High Court of Judicature at Madras
THE HONOURABLE CHIEF JUSTICE MR. MANMOHAN SINGH LIBERHAN
Mamundiraj N. and Others - Appellant
Versus
Bharat Heavy Electricals Limited, Trichy and Another - Respondents
W.A. Nos. 312 and 313/1995
Decided On : 05 November 1997
TAMIL NADU INDUSTRIAL ESTABLISHMENT (CONFERMENT OF PERMANENT STATUS OF WORKMEN) ACT, 1981 - SECTION 3 - Continuous service - Interpretation - Cessation of work - Unfair labour practice.
Fact of the Case:
The appellants were sponsored by the Trade Apprenticeship, completed it with the respondents and they passed the examination. In 1983 they were interviewed and absorbed in the post of Artisan Grade IV skilled workers as Non-muster Employees. Later in 1985, they were designated or termed as Casual labourers, the Deputy Chief Inspector of Factories vide his order dated December 22, 1993, held the appellants to be entitled to be declared as permanent employees as envisaged by Tamil Nadu Industrial Establishment (Conferment of Permanent Status of Workmen) Act, 1981, hereinafter referred to as 1981 Act).
Finding of the Court:
The Court held that the appellants were entitled to be declared as permanent employees as envisaged by the Tamil Nadu Industrial Establishment (Conferment of Permanent Status of Workmen) Act, 1981. The Court found that the appellants had worked for 480 days in the preceding 24 calendar months and that the interrupted period of service, if any, or cessation of work, if any, was an unfair labour practice. The Court also found that the relationship of master and servant was not a quint-essential requirement for conferment of permanent status.
Issues: 1. Whether the appellants have worked for 480 days in preceding 24 calender months? 2. Whether the interrupted period of service, if any or cessation of work if any, about is an unfair labour practice.
Ratio Decidendi: The Court held that the appellants were entitled to be declared as permanent employees as envisaged by the Tamil Nadu Industrial Establishment (Conferment of Permanent Status of Workmen) Act, 1981. The Court found that the appellants had worked for 480 days in the preceding 24 calendar months and that the interrupted period of service, if any, or cessation of work, if any, was an unfair labour practice. The Court also found that the relationship of master and servant was not a quint-essential requirement for conferment of permanent status.
Final Decision: The Court disposed of the writ appeals with no order as to costs.
MANMOHAN SINGH LIBERHAN, C.J.
The appellants were sponsored by the Trade Apprenticeship, completed it with the respondents and they passed the examination. In 1983 they were interviewed and absorbed in the post of Artisan Grade IV skilled workers as Non-muster Employees. Later in 1985, they were designated or termed as Casual labourers, the Deputy Chief Inspector of Factories vide his order dated December 22, 1993, held the appellants to be entitled to be declared as permanent employees as envisaged by Tamil Nadu Industrial Establishment (Conferment of Permanent Status of Workmen) Act, 1981, hereinafter referred to as 1981 Act).
2. The employer impugned the order in W.P. No. 1843 of 1994 on the grounds that the order was non-speaking order. It did not consider the sine quo non for conferring the status of permanent employees as the workmen did not work for a continuous period of 480 days during the preceding 24 calender months. As the interrupted periods of employment were wrongly directed to be counted, the long interruption would not come within the purview of authorised interruption.
3. The appellants refuted the averments and averred that questions raised in the writ petition were not raised before the authorities. A workman would be deemed to be in continuous service in terms of Sec. 3(2) of 1981 Act for the purpose of conferring the permanent status during the period of discharge or non-employment in as much as the cessation of work, if any, was not due to the fault of the workman and break in work brought about was an unfair labour practice to prevent the claim of the workman for regularisation. Thus, break in service, if any, cannot be taken note of.
4. The Hon'ble Single Judge, on perusal of the impugned order, documents placed on record and after noticing the sequence of events, the facts and circumstances of the case found, that the impugned order conferring the status of a regular workman in terms of 1981 Act cannot be termed as non-speaking order. During the period between 1983 and 1992 when the claim for conferring the status of regular workman was made they were stopped from work with effect from March 31, 1992. It was observed that unless the relationship of master and servant subsist, any interruption cannot be taken into account. The deeming provisions for continuous service i.e., cessation of work which is not due to any fault on the part of the workman is equivalent to Sec. 25-B of the Industrial Disputes Act. Consequently, as the Hon'ble Supreme Court, while dealing with the concept of non-employment under Sec. 25-B of the I.D. Act observed, it would include retrenchment as well as a person whose service has been terminated or dicharged albeit illegal cannot at all be said to be a person in service, much less in continuous service. The Hon'ble single Judge observed that the concept of continuous service envisages a workman being in employment of 24 calender months; continuous service of 480 days; subsisting contract when it refers to service and non snapping of ties between employer and employee and employee. Thus in view of the observation made above, the Hon'ble single Judge found that as no finding has been given with respect to (i) whether the breaks in service, which are admittely seen in the statement of particulars produced, would amount to cessation of work during employment; (ii) whether the relationship of master and servant continued for the entire period, remanded the case to the authorities for proper consideration and to decide in the light of the observations made.
5. Learned counsel for the appellants contended that on facts and circumstances no issue, as pointed out by the Hon'ble single Judge, arises for determination. It is exuberated in labour jurisprudence; in industrial law and in the Industrial field as understood by the establishments and the workmen that the concept of subsistence of relationship of master and servant while conferring a right of being a regular or permanent
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