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2025 Supreme(Jhk) 2214

IN THE HIGH COURT OF JHARKHAND AT RANCHI
DEEPAK ROSHAN, J.
Food Corporation of India, through its General Manager (Region), Amit Bhushan son of Shri U.K. Asthana – Appellant 
Versus
Mahesh Sharma, Son of Haridwar Sharma – Respondent 
W.P. (L) No. 2617 of 2017
Decided on : 01-12-2025

Advocates Appeared:
For the Appellant : Mr. Nipun Bakshi, Adv Mr. Shubham Sinha, Adv
For the Respondent: Mr. Rahul Kumar, Adv.

A complaint regarding the alteration of service conditions during pending proceedings is only maintainable if the employer’s action contravenes the statutory prohibition against changing service conditions connected to the pending dispute. A show-cause notice for retrenchment does not constitute such a prohibited change in service conditions.

Headnote:(A) Industrial Disputes Act, 1947 - Sections 9A, 33 and 33-A - Labour Law - Industrial dispute - Complaint regarding change in service conditions - Condition precedent for invocation of jurisdiction under Section 33-A is mandatory proof of contravention of Section 33 - Mere issuance of show-cause notice for retrenchment or refusal to regularize does not constitute alteration of condition of service nor does it necessarily relate to matters connected with pending adjudication - Absence of nexus between such action and pending dispute renders the complaint non-maintainable. (Paras 15, 17, 18, 19, 21)

(B) Appellate Jurisdiction - Scope - Court in appeal must examine whether the decision below is afflicted by perversity or jurisdictional error - Where the tribunal fails to examine the essential preliminary issue of whether a statutory contravention has occurred, the order is liable to be quashed. (Paras 9, 11, 21, 26)

Facts of the case:
Workers were engaged as casual employees over two decades. A dispute regarding regularization arose. The employer issued a show-cause notice proposing retrenchment and decided against regularization. The workers filed a complaint before the labour tribunal alleging that these actions violated existing service conditions while a separate industrial dispute concerning wage rates was pending adjudication.

Findings of Court:
The court held that a complaint under the special procedure for service condition changes is only maintainable if there is a demonstrated breach of the statutory provisions regarding the maintenance of status quo. As no final termination occurred and the actions lacked the requisite nexus with the pending dispute, the complaint was pre-mature and legally unsustainable. However, considering the long tenure of service, the court ordered that no recovery of prior benefits is permissible.

Issues: The main issues were whether the employer's refusal to regularize and the issuance of a show-cause notice constitute a prohibited change in service conditions under the relevant labour legislation, and whether the complaint was maintainable without proving the statutory elements of contravention.

Ratio Decidendi: The tribunal lacked jurisdiction as the condition precedent—an actual infringement of the statutory provision prohibiting unauthorized changes to service conditions during the pendency of a grievance—was not satisfied. A show-cause notice does not constitute an alteration of service conditions, and the subject matter lacked the necessary connection to the ongoing dispute regarding wage rates.

Result: Writ petition allowed; impugned award quashed.

Table of Content
1. historical factual background of employment and litigation. (Para 1 , 2 , 3 , 4 , 5 , 6)
2. arguments regarding maintainability of complaint under section 33a. (Para 7 , 8 , 9 , 10 , 11 , 12 , 13)
3. statutory scope of section 33 and section 33a. (Para 14 , 15 , 16 , 17)
4. requirement of nexus for section 33(1) contravention. (Para 18 , 19 , 20 , 21)
5. equitable considerations for long-term de facto permanent employees. (Para 22 , 23 , 24)
6. quashing of tribunal award due to lack of jurisdictional contravention. (Para 25 , 26 , 27)

JUDGMENT :

DEEPAK ROSHAN, J.

1. Heard the learned counsel for the parties.

2. The Petitioner Food Corporation of India has filed this Writ Petition against the award/order dated 14.01.16 passed by the Learned Central Government Industrial Tribunal No.1, Dhanbad, in Complaint Case No. 06/2014 setting aside the decision dated 27.09.13 by which it was decided not to regularize the service of the Respondents/Workmen and also setting aside decision to terminate their service from Food Corporation of India.

3. The brief facts of the case are that the Food Corporation of India is a Government Corporation constituted under the Food Corporations Act, 1964 and is owned and controlled entirely by the Government of India. The Respondents/Workmen in this case were initially engaged as casual daily wage workers in Food Storage Depot, Koderma and were working since March 1984.

The Respondents were disengaged/retrenched without compliance with the requirement of payment of compensation provided under Section 25F of the Industrial Disputes Act, 1947. They raised an industrial dispute against the action of retrenchment which was referred to the Central Government Industrial Tribunal No. 2 at Dhanbad and registered as Reference Case No. 94/1995. This reference was decided in favour of the Respondents by an award dated 17.09.1996 with a direction for reinstatement in service and the Food Corporation of India was also directed to regularize their service with effect from 1.09.1985 without any back wages.

4. The record further reveals that this award passed in Reference 94/1995 was challenged in C.W.J.C No. 559/1997(R) before the Patna High Court (Ranchi Bench) and the Writ Petition was allowed in part by order dated 04.11.1997 modifying the award by setting aside the direction to regularize as it was beyond jurisdiction of the Tribunal. The Petitioner-Management was directed to consider the case of the concerned workman for regularization of service.

Both sides moved before the Division Bench by preferring appeals against this order of the Single Judge. The Corporation’s appeal was registered as LPA No. 597/1997 (R) and was confined to the order of reinstatement. The Respondents’ appeal was registered as LPA No. 547/1997 (R) and was against the direction for setting aside direction for regularization.

The Petitioner could not obtain stay at appellate stage which was turned down by order dated 06.04.1998 in LPA No. 597/1999(R) and it therefore, approached Hon’ble Supreme Court in SLP(Civil) No. 12393 of 1998 and by order dated 04.01.1999 the Management was directed to first reinstate all 24 casual employees.

On 12.02.1999, The District Manager, FCI, Hazaribagh issued an order of reinstatement in service. The case was disposed of by the Hon’ble Apex Court on 15.02.1999 restoring the direction that the Management would take decision regarding regularisation of service of these workmen.

The appeal of the Petitioner-FCI before the High Court being LPA No. 579/1997(R) was dismissed on 11.05.2010. The other appeal, LPA 547/1997 (R) was not pressed by the workmen.

5. Pursuant thereto; the District Manager, FCI, Hazaribagh modified the reinstatement order by reinstating all 24 casual workmen on the post of “watchman” with effect from 01.9.1985. The result is that on and after 01.07.2000 all these 24 casual workers were given permanent status and post of “Watchman” which is a sanctioned Category-D post in Food Corporation of

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