The court affirmed that the management's contract with a contractor was a sham, establishing the respondent as a direct employee entitled to reinstatement and back wages.

JUDGMENT :

(A.D. MARIA CLETE, J.)

Heard.

2. The petitioner, being the management, has filed the present writ petition challenging the award passed by the Industrial Tribunal, Puducherry, in I.D.(L) No.53 of 2017, dated 19.02.2020. By the said award, the Tribunal held that the non-employment of the contesting respondent was unjustified and accordingly directed the management to reinstate him with full back wages from 10.12.2015 along with all consequential monetary benefits.

3. The writ petition was admitted on 03.12.2020. Pending disposal of the writ petition, in W.M.P. No. 21344 of 2020, this Court directed the petitioner to deposit a sum of Rs.2,00,000/-, representing 50% of the back wages, before the Tribunal within a period of four weeks, and granted interim stay subject to that condition. After service of notice, the contesting respondent filed four separate miscellaneous petitions seeking various reliefs, on which no orders have been passed thus far. The respondent also filed an additional affidavit denying the petitioner’s allegation that he was employed in a private company as a contract labourer. He further stated that he was dependent on the support of his brother, was not gainfully employed, and that although his wife was working, their child was receiving free education.

4. The case of the petitioner is that it is a public limited company operating a ceramic factory at Karaikal engaged in the manufacture of various types of tiles. The contesting respondent, an ITI diploma holder, was initially engaged as an apprentice through sponsorship by the Government of Puducherry. Upon completion of his apprenticeship, he was issued a certificate dated 11.03.2008. Thereafter, he was deputed to work in the petitioner's factory through a contractor, namely, M/s. Mukunda Enterprises. According to the respondent, he was denied entry into the factory premises on 10.10.2015 and again on 01.12.2016. The respondent contended that the denial of employment was an act of victimization by the management in retaliation for the evidence he had given in a case filed by one of his colleagues.

5. The respondent raised an industrial dispute before the Government Labour Officer, Karaikal, by his letter dated 05.12.2016. The petitioner management filed a reply dated 31.01.2017, contending that the respondent was not their employee, having been engaged only as an apprentice earlier, and that no employer-employee relationship existed thereafter. The management further stated that they had engaged several contractors, and that the respondent had been employed by one such contractor, namely, M/s. Mukunda Enterprises. As the Conciliation Officer was unable to bring about a settlement, he submitted a failure report to the Government of Puducherry by his report dated 13.09.2017.

6. By G.O.Rt.No.157, Labour Department, dated 17.10.2017, the Government of Puducherry referred the dispute for adjudication to the Labour Court, Puducherry. The terms of reference annexed to the order, made under Section 10(1) read with Section 2A of the Industrial Disputes Act, are as follows:—

“(a)Whether the dispute raised by the petitioner Thiru P.Sandhirakasu, Karaikal against the management of M/s. Murudeshwar Ceramics Ltd, Karaikal over re-instatement with back wages is justified or not? If justified, what relief he is entitled to? If justified, what relief he is entitled to?

(b) To compute the relief, if any, awarded in terms of money, if it can be so computed.”

7. Upon receipt of the order of reference from the Government, the Industrial Tribunal, Puducherry, took up the dispute as I.D.(L) No.53 of 2017 and issued notices to the parties. The respondent filed a claim statement dated 07.11.2017, contending that he was an employee of the management and that the management, with an intent to deny him his legitimate dues, had falsely labeled him as a contract employee. He further asserted that he was initially trained as an apprentice in the trade of diesel vehicle and polishing pla