The commencement of conciliation proceedings under the Industrial Disputes Act triggers protections against altering conditions of employment during disputes.

“C.R” JUDGMENT

Since Common issues arise for consideration in these writ petitions, they were heard together and are disposed of by this common judgment.

2.W.P.(C) No. 1002 of 2016 is filed by the Managing Director of Force India Management Services and Securities (hereinafter referred to as the 'security agency', unless otherwise specifically stated), a proprietary firm engaged in the supply of security personnel for Government and non- governmental institutions. The Kerala State Beverages (Manufacturing and Marketing) Corporation Ltd. (hereinafter referred to as the 'KSBC', for short) invited competitive tenders for deployment of security guards (unarmed) on contract basis for security duty at their FL-9 warehouses and head ofÏce and on being awarded the contract, the petitioner entered into Ext.P1 agreement. As per clause 9 of the agreement, the liability to pay the salary and other statutory dues of the security staff is on the security agency. Clause 22 provides that the period of Contract will be for three years with effect from 16.07.2012 with an annual escalation based on the maximum variable Dearness Allowance as per the Consumer Price Index.

3. Pursuant to the contract, the security agency recruited 97 employees and deployed them at the various sites of KSBC. While continuing with such arrangement for security duties, the General Administration Department, Government of Kerala issued Circular No.71307/12/GAD dated 01.10.2012 directing the public sector undertakings and Government companies to engage security personnel from Kerala State Ex-Service Development and Rehabilitation (KEXCON). Based on the said circular, the KSBC took steps to terminate the contract arrangement with the petitioner. The petitioner filed W.P. (C) No.1437 of 2013 before this Court and on the strength of interim order dated 18.01.2013, the contract was continued. Later, the said writ petition was finally closed by judgment dated 08.09.2015 observing that the period of contract was already over by then. This writ petition is filed by the security agency contending that even after expiry of the period of contract, they are continuing; but the KSBC is not disbursing the amounts due to them in terms of clause 22 of the contract and therefore, prays for direction to KSBC to release the amounts due as annual escalation as provided under clause 22.

4.The KSBC has filed a counter afÏdavit resisting the averments in the writ petition contending that it had been engaging security guards from different security agencies since its inception in 1984 following open tender process and Ext.P1 contract provides clause for termination by giving two months notice and the contract with the petitioner agency was terminated on 18.01.2013 and annual escalation as per clause 22 of the contract is not available on expiry of the contract and while continuing on the strength of interim order of the Court.

5. W.P.(C) No.982 of 2016 is filed by the Kerala State Beverages Corporation Staff Organisation (INTUC), a trade union of workmen of the KSBC, registered under the Trade Unions Act, 1926 contending that the KSBC had engaged 93 workmen as security guards in their 22 warehouses and head ofÏce from the year 1984 uninterruptedly, but they are not paid wages and benefits as payable to regular employees and they are treated as 'contract labours' based on sham contracts to deny them their legitimate benefits. The petitioner union, by Ext.P1 charter of demands, raised an industrial dispute before the Labour Commi