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2024 Supreme(Raj) 180

IN THE HIGH COURT OF JUDICATURE FOR RAJASTHAN BENCH AT JAIPUR
Sameer Jain, J.
Hari Shanker Shankar Sharma son of Shri Moti Lal Sharma and ors. – Petitioners
Versus
Union of India, Bureau of Civil Aviation Security, New Delhi and ors. - Respondents
S.B. Civil Writ Petition No. 4586 of 1999, S.B. Civil Writ Petition No. 1877 of 2000, S.B. Civil Contempt Petition No. 856 of 2019, S.B. Civil Contempt Petition No. 259 of 2021
Decided On : 14-02-2024

Advocates:
Advocate Appeared:
For the Petitioner: Mr. Arvind Gupta with Mr. Sohan Sharma
For the Respondent: Mr. C.S. Sinha with Ms. Kanika Wadhwani for Mr. R.D. Rastogi, ASG, Mr. Krishna Verma

IMPORTANT POINT
Contractual engagement does not create a vested right of employment, and the fact of having rendered services for a long time by contractual employees shall not create a vested right of employment.

Headnote:

Employment - Contractual Workers - AIRPORT AUTHORITY OF INDIA ACT, 1994 - [AIRPORT AUTHORITY OF INDIA ACT, 1994] - The court discussed the employment status of the petitioners, the absence of an employer-employee relationship, and the legal principles regarding contractual engagement and regularization of contractual employees as established in K.K. Suresh v. Food Corporation of India and Ganesh Digamber Jhambhrundkar v. State of Maharashtra. The court emphasized that contractual engagement does not create a vested right of employment and that the fact of having rendered services for a long time by contractual employees shall not create a vested right of employment.

Fact of the Case:

The petitioners sought reinstatement and regularization, claiming to have rendered services with the respondent-Airport Authority of India for a considerable period. The respondents contested the existence of an employer-employee relationship and argued that the petitioners were third parties to the contract between the Airport Authority of India and the placement agency/contractor.

Finding of the Court:

The court found that the petitioners failed to establish an employer-employee relationship with the respondent and that the absence of any appointment letter and privity of contract between the petitioners and the respondent indicated a contingent and non-recurring nature of the work. The court relied on legal principles to conclude that contractual engagement does not create a vested right of employment and that the fact of having rendered services for a long time by contractual employees shall not create a vested right of employment.

Issues: The main issue was the existence of an employer-employee relationship between the petitioners and the respondent, and the entitlement of the petitioners to reinstatement and regularization.

Ratio Decidendi: The court held that the absence of an employer-employee relationship, the failure to produce an appointment letter, and the legal principles established in K.K. Suresh v. Food Corporation of India and Ganesh Digamber Jhambhrundkar v. State of Maharashtra led to the dismissal of the petitions. The court emphasized that contractual engagement does not create a vested right of employment and that the fact of having rendered services for a long time by contractual employees shall not create a vested right of employment.

Final Decision: The petitions were dismissed, but the court observed that the petitioners may prefer their applications for consideration in the future if there is any scheme of regularization/absorption, to be decided by the respondent-Airport Authority of India independently.

ORDER :

1. With the consent of learned counsel for both the sides, the present bunch of petitions, involving common questions of fact and law, are jointly taken up for final disposal. For the purpose of recording arguments and/or submissions, the lead file is taken as S.B. Civil Writ Petition No. 4586/1999 titled as Harishankar Sharma and Ors. vs. Union of India and Ors.

2. The instant petition is filed with the following prayers:-

    “It is, therefore, most respectfully prayed that your Lordships may graciously be pleased to accept and allow the present writ petition and to i)issue an appropriate writ, order or direction the petitioners be continued in the services of the respondents from the date of appointments irrespective of their being a deliberate break in service after every six months by the respondents in violation of Articles 14 & 16 of the Constitution of India;

ii) declare by appropriate writ or direction that the petitioners are in continuous service since their respective date of appointments since the petitioners have been shown as contractor labour under the Airport Authority.

iii)issue writ, order or direction in the nature of mendamous or any other appropriate writ, order or direction that the petitioners be entitled to get benefit of minimum pay scale of the posts on which they are discharging their duties.

iv)issue writ, order or direction to put the petitioners on the regular pay scales alongwith other consequential benefits of permanent employees from the date of their initial appointment.

v)any other appropriate writ, order or direction which the Hon’ble Court deems fit in the facts and circumstances of the case, may be passed in favour of petitioners.

vi)cost be awarded to the petitioners.”

3. It is submitted by learned counsel for the petitioners that the petitioners were rendering their services with the respondent-Airport Authority of India. The nature of the work rendered was menial yet integral, such as the day to day maintenance of the premises, like cleaning and gardening. Learned counsel submitted that the petitioners were gainfully employed through a placement agency/contractor, for a substantial period of time. During the said period, the administrative control qua the petitioners work, was within the control of the respondents. Furthermore, as per the version of the petitioners, by and large, a majority of the documents regarding the petitioners administration of work were also counter-signed by the principle employer i.e. respondents. Therefore, considering the fact that the petitioners rendered their services with the respondents for a considerable long period of time as Class-IV employees, a vested right of employment accrued in favour of the petitioners. In support of the arguments advanced, reliance was placed upon the dictum of the Hon’ble Apex Court as enunciated in HSEB vs. Suresh and Ors: AIR 1999 SC 1160, Air India Statutory Corporation and Ors. vs. United Labour Union and Ors.: (1997) 9 SCC 377 and International Airport Authority Employees Union and Ors. vs. International Airports Authority of India and Ors.: AIR 2001 SC 276.

4. While placing reliance upon the above-referred judgments, it was contended that the fundamental duty of the Court is to give shape and offer to the long, regular and sustained work undertaken by the petitioners. The Courts ought to pierce the veil and recognize the employer-employee relationship which exists between the petitioners and the respondents on account of the work so rendered, which often is camouflaged by the labeled contractual engagement. Lastly, learned counsel for the petitioners further submitted that after having taken note of the judgments relied upon herein-above, this Court vide order dated 04.05.2000 had granted an ex-parte stay in favour of the petitioners, which was subsequently confirmed, as the application filed by the respondents under Article 226(3) for vacation of stay was dismissed on 17.04.2001. Despite the same, the respondents proceeded

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