corporation.
Having accepted that there was unfair trade practice, it
23.
was not open to the Division Bench of the High Court to
interfere with the impugned award.
For the reasons aforesaid, we aside the impugned judgment
24.
th
dated 25 February, 2009 passed by the Division Bench of the
High Court at Calcutta in F.M.A. No.2345 of 2005 (C.A.N.8685 of
th
2007 and C.A.N.4726 of 2008). Award dated 9 June, 1999 passed
by the Tribunal in Reference No.21 of 1996 as affirmed by the
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17
th
learned Single Judge by order dated 18 February, 2005 in W.P.
No.21368 (W) of 1999 is upheld. The respondent-Corporation is
directed to implement the Award from its due date as ordered by
the Tribunal. The appeal is allowed with aforesaid observations
and directions. No costs.
...........................J.
[SUDHANSU JYOTI MUKHOPADHAYA]
..........................J.
[PRAFULLA C. PANT]
NEW DELHI;
DECEMBER 09, 2014.
JUDGMENT
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