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2024 Supreme(Online)(Del) 31356

IN THE HIGH COURT OF DELHI AT NEW DELHI
Chandra Dhari Singh, J
KANCHANJUNGA BUILDING EMPLOYEES UNION – Appellant
Versus
KANCHANJUNGA FLAT OWNER'S SOCIETY & ANR – Respondent
W.P.(C) 6193/2008



Advocates:
For the Appellants/Petitioners: Mr. Manoj Joshi
For the Respondents: Mr. Harvinder Singh

The burden of proof for establishing employer-employee relationships lies on the claimant, and appropriate evidence must substantiate claims for regularization.

Headnote:(A) Article 226 of the Constitution of India - Regularization of Services - The petitioner sought to quash the award dated 29.5.2008 by the Industrial Tribunal denying regularization of workmen's services, arguing employment established by prior relations. The Tribunal ruled non-existence of employer-employee relationship. (Paras 26, 27, 44)

(B) Burden of Proof - The onus of proving employer-employee relationship lies on the party asserting it; failure to provide sufficient evidence led to the dismissal of the petition. (Paras 33, 36)

(C) Kontradictory Employer Definition - The court concluded that the respondent society doesn’t qualify as an ‘industry’ under Section 2(j) of the Act, as the services rendered were for private benefit of flat owners. (Paras 39, 42)

Facts of the case:
The Kanchanjunga Building Employees Union claimed regularization of workmen who had been engaged since 1985, while the Association contended it had no employer-employee relationship with them, as they were employed by contractors.

Findings of Court:
The workmen’s claims were dismissed; they lacked evidence of direct employment with the respondent association, and the Tribunal's decision was upheld.

Issues: The central issue was whether an employer-employee relationship existed between the workmen and the Association, barring their claim for regularization.

Ratio Decidendi: The court affirmed that the workmen failed to establish their employment status, as evidence only linked them to the contractor, not the Association, which was ultimately not deemed an industry as per the Act.

Result: Petition dismissed.

Table of Content
1. filing details and background of the employment dispute. (Para 1 , 2)
2. arguments presented by the workmen's union regarding employment status. (Para 3 , 4 , 5 , 6 , 7 , 8 , 9 , 10 , 11)
3. court's observations on procedural and evidential concerns. (Para 12 , 13 , 14 , 15 , 16 , 17 , 18 , 19 , 20 , 21 , 22 , 23 , 24)
4. deciding factors for establishing employer-employee relationship. (Para 33 , 36)
5. final decision to dismiss the petition. (Para 46 , 47)

ORDER

CHANDRA DHARI SINGH, J (Oral)

1. The instant petition under Article 226 of the Constitution of India has been filed on behalf of the petitioner seeking the following reliefs:

“a. issue a writ in the nature of certiorari for quashing the award dated 29.5.2008 passed by the Presiding Officer, Industrial Tribunal No. 1, Karkardooma Courts in I. D. No.61/2002;

b. the Petitioners services may be regularized.

c. issue such other writ, order and direction, as this Hon’ble Court may deem fit and proper in the facts and circumstances of the case.”

2. The relevant facts leading to the filing of the instant petition are as Signature Not Verified W.P.(C) 6193/2008 Page 1 of 19 Digitally Signed By:SARIKA under:

a. The building, namely Kanchanjunga was constructed in the year 1972 by its promoters M/s Kailash Nath & Associates which had engaged some persons to look after the security of the building maintenance and cleaning of the common area of the building and lift etc.

b. After some time, M/s Kailash Nath & Associates stopped the above said engagement and requested the flat owners to look after the same. Accordingly, in February, 1978, the flat owners formed an association known as Kanchanjanga Flat Owners Association (hereinafter “Association”), i.e., the respondent no. 1, to look after the security, maintenance and cleanliness of the common area of the building. Pursuant to the same, some personnel, i.e., the workmen represented through Kanchanjanga Building Employees Union herein were employed during the period of 1988-1996 as security guards and lift operators. Subsequently, in March, 1998 the above said association entered into an agreement with M/s Goliath Securities Pvt. Ltd., i.e., the respondent no. 2, to look after and provide necessary services on account of the security guards and lift operators, and the workmen were transferred through intermediary Contractors.

c. On 24th October, 2002, the workmen verbally requested the society management to regularize their services since they Signature Not Verified W.P.(C) 6193/2008 Page 2 of 19 Digitally Signed By:SARIKA had been working for very long time under their control and the same was denied. Thereafter, the workmen raised an industrial dispute against the Association which was referred for adjudication to the Industrial Tribunal by the appropriate government vide reference dated 24th July, 2002. The workmen then filed a claim through their Union in Industrial Dispute bearing ID No. 61/2002, thereby, seeking regularization of their services in the direct management of the Association.

d. In the above said dispute, the learned Industrial Tribunal passed an award dated 29th May, 2008 (hereinafter “impugned award”) against the workmen and held that the petitioners are not entitled for any relief.

e. Being aggrieved by the above said impugned award, the workmen have approached this Court seeking setting aside of the same.

3. Learned Counsel appearing on behalf of the workmen Union submitted that the impugned award has been passed erroneously and without taking into consideration the entire facts and circumstances of the case.

4. It is submitted that the learned Industrial Tribunal erred in not granting regularization to the workmen and the same is contrary to the settled position of law.

5. It is submitted that learned Industrial Tribunal erred in not considering that non-submission of sanctioned leave application, chargesheet or memo Signature Not Verified W.P.(C) 6193/2008 Page 3 of 19 Digitally Signed By:SARIKA during th

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