SUPREME COURT OF INDIA
J.M. SHELAT, I.D. DUA, V. BHARGAVA, JJ.
The Provident Fund Inspector, Guntur, Appellant
Versus
T. S. Hariharan, Respondent.
Civil Appeal No. 1128 of 1967. D/-1-4 1971.
Advocates appeared
Dr. L. M Singhvi Sr. Advocate, (Mr. S. P. Nayar, Advocate, with him), for Appellant.
Constitution of India,1950 - Article 133 (1) (b) - Employees Provident Funds Act, 1952 - Provident Fund - Appeal by certificate - Appellants learned counsel in thisCourt was that High Court had in course of its judgment expressed view that Clauses (a) and (b) of subsection (3) of Section 1 of Act do not cover casual labour and since this expression of opinion which he considers to be legally erroneous would be binding on appellant in administering Act it was necessary to have correct legal position enunciated by this Court - According to appellant s learned counsel following passages in judgment of High Court clearly bring out argument both for and against legal position canvassed by him - It is maintained by learned Government Pleader that requirement as to numerical strength is satisfied if twenty persons are engaged in connection with work of an establishment even for a day or a fraction thereof - Whether Clauses (a) and (b) of Section 1 (3) are wide enough to cover casual labour – Held, appellant s learned counsel argued that in present case the respondent has to employ a few persons every year regularly from June to September for supplying water to hotel because of failure of rains - This, according to him, would be a regular employment and High Court was wrong in holding to contrary - Court are, unable to accept this contention on present record - General approach of High Court to problem raised in this case seems to Court to be broadly speaking, correct; so is its final conclusion - Only observation of High Court which required consideration is that subsection in question contemplates required number of persons to work in establishment continuously for one year - As High Court has dismissed writ petition after clarifying points of law raised leaving it to appropriate authority to finally decide controversy on a consideration of all facts and circumstances Court do not propose to say anything more in this appeal which has been heard ex parte - With aforesaid clarification of legal position Court dismiss this appeal
Judgment
DUA, J.: - The appellant in this appeal by certificate granted by the Andhra Pradesh High Court on February 25, 1965 under Article 133 (1) (b) of the Constitution is the Regional Provident Fund Commissioner, Andhra Pradesh A large number of writ petitions by various parties were filed in the High Court praying for writs in the nature of mandamus directing the appellant to forbear from enforcing or taking other proceedings under the provisions of the Employees Provident Funds Act, 1952 (hereinafter called the Act) and the Provident Fund Scheme, 1952 With the exception of perhaps one writ petition, all the rest, including W. P. 907 of 1963 presented by T. S. Hariharan, Proprietor, New Cochin Cafe, Ongole, respondent in this Court were dismissed. Certificates under Article 133 (1) (b) of the Constitution were secured by the appellant in almost all the cases but the present is the only appeal which now survives, all the rest having been dismissed for non prosecution.
2. The writ petition of the respondent was dismissed which means that the final order made by the High Court was in favour of the appellant. The only grievance raised by the appellant s learned counsel in this Court was that the High Court had in the course of its judgment expressed the view that Clauses (a) and (b) of subsection (3) of Section 1 of the Act do not cover casual labour and since this expression of opinion which he considers to be legally erroneous would be binding on the appellant in administering the Act it was necessary to have the correct legal position enunciated by this Court. According to the appellant s learned counsel the following passages in the ,judgment of the High Court clearly bring out the argument both for and against the legal position canvassed by him:-
We have next to consider whether Clauses (a) and (b) of Section 1 (3) are wide enough to cover casual labour. It is maintained by the learned Government Pleader that requirement as to the numerical strength is satisfied if twenty persons are engaged in connection with the work of an establishment even for a day or a fraction thereof. This argument is sought to be reinforced by the unreported judgment of a Division Bench of the Madras High Court in Writ Appeal No, 183 of 1962, D/- 7-11-1963. It is true that this ruling vouches the proposition advanced by the learned Government Pleader. The learned Judges there observed:
It is admitted on behalf of the applicant that fifty people worked at least for one day in each year. This in our opinion, will be sufficient to bring the case within the purview of Section 1 (3) of the Act. The Act is an ameliorative measure extended to benefit the permanent workers of an establishment. What is necessary for those permanent workers to get the benefit is that there should be fifty workers in that factory. In our view, it would be sufficient if that condition is satisfied at least for one day.
With great respect, we are unable to subscribe to the rule stated therein. It is true that this legislative measure is an ameliorative one. All the same, it cannot be overlooked that benefits are intended to be conferred on workmen in establishments that are in a position to employ twenty or more persons. It may be incidentally mentioned here that originally, i.e., prior to the Amendment Act, 46 of 1960 the number of employees in the establishment that would be brought within the scope of Section 1(3) was fixed at fifty.
We find it difficult to agree with the view that twenty or more persons can be said to be employed or that an establishment employs twenty or more persons merely because on one day or two days the services of twenty or more persons were engaged for a particular purpose. To accept this contention would be to unduly enlarge the content of the Section. To attract the applicability of Section 1(3) the number of persons should come upto minimum of twenty. The underlying idea seems to be that the establishment should have twenty persons on its muster
Login now and unlock free premium legal research
Login to SupremeToday AI and access free legal analysis, AI highlights, and smart tools.
Login
now!
India’s Legal research and Law Firm App, Download now!
Copyright © 2023 Vikas Info Solution Pvt Ltd. All Rights Reserved.