2004 Supreme(Bom) 1047
IN THE HIGH COURT OF BOMBAY
Lodha R.M. Devadhar J.P., JJ.
Quadricon Pvt. Ltd. others .... Appellants.
Versus
Maxi D’Souza others.... Respondents.
Appeal No. 466 of 2004 in Writ Petition No. 1857 of 2004, decided on 28-7-2004.
Advocates appeared :
J.P. Cama with K.P. Anilkumar, i/b., Thakordas Madgavkar, for appellants.
P.S. Chavan, for respondents.
The jurisdiction of the Industrial Court under the M.R.T.U. P.U.L.P. Act to entertain complaints depends on the unquestionability of the employer-employee relationship, and the court must consider this aspect before granting interim relief.
Headnote:
M.R.T.U. P.U.L.P. Act - Employer-Employee Relationship - Schedule II, Item Nos. 6, 9 and 10 of Schedule IV, section 28(1) - The court discussed the provisions of the Maharashtra Recognition of Trade Unions and Prevention of Unfair Labour Practices Act, 1971, particularly focusing on the employer-employee relationship and the jurisdiction of the Industrial Court to entertain complaints when the relationship is disputed. The court referred to relevant case laws such as Cipla Limited v. Maharashtra General Kamgar Union and others, Vividh Kamgar Sabha v. Kalyani Steels Limited, and The Central Bank of India Ltd. v. P.S. Rajagopalan etc. to interpret the legal provisions and their applicability in the present case.
Fact of the Case:
The complainants, employees of the appellant company, filed a complaint under the M.R.T.U. P.U.L.P. Act alleging unfair labor practices and seeking interim relief. The Industrial Court granted interim relief, which was challenged by the appellants in a writ petition.
Finding of the Court:
The court set aside the order of the Single Judge and the Industrial Court, restoring the application for interim relief to the Industrial Court for fresh consideration. The court directed the parties to produce material in support of their case and instructed the Industrial Court to decide the application for interim relief within four weeks. The appellants were directed to maintain the status quo until the disposal of the application.
Issues: Dispute over employer-employee relationship, jurisdiction of the Industrial Court to entertain complaints under the M.R.T.U. P.U.L.P. Act when the relationship is disputed.
Ratio Decidendi: The Industrial Court's jurisdiction to entertain complaints under the M.R.T.U. P.U.L.P. Act depends on the status of the employer-employee relationship. When the relationship is disputed, the Industrial Court is required to determine the unquestionability of the relationship before granting interim relief.
Final Decision: The order of the Single Judge and the Industrial Court was set aside, and the application for interim relief was restored to the Industrial Court for fresh consideration. The Industrial Court was directed to decide the application within four weeks, and the appellants were instructed to maintain the status quo.
2. Admit. Returnable forthwith.
3. Mr. P.S. Chavan, the learned Counsel waives service for respondent Nos. 1 to 15. Service on respondent No. 16 is dispensed with being formal party. We also dispense with the paper books.
4. By consent of the learned Senior Counsel and the learned Counsel appearing for the parties, the appeal is treated on board and heard finally at this stage.
5. The respondent Nos. 1 to 15 are the complainants in the complaint filed under Schedule II and Item Nos. 6, 9 and 10 of Schedule IV read with section 28(1) of the Maharashtra Recognition of Trade Unions and Prevention of Unfair Labour Practices Act, 1971 (for short 'M.R.T.U. P.U.L.P. Act'). The said complaint is directed against the present appellants.
6. The complainants averred in the complaint that they are employees of appellant No. 1-company. They alleged that the company is engaged in unfair labour practices. They prayed for direction to the first appellant-company to cease to engage in unfair labour practices and give the facilities and privileges of permanent employees to all the complainants and for an order restraining the company from terminating their services and from removing, shifting, selling, transferring or alienating in any way the plant and machinery. The complainants also made an application for interim relief. The appellants filed reply to the application and opposed the complainant's prayer for grant of interim relief. The appellants denied the relationship of employer and employee between the parties.
7. After hearing the parties and on the basis of the available material, particularly the identity cards, the Industrial Court vide its order dated June 1, 2004 granted interim relief in favour of the complainants and restrained the appellants from terminating the services of the complainants without following due process of law pending the hearing and final disposal of the complaint. The appellants were also restrained from removing, shifting, selling, transferring or alienating in any manner the plant and machinery.
8. The present appellants aggrieved by the order of the learned Industrial Court dated June 1, 2004 granting interim relief to the complainants filed a petition being Writ Petition No. 1857 of 2004. The learned Single Judge after hearing the parties dismissed the writ petition by order dated July 13, 2004. Aggrieved thereby, the appellants have preferred this appeal.
9. The Industrial Court in its order dated June 1, 2004 held that the contention raised by the present appellant No. 1 that there is no employer employee relationship between the present appellant No. 1 and the complainants cannot be prima facie believed. The learned Single Judge observed that the present appellant No. 1 has made a patently unsustainable attempt to defeat the jurisdiction of the Industrial Court by a bold denial of existence of the employer and employee relationship.
10. In (Cipla Limited v. Maharashtra General Kamgar Union and others)1, 2001(2) Bom.C.R. (S.C.)822 the Supreme Court observed thus :
"7. But the thing is clear- if the employees are working under a contract covered by the Contract Labour (Regulation and abolition) Act then it is clear that the Labour Court or the industrial adjudicating authorities cannot have any jurisdiction to deal with the mater as it falls within the province or an appropriate Government to abolish the same. If the case put forth by the workmen is that they have been directly employed by the appellant-company but the contract itself is a camouflage and, therefore, needs to be adjudicated is a matter which can be gone into by appropriate Industrial Tribunal or Labour Court. Such question cannot be examined by the Labour Court or the Industrial Court constituted under the Act. The object of the enactment is, amongst other aspect, enforcing provisions