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1994 Supreme(Raj) 1007

RAJASTHAN HIGH COURT
Arun Madan, J.
Chagan Lal Sethi - Appellant
Versus
The State of Rajasthan and another - Respondent
S.B. Civil Writ Petition No. 3057 of 1989.
Decided On : 16-12-1994

The provisions of Section 25-H of the Industrial Disputes Act, 1947, and Rules 77 and 78 of the Industrial Disputes Rules, 1958, regarding re-employment of retrenched workmen, do not apply to temporary employees whose services are terminated due to the expiry of their contractual period of employment.

Headnote:

INDUSTRIAL DISPUTES ACT, 1947 - SECTION 25-G, 25-H - RULES 77, 78 - RE-EMPLOYMENT OF RETRENCHED WORKMEN - PREFERENCE TO RETRENCHED WORKMEN - INTERPRETATION OF STATUTORY PROVISIONS - APPLICABILITY TO TEMPORARY EMPLOYEES - SCOPE OF RE-EMPLOYMENT PROVISIONS.

Fact of the Case:

The petitioner, a temporary employee appointed as LDC on daily wages, challenged the validity of fresh appointments made by the respondents without considering his candidature for re-employment. He argued that the provisions of Section 25-H of the Industrial Disputes Act, 1947, and Rules 77 and 78 of the Industrial Disputes Rules, 1958, cast a statutory duty on the employer to give preference to retrenched workmen for re-employment.

Finding of the Court:

The court held that the petitioner's case did not fall within the ambit of 'retrenchment' as defined under Section 2(oo) of the Act. Since the petitioner was appointed on a temporary basis and his name was not sponsored through the Employment Exchange, he could not claim any legal right of continuity in service or preference over other candidates who were duly selected through the proper process.

Issues: 1. Whether the provisions of Section 25-H of the Industrial Disputes Act, 1947, and Rules 77 and 78 of the Industrial Disputes Rules, 1958, apply to temporary employees? 2. Whether the petitioner was entitled to preference for re-employment over other candidates who were duly selected through the Employment Exchange?

Ratio Decidendi: 1. The court interpreted Section 25-H of the Act and Rules 77 and 78 of the Rules as being applicable only to cases of retrenchment, where workmen are discharged from service due to surplus labor or staff. 2. The court distinguished the petitioner's case from cases of retrenchment, holding that his termination of service was due to the expiry of his contractual period of employment and not due to retrenchment. 3. The court further held that the petitioner's name not being sponsored through the Employment Exchange disqualified him from claiming any legal right to fresh appointment or preference over other candidates who were duly selected through the proper process.

Final Decision: The court dismissed the writ petition, holding that the petitioner was not entitled to any relief sought and that the impugned appointments made by the respondents were valid.

JUDGMENT

1. - This writ-petition filed under Art. 226 of the Constitution of India by, the above named petitioner involves the interpretation of the provisions of the Industrial Disputes Act, 1947 (hereinafter to be referred as `the Act'), more particularly S. 25-G & 25-H and Rules 77 and 78 of the Industrial Disputes Rules, 1958 (hereinafter to be referred as the `Rules'). The brief facts giving rise to the filing of this writ petition are that the petitioner after being duly selected through the Departmental Selection Committee and after having passed the typing test through the employment exchange was given appointment vide office order dated 1-9-88. The petitioner continued to work in the office of respondent No. 2, i.e. Assistant Director, Sikar up to February, 1988 and thereafter the services of the petitioner were sought to be extended by the Sikar office of respondent No. 2, which was duly communicated in terms of office order dated 2-2-88. It has been averred in the writ petition that the services of the petitioner were taken in the month of March, 1988 for the whole month by the respondents in the Sikar Office without any written order of fresh appointment.

2. It has been further averred that the petitioner having become aware regarding fresh appointment of new candidates on the post of LDC by the respondents without considering the candidature of the respective candidates who have already gained service experience in the Department like the petitioner and those who were duly appointed by the earlier Departmental Promotion Committee through the Employment Exchange were ignored.

3. It has been further contended by the petitioner that the provisions of S. 25-H of the Act deals with re-employment. Section 25-H of the Act reads as under:-

"25-H. Re-employment of retrenched workmen.- Where any workmen are retrenched, and the employer proposes to take into his employ any persons, he shall, in such manner as may be prescribed, give an opportunity to the retrenched workmen who are citizens of India to offer themselves for re-employment, and such retrenched workmen who offer themselves for re-employment shall have preference over other persons."

4. Thus in view of the above provisions of the Act which casts a statutory duty on the employer that in the event of offering fresh appointment to employees, preference will be given to the workmen who were earlier retrenched by the employer and thus who offer themselves for re-employment, shall have preference over other persons. It was enjoined upon the respondent No. 2 to have duly considered the candidature of the petitioner who was earlier in the employment of the respondents and who had offered himself for re-employment. It has been contended by the petitioner that the above provision of law was ignored by respondent No. 2. It has been further contended that by virtue of Rr. 77 and 78 of the Rules which stipulate a statutory duty upon the employer to prepare a seniority list of all the workmen in the particular category from which retrenchment is contemplated and those who were working in the Department earlier, in the event of re-employment, the respondents could have given preference to the earlier candidates in the matter of appointment has also been ignored inasmuch as the respondents neither gave any intimation of vacancies by registered notice to the petitioner nor displayed the vacancies which are to be filled up in the office of respondent No. 2 by displaying the vacancies on a conspicuous place in the premises of the industrial establishment as contemplated by the aforesaid Rr. 77 and 78, which are reproduced hereinbelow:-

"77. Maintenance of seniority list of workmen. The employer shall prepare a list of all workmen in the particular category from which retrenchment is contemplated arranged according to the seniority of their service in that category and cause a copy thereof to be pasted on a notice board in a conspicuous place in the premises of the industrial establishmen















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