IN THE HIGH COURT OF KERALA AT ERNAKULAM
N. NAGARESH, J.
Xavier K.V. S/o Varkey – Petitioner
Versus
State of Kerala Rep. by Secretary, Department of Health and Family Welfare – Respondent
W.P. (C) Nos. 33329 of 2018, 15749 of 2019
Decided On : 16-09-2020
Right to Information Act ;; The Companies Act, 1956- Section 25 -The Society is intended to rectify the deficiency of government staff in the hospital and that the primary object of establishing Hospital Development Society in Government Medical College Hospitals, is to ensure better services to the public without any financial commitment to the Government-Hospital Development Society is an instrumentality of the State- It is a quasigovernment body.
Statement of facts:
W.P. (C) No. 33329 of 2018 has been filed by three Ex-servicemen, seeking to direct respondents 1 to 3 to comply with the directions contained in Exts.P1 to P4 and to employ to the post of Guards in the establishment of the second respondent only persons deployed through the fourth respondent. W.P. (C) No. 15749 of 2019 has been filed by Kerala Ex-servicemen Welfare and Rehabilitation Corporation (the fourth respondent in W.P. (C) No. 33329/2018) seeking to direct respondents 1 and 2 to comply with the directions contained in Exts.P1 to P4 and employ to the post of Guards in the establishment of the second respondent at the rates prescribed under prevailing Government Orders for personnel deployed through the petitioner-Corporation. Since W.P. (C) No. 15749 of 2019 contains more materials to decide the issues involved, it is considered as the main case and the parties are referred to as contained in the cause title to W.P. (C) No. 15749 of 2019.
Finding of the court:
Interim measures have to be made in the matter of payment of wages to the security staff engaged by the 2nd respondent through the petitioner- Corporation, till the first respondent-State takes a final decision as directed hereinabove. Therefore, the second respondent is directed to pay daily wages to the security staff deployed by the petitioner in W.P. (C) No. 15749/2019 at the rate of Rs. 500/- plus 5% service charges and GST as applicable, with effect from 10.03.2020 as an interim measure and till the Government of Kerala takes a final decision in the matter
Result: Writ petitions disposed of
JUDGMENT :
N. NAGARESH, J.
1. W.P. (C) No. 33329 of 2018 has been filed by three Ex-servicemen, seeking to direct respondents 1 to 3 to comply with the directions contained in Exts.P1 to P4 and to employ to the post of Guards in the establishment of the second respondent only persons deployed through the fourth respondent. W.P. (C) No. 15749 of 2019 has been filed by Kerala Ex-servicemen Welfare and Rehabilitation Corporation (the fourth respondent in W.P. (C) No. 33329/2018) seeking to direct respondents 1 and 2 to comply with the directions contained in Exts.P1 to P4 and employ to the post of Guards in the establishment of the second respondent at the rates prescribed under prevailing Government Orders for personnel deployed through the petitioner-Corporation. Since W.P. (C) No. 15749 of 2019 contains more materials to decide the issues involved, it is considered as the main case and the parties are referred to as contained in the cause title to W.P. (C) No. 15749 of 2019.
2. The petitioner is a Corporation registered under Section 25 of the Companies Act, 1956. The object of the petitioner-Corporation is to formulate, promote and implement any Scheme aimed at the welfare of the Ex-servicemen. The petitioner is represented by its Administrative Officer, who is a Deputy Secretary to the Government of Kerala, on deputation to the Corporation. The petitioner-Corporation has been established by the Kerala State Government to rehabilitate the Ex-servicemen, war widows and their dependents. The main object of the Corporation is to provide Ex-servicemen for various organisations including Central and State Public Sector Undertakings as security personnel. The petitioner though owned by the Government of Kerala, does not receive any financial assistance from the Government.
3. The second respondent is Trivandrum Medical College Hospital Development Society. The petitioner and second respondent have entered into a contract for supply of manpower as per Ext.P5 agreement dated 01.12.2015. In Ext.P5, it was agreed that the second respondent-Hospital Development Society would engage Security Guards from the petitioner-Corporation for daily wage of Rs. 400/- per day plus 5% service charge and service tax as applicable. The said rate was fixed based on Ext.P6 G.O. dated 28.10.2014, contends the petitioner. Subsequently, the rates prescribed in Ext.P6 were revised by the Government as per Ext.P7 G.O. dated 26.02.2016. By Ext.P7, the daily wage of Security Guards was fixed as Rs. 675/-.
4. On the expiry of the period of contract, the petitioner sought for renewal of contract, as per wages fixed under Ext.P7. However, the second respondent refused to accept the said wage rate. The contract was, however, renewed for three months from 10.12.2017, as per Ext.P8. Under compulsions, the petitioner renewed the contract for one more year and a fresh contract, Ext.P9, was entered into for the period up to 09.03.2019.
5. In the meanwhile, the Government revised the rates of wages covered by Exts.P6 and P7, as per Exts.P10 and P11. By Ext.P11, the daily wage of Security Guards was revised as Rs. 725/- per day. In spite of such enhancement in daily wages in respect of Security Guards engaged in other arms of the Government, the second respondent did not care to extend the same wages to the Ex-servicemen employed through the petitioner-Corporation. The second respondent, however, stated as per Ext.P12 that contract with the petitioner can be renewed at a consolidated wage rate of Rs. 550/- inclusive of 18% GST, 13% EPF and 5% Service Charges. The petitioner was not ready to accept the said amount. If the said rate is accepted, a Security Guard would get only a wage of Rs. 310/- per day, which is less than the minimum wages prescribed, contended the petitioner.
6. On an application made under the Right to Information Act, the petitioner was informed as per Ext.P15 that the second respondent has appointed certain Guards at daily wage of Rs. 722/- per day. It is u
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