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1989 Supreme(SC) 379

SUPREME COURT OF INDIA
A.M.Ahmadi : K.Jagannatha Shetty
Harbans Lal
Versus
State Of H.P.
Case No. : 548 of 1987
Date of Decision : 8/1/89

Headnote:

Constitution of India,1950 – Article 14 and 32 - Companies Act, 1956 - Seeking enforcement of their fundamental right - Equal pay for equal work - Seeking regularisation - Petitioners are carpenters 1st and 2nd grade employed at the Wood Working Centre of Himachal Pradesh State Handicraft Corporation - They are termed as daily rated employees - In this petition under Article 32 of Constitution, they are seeking enforcement of their fundamental right to have "equal pay for equal work" - They demand payment in terms paid to their counterparts in regular services - They want the same pay of regular employees as carpenters or in the alternative, minimum wages prescribed by the Deputy Commissioner for like categories of workmen - They also seek regularisation of their services with the benefits of pension, gratuity, etc - Corporation has resisted the petitioners claim - Case of the Corporation is that the unit where petitioners are working is a factory registered under Factories Act - Petitioners are treated as industrial workmen and are given all benefits due to them under various labour legislations - Government has not fixed the minimum wages payable to the petitioners engaged in the Corporation or other like industries, but Corporation has adopted minimum wages payable for similar work in the construction industry - They are being paid the same wages as are payable to carpenters, painters and carpenters helpers engaged in the construction industry - They are given bonus under Bonus Act and provident fund benefits under the Employees Provident Fund Act - It is also stated that petitioners are supplied with the necessary tools for carrying out their work and also working uniforms like aprons and overalls - Whether equality claims of petitioners could be allowed – Held, next contention that petitioners should be paid at least minimum wages prescribed by Deputy Commissioner under Ex. P. 2 cannot also be accepted. Ex. P. 2 was issued by Deputy Commissioner in the exercise of his powers under H.P. Financial Rules - It is applicable only to skilled and unskilled workers in class IV employees in government service - It has not been extended to employees of the Corporation - Petitioners have been treated as construction workers and they are being paid the minimum wages admissible to such workmen - Court, therefore, cannot direct the Corporation to apply the rates prescribed under Ex. P. 2 unless government makes it applicable to employees of Corporation - As to the claim for regularisation of services of the petitioners, court express no opinion, since factual data is disputed and is insufficient - Court leave petitioners to work out their rights elsewhere in accordance with law applicable to them – Petition dismissed.

JUDGMENT

K. JAGANNATHA SHETTY, J.

(1) THE petitioners are carpenters 1st and 2nd grade employed at the Wood Working Centre of the Himachal Pradesh State Handicraft Corporation (the "Corporation"). They are termed as daily rated employees. In this petition under Article 32 of the Constitution, they are seeking enforcement of their fundamental right to have "equal pay for equal work". They demand payment in terms paid to their counterparts in regular services. They want the same pay of the regular employees as carpenters or in the alternative, the minimum wages prescribed by the Deputy Commissioner for like categories of workmen. They also seek regularisation of their services with the benefits of pension, gratuity, etc.

(2) THE Corporation has resisted the petitioners claim. The case of the Corporation is that the unit where the petitioners are working is a factory registered under the Factories Act. The petitioners are treated as industrial workmen and are given all benefits due to them under the various labour legislations. The government has not fixed the minimum wages payable to the petitioners engaged in the Corporation or other like industries, but the Corporation has adopted the minimum wages payable for similar work in the construction industry. They are being paid the same wages as are payable to carpenters, painters and carpenters helpers engaged in the construction industry. They are given bonus under the Bonus Act and provident fund benefits under the Employees Provident Fund Act. It is also stated that the petitioners are supplied with the necessary tools for carrying out their work and also working uniforms like aprons and overalls.

(3) THE Corporation has clearly stated that there are no regular employees of the petitioners categories in its establishment and, as such, the question of payment to the petitioners, the pay admissible to regular employees does not arise.

(4) A little more information about the purpose and object of the Corporation would be useful for proper understanding of the case. The Corporation is a company which has been incorporated under the Companies Act, 1956. The main object of the Corporation as seen from the Memorandum of Association is to preserve the traditional arts and crafts and also to popularise handicrafts and handloom items in the State of Himachal Pradesh and other parts of the country and abroad. In order to achieve this primary objective, the Corporation gives training to artisans, weavers and craftsmen in various traditional arts and crafts. During the period of training, the trainees are paid a stipend by the Corporation. Up to 31/03/1987, the Corporation has imparted training to as many as 1662 persons in different areas like carpet weaving, handloom weaving, painting, metal crafts, wood carving, etc. Apart from giving training, the Corporation also ensures marketing support to the artisans and craftsmen by purchasing their products at remunerative prices and selling them through the marketing network of the Corporation. It is thus a service-oriented organisation helping the village artisans and craftsmen to produce and market their products on remunerative prices. It is said that the village artisans and craftsmen make different items on a piece rate basis and in some cases, they execute the work in their own homes.

(5) THE financial aspects of the Corporation is stated to be not encouraging, and indeed, it is disappointing. It has suffered huge loss and the total losses accumulated hitherto is Rs. 69.77 lakhs. Nonetheless, for the purpose of preserving and promoting traditional arts and crafts, the Corporation has been kept alive. But to avoid or minimise further loss, it is stated that the Corporation has reduced its overheads and maintained only the administrative staff in the production centres at different parts of the State and no permanent craftsmen are employed.

(6) WITH these facts, we may now turn to the principle upon wh











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