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2019 Supreme(Ori) 342

IN THE HIGH COURT OF ORISSA, CUTTACK
SANJU PANDA, S.K. SAHOO, JJ.
General Secretary, North Orissa Workers Union, Rourkela - Appellant
Versus
Superintendent, Prospecting Division & Another - Respondent
Original Jurisdication Case No. 3398 of 2002
Decided On : 29-01-2019

Advocates:
Advocate Appeared:
S.C. Samantaray, Adv., Sarada Prasanna Sarangi, Adv., D.K. Das, Adv., P.K. Dash, Adv.

Headnote:

Industrial Dispute - Termination of Services - Industrial Disputes Act, 1947 - Section 10, 25F - The court held that the termination of the workmen was illegal due to non-compliance with section 25F of the Industrial Disputes Act, and the Union had the locus standi to represent the workmen. The court awarded compensation of Rs. 1,00,000/- to each workman.

Fact of the Case:

The workmen were terminated from their services by the Management of Geological Services, Tata Iron & Steel Co. Ltd. The Union raised a dispute before the authority, which was referred to the Tribunal by the Central Government for adjudication.

Finding of the Court:

The court found that the termination of the workmen was illegal due to non-compliance with section 25F of the Industrial Disputes Act. The court also held that the Union had the locus standi to represent the workmen.

Issues: The issues framed by the Tribunal were: i. Whether the reference is maintainable? ii. Whether the action of the Management in terminating the services of the workmen is justified? iii. If not, to what relief the workmen are entitled?

Ratio Decidendi: The court held that the termination of the workmen was illegal due to non-compliance with section 25F of the Industrial Disputes Act. The court also found that the Union had the locus standi to represent the workmen.

Final Decision: The court awarded compensation of Rs. 1,00,000/- to each workman, to be paid by the Management within a period of eight weeks from the date of the judgment.

JUDGMENT :

S. K. SAHOO, J.

1. The petitioner General Secretary, North Orissa Workers' Union representing forty five workmen in this writ application has challenged the award dated 19.12.2000 passed by the learned Presiding Officer, Industrial Tribunal, Rourkela in Industrial Dispute Case No.51 of 1997 (C) in holding the reference made by the Government of India in the Ministry of Labour in exercise of power under clause (d) of sub-section (1) and sub-section (2A) of section 10 of the Industrial Disputes Act, 1947 (hereafter 1947 Act') as not maintainable and the workmen are not entitled to the relief.

2. The reference made vide no.L-26011/7/94-IR(Misc.) dated 25.11.94 was as follows:

"Whether the action of the Management of Geological Services, Tata Iron & Steel Co. Ltd., At/P.O.:- Joda, in terminating the services of Sri Sukulal Sandil and 44 others (list enclosed) w.e.f. 1.4.93 is justified? If not, to what relief the workmen are entitled to?"

In the proceeding before the Industrial Tribunal, the petitioner was the 2nd party and the opp. party no.1 was the 1st party.

3. It is the case of the 2nd party workmen that they joined their duties in different months and years as temporary workers under the 1st party Management with some artificial break in service for few days and lastly, they were denied work w.e.f. 01.04.1993 without any written order. On enquiry by the 2nd party workmen as to why they were not given work, the Officer in-charge of the site informed them that their files had been sent to the headquarter at Jamshedpur and on receipt of the order from the headquarter, they would be taken back in service permanently under the 1st party Management and they were advised to wait. Since after waiting for some time, the workmen did not receive any order from the 1st party Management, they approached the Union for taking up their matter with the authority for their reinstatement in service with full back wages and accordingly, the Union raised the dispute before the authority which was referred to the Tribunal by the Central Government for adjudication. It is the specific case of the 2nd party workmen that they had completed about twenty years of service under the 1st party Management and that the action of the 1st party Management in terminating their services was illegal, arbitrary, violation of natural justice and also amounted to unfair labour practice and therefore, the 2nd party workmen were entitled to be reinstated with full back wages.

4. The 1st party Management submitted its written statement stating therein that the petitioner Union did not have any locus standi to represent the workmen. The outdoor section of Geological Services Department of the 1st party Management was undertaking the assignment related to prospecting/drilling project job only wherever and whenever it was necessary on the requisition of the mines Management at any location/unit/establishment of Raw Materials Division of M/s. Tata Iron & Steel Company Ltd. The very nature of work was temporary and intermittent and not perennial. The opening and closure of any project assignment was carried out for a temporary period in any mining establishment on the need and requirement of the Steel Company. The local person were engaged on casual/temporary basis for a specific period only and whenever the project work was completed/suspended, the labourers so engaged on temporary/contractual service automatically ceased to be in employment. The action of the Management was in conformity with the terms of contract and conditions of services proposed by the proposer (employer) and accepted by the promisee (workmen). The Management was offering temporary contractual engagement, depending upon its requirement. The 1st party Management relied upon memorandum of agreement dated 28.07.1980 between the Tata Iron & Steel Company Ltd. and the Tata Workers' Union, representing the outdoor staff of Geological Services Department of the Company. The workmen according to the Ma

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