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2024 Supreme(Guj) 1406

IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
Sunita Agarwal, CJ., Pranav Trivedi, J.
Gujarat State Part Time Employees Association Through - Appellant
Vs.
State Of Gujarat & Ors. - Respondent
Writ Petition (PIL) NO. 55 of 2012
Decided On : 14-06-2024

Advocates:
Advocate Appeared:
For the Appellant : Mr Hardik H Pandit
For the Respondent: Mr. Krutik Parikh Assistant Government Pleader

IMPORTANT POINT
The court affirmed the state's right to outsource non-core public employment functions, limiting judicial review to cases of extreme arbitrariness.

Headnote:

Outsourcing - Public Employment - Contract Labour (Regulation and Abolition) Act, 1970 - The court upheld the state's policy on outsourcing, emphasizing the limited scope for judicial review in policy matters unless extreme arbitrariness is demonstrated.

Fact of the Case:

The petition was filed by an unregistered association representing part-time workers challenging the government's outsourcing policy for Class-III and Class-IV employees, claiming it violated constitutional provisions regarding public employment.

Finding of the Court:

The court found that the grievances of part-time workers had been addressed through previous judgments and government circulars, and the petition lacked merit as it was based on vague assertions without demonstrating any illegality in the outsourcing policy.

Issues: Whether the outsourcing policy for Class-III and Class-IV employees violates constitutional provisions regarding public employment and whether the petitioner's association has the standing to challenge the policy.

Ratio Decidendi: The court held that the state has the authority to implement outsourcing policies for non-core functions and that such policies are not subject to judicial review unless proven to be arbitrary or unconstitutional.

Result: The writ petition was dismissed as devoid of merits.

JUDGMENT :

Sunita Agarwal, CJ.

1. This is wholly a misconceived petition filed in the name of Gujarat State Part Time Employees Association, through its President Mr. Girish Chhaganbhai Vaghela, who is a part time worker. The organization in which the alleged President of the Association is working has not been disclosed in the writ petition. There is no assertion in the writ petition that the petitioner – Association is a registered Association. There is no description of members of the petitioner – Association in the writ petition. We, therefore, have a reasonable doubt as to the credentials of the petitioner – Association to maintain the writ petition. It seems that the instant petition has been filed by a part time worker to agitate the grievances of the part time workers pertaining to the Government Resolution dated 01.04.2010, which has been issued for outsourcing of Class-III and Class-IV employees in Government Service.

2. In various paragraphs of the writ petition, it is stated that the whole concept of outsourcing is against the constitutional scheme of public employment by the Government. The State Government being a Welfare State though can make interim arrangement to engage workers on daily wage, but cannot bring an enactment to engage workers in public employment through contractors, who according to the petitioner, are middlemen. It is stated that a regular process of recruitment or appointment has to be conducted when regular vacancies are to be filled up that too, in accordance with the service rules. It is contended that the respondents are encouraging back- door entries in the public employment by outsourcing method. The power of the State being a model employer is more limited than that of a private employer and subjected to constitutional limitation and cannot be exercised arbitrarily. The contractors have become private employers to engage persons in public employment which is totally unconstitutional. It is then contended that no government order can substitute the statutory rule framed by the competent authority for recruitment the persons to public post. The further submission is made that no rules are framed for medical test, police inquiry, age, reservation etc., while laying down the conditions in the tender which are mandatory conditions in the public employment. The policy pertaining to outsourcing is prone to misuse of public exchequer by introduction of third party contracters in public employment. Reference has been made to the decision of the Apex Curt in the case of Secretary, State of Karnataka & Ors., v. Uma Devi & Ors., reported in (2006) 4 SCC 1.

3. Dealing with the above contentions, it is stated in the affidavit of the Deputy Secretary, Finance Department, Government of Gujarat, that the State Government has issued a Government Resolution dated 25.04.2012 inter alia resolving to the effect that the tenure of the part-timers working with the offices will be extended only upto 31.05.2012 , with a further instruction that the respective offices during the said period, should initiate necessary steps as regards the engagement of employees through outsourcing and should complete the same on or before 31.05.2012. The said Government Resolution dated 25.04.2012 has been challenged by the part-timers working with respective offices in writ petition being Special Civil Application No. 7467 of 2012 and other cognate matters. After hearing the parties, this Court had passed an interim order of status quo on 31.05.2012, qua the petitioners in the said group of writ petitions, which are pending herein before this Court.

4. In another affidavit of the Under Secretary, General Administration Department, Government of Gujarat, filed on 13.09.2019, it is stated that in the aforesaid writ petition, namely Special Civil Application No. 7462 along with 50 cognate matters seeking mandamus, commanding the respondent authorities not to terminate the services of part-time workers pursuant to the Government Resoluti

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