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2025 Supreme(Kar) 2119

IN THE HIGH COURT OF KARNATAKA, AT DHARWAD
M.NAGAPRASANNA, J.
Shivaji S/o Narayan Savadatti - Appellant
Vs.
The Chairman, Life Insurance Corporation of India - Respondent
Writ Petition No. 111922 of 2017 (S-REG) C/W Writ Petition No. 112028 of 2017 (S-REG)
Decided On : 10-12-2025

Advocates:
Advocate Appeared:
For the Appellant : Smt. Kavita S. Jadhav, Adv For Sri. Arun L. Neelopant, Adv
For the Respondent:Sri. A.P.Murari, Advocate

Monetary compensation in lieu of job regularization is affirmed for eligible employees based on past judicial directives, while regularization through verification processes is mandated for historical employment claims.

Headnote:(A) Constitution of India - Public Employment - Service Regularization - Life Insurance Corporation Act - Judgment of Supreme Court in Secretary, State of Karnataka v. Uma Devi (2006) 4 SCC 1 discussed - Petitioners seek regularization of services and formulation of recruitment policy - Reliance on previous judgements regarding entitlements and verification processes for service claims also referenced. (Paras 1-9)

(B) Employment Law - The court emphasizes the need for proper verification of claims for workers employed as Badli/temporary workers between specified dates established by earlier rulings and affirms that monetary compensation should replace job regularization as per recent judicial directives. (Paras 5-8)

Facts of the case:
Petitioners claim long-term engagement with LIC and seek regularization fearing termination. Past Supreme Court ruling favored similar schemes for daily wage workers. Respondents offer guidelines for compensation based on verification of employment history.

Findings of Court:
Court acknowledged claims but confirmed that monetary compensation would suffice.

Issues: Main issues revolved around the petitioners' entitlement to regularization versus the eligibility criteria set by the preceding judgments.

Ratio Decidendi: Court held that monetary compensation is to be prioritized for certain employees rather than reinstatement or regularization, confirming the committee's role in future verification activities.

Result: Petitions disposed without interference in the previous order.

Table of Content
1. petitioners seek regularization of employment. (Para 1 , 3 , 4)
2. supreme court's directions regarding compensation. (Para 5 , 6 , 8)
3. pending curative petitions impact current petitioners. (Para 7 , 9)
4. order to dismiss petitions while considering pending issues. (Para 10)

ORDER :

(PER: THE HON'BLE MR. JUSTICE M.NAGAPRASANNA)

1. The petitioners in both these petitions are before this Court seeking the following reliefs:

“1. To issue a writ, order or direction particularly in the nature of the Writ of mandamus, to order and direct the respondents to regularize the services of the Petitioners herein as employees of the Respondent Corporation being Life Insurance Corporation of India through a scheme similar to the one as enumerated in Annexure-A dated 18.01.2011.

2. To direct the respondent Corporation to consider formulation of a scheme as per what was envisaged in the Judgment of the Hon’ble Supreme Court of India in Secretary, State of Karnataka V/s Uma Devi & Ors. (2006) 4 SCC 1 vide Annexure-D.

3. To issue directions and such other order as this Hon’ble Court deems fit directing the Respondent Corporation not to engage any temporary employees or Badli/Daily wagers in future and make provisions for regular recruitment of Class III and IV Staff.

4. Pass such other Order or Orders as this Hon’ble Court deems fit just and proper under the facts and circumstances, in the interest of justice and equity.”

2. Heard learned counsel Smt.Kavitha S. Jadhav for Sri.Arun L. Neelopant, appearing for the petitioners and learned counsel Sri.A.P.Murari, appearing for the respondents.

3. The petitioners 1 to 106 are said to have been engaged at various branch offices coming under the jurisdiction of respondent No.3 in the cadre of sub-staff or Group-D employees and have been working for long time ranging from 2 years to 24 years. The petitioners are now before this Court on the score that the petitioners would be disengaged.

4. Initially, on an apprehension that they would be disengaged from their services, but that did not come about, and the petitioners have been continuing to work. The claim of the petitioners as per the prayer that is sought is for regularisation of their services in terms of the judgment of the Apex Court in the case of STATE OF KARNATAKA v. UMADEVI reported in (2006) 4 SCC 1 . Learned counsel appearing for the petitioner would submit that the order passed by the Apex Court in the case of LIC OF INDIA v. D.V. ANIL KUMAR reported in 2011 SCC OnLine SC 1602, where the LIC had undertaken that they would formulate a scheme to regularise these daily wagers as a one time measure should be directed in the case at hand as well.

5. The learned counsel Sri.A.P.Murari, appearing for the respondents-Corporation places on record a subsequent judgment of a three Judge bench of the Apex Court in the case of RANBIR SINGH v. LIC , (2023) 17 SCC 196, which considers the judgment in the case of D.V. ANIL KUMAR supra and issues several directions. The directions are as follows:

“… … …

95. The dispute is now of an antiquity tracing back to nearly four decades. Finality has to be wrung down on the dispute to avoid uncertainty and more litigation. Nearly thirty-one years have elapsed since 1991. We have come to the conclusion that the claims of those workers who are duly found upon verification to meet the threshold conditions of eligibility should be resolved by the award of monetary compensation in lieu of absorption, and in full and final settlement of all claims and demands. Thus, this Court directs the following:

95.1. A fresh verification of the claims of workers who claim to have been employed for at least 70 days in Class IV posts over a period of three years or 85 days in Class III posts over a period of two years shall be carried out;

95.2. The verification shall be confined to persons who were working between 20-5-1985 and 4-3-1991;

95.3. All persons who are found to be eligible on the above norm shall be entitled

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