LexFOOD CORPORATION OF INDIA & ANR. versus PALA RAM & ORS.
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[2008] 9 S. C.R. 549 ' )- ~ FOOD CORPORATION OF !NOIA & ANR. A V. PALA RAM & ORS. (Civil Appeal Nos. 3641-42 of 2008) MAY 16, 2008 B [S.B. SINHA AND V.S. SIRPURAKAR, JJ.] -)- Labour Laws - Contract Labour - Abolition - Notification by Central Government - Subsequently the Notification with- drawn - Thereafter, again Central Government adopting the c .. Notification without noticing the withdrawal thereof - Supreme '\, court by judgment in *Air India case held that after the issu- ance of the above Notification contract labourers became di- rect employees of the concerned management - By the judg- ment in **Steel Authority case judgment in Air India case over- 0 -..... ruled and the Notification quashed with prospective effect - Action giving effect to the Notification, if already attained fi- nality, was saved - High Court passing orders giving effect to the Notification in respect of a particular unit - Subsequent writ petitions by employees of other units seeking relief in view E of the judgments of the High Court - Allowed by High Court - Other writ petitions by employees Union and also the work- men seeking protection under the Notification - Dismissed by High Court- On appeal, held: The Notification having been . )' withdrawn, cannot be said to have attained finality and hence not saved by Steel Authority case - High Court did not pose F unto itself the question of applicability of the decision of High Court in respect of one unit to other units- The writ petitions filed by the employee Union as well as the employees were not maintainable in the facts of the case - Contract Labour ( Regulation and Abolition) Act, 1970 - s. 10 (1) - Industrial G -"( Disputes Act, 1947 - s. 25 (h). Appellant-Corporation maintained large number of godowns in different parts of the country including States 549 H 550 SUPREME COURT REPORTS (2008] 9 S.C.R. A of Punjab and Haryana. Government of India in exercise of its power u/s 10 (1) of Contract Labour (Regulation and Abolition) Act, 1970 issued a Notification No. S.O. No. 779 (E) dated 9.12.1976 prohibiting employment of contract Labour. In Food Corporation of India workers' Union v. Food B Corporation of India and Ors. 1985 (2) sec 294 decision was taken as regards the appropriate Government for decid- ing abolition of contract labour. Thereafter Central Gov- ernment issued a Notification on 28.5.1992 stating that no case for abolition of contract labour in respect of the jobs c of sweeping, cleaning, dusting and watching of buildings in the appellant-Corporation was made out. In *Air India Statutory Corporation and Ors. v. United Labour Union and Ors. 1997 (9) sec 377 it was held that all the contract labourers became direct employees of the respective man- D agements after issuance of Notification dated 9.12.1976. By the judgment in **Steel Authority of India Ltd. and , Ors. v. National Union Waterfront workers and Ors. 2001 (7) sec 1 the judgment in Air India case was overruled and the Notification dated 9.12.1976 was quashed with pro- E spective effect. Several writ petitions were filed before High Court. In LPA No. 742/1993 Division Bench of High Court by or- der dated 21. 7 .1998 held that contract Labours in the de- pots of the appellant-Corporation were entitled to the ben- F efit of Air India case. '1 In another writ petition (469511999) High court opined that Notification dated 9.12.1976 became final vis-a-vis the establishments of appellant-Corporation in Sangrur Dis- G trict and hence Steel Authority case did not apply to them. Thereafter appellant-Corporation issued advertise- ments for enrolment of agencies for provision of security r coverage of its godownslcomplexes in Haryana and Chandigarh. In the writ petitions (CWP Nos. 15484 of 2003; H 16476 of 2003 and 16482 of 2003) challenging the same ' ' ·' FOOD CORPORATION OF INDIA & ANR. v. PALA 551 RAM & ORS. )- Division Bench of High Court set aside the advertisements A holding that the workmen were not covered by Steel Au- thority case by virtue of its Para 125 (b) and hence entitled to the benefit of the Notification dated 9.12.1976. Employees' Union of the appellant-Corporation filed B writ petitions (CWP Nos. 4891 of 204 and 4887 of 2004) seeking their employment as per the Circular of 1976. The -)o_ writ petition was dismissed by High Court with liberty to approach Labour Court. " Some other employees of the appellant-Corporation
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