RAJANGAM, SECRETARY, DISTRICT BEEDI WORKERS UNION AND ORS. versus STATE OF TAMIL NADU AND ORS.

Citation: [1991] SUPP. 2 S.C.R. 357 · Decided: 19-11-1991 · Supreme Court of India · Bench: RANGANATH MISRA · Disposal: Disposed off

Judgment (excerpt)

RAJANGAM, SECRETARY, 
DISTRICT BEEDI WORKERS' UNI'ON AND ORS. 
v. 
STATE OF TAMIL NADU AND ORS. 
NOVEMBER 19, 1991 
[RAN<:JANATH MISRA, CJ. AND YOGESHWAR DAYAL, J.] 
Beedi & Cigar Workers (Conditions of Employment) Act, 1966/Rules, 
1968: 
Improper/non-implementation of in the State of Tamil 
Nadu--Employment of child labour-Prohibition of-Contract labour 
system-Prevalence of-Whether indispensable-Formulation of Schemes 
for proper implementation of the provisions for welfare of 
workers-Directions issued. 
Child La.6our Abolition Act, 1986: 
Manufacture of beedi and cigar-Health hazard-Employment of 
child labour--Aboliti011 of-Directions issued/or strict implementation. 
Beedi Workers Cess Act, 1976/Beedi Workers Welfare Fund Act, 
1976: 
In the nature of beneficial provisions--lmplementation o/in the t~e 
spirit--lnsurance Scheme for workers-Directions issued. 
These petitions relate to child employment, prevalence of con-
tract labour system and the non-implementation of Beedi and Cigar 
Workers (Conditions of Employment) Act, 1966. This Court consid;. 
ered the petitions and appointed a Trust viz., Society for Commu-
nity Organisation Tr"st for conducting appropriate investigation 
and to submit a report. The Trust submitted its report, which was 
then circulated to the Respondent State Government and the beedi 
manufacturers. On the direction of this Court for formulatil'!g a 
scheme, two Schemes came to be formulated, one by the State Gov-
ernment and the other by the petitioners. This Court directed that 
the terms should be settled for one Scheme to be accepted by the 
Court, and given time to the Union of India to respond to the same. 
Union of India filed certain objections. 
Rejecting the objections and disposing of the petitions, this 
Court, 
357 
A 
B 
c 
D 
E 
F 
G 
H 
358 
SUPREME COURT REPORTS 
(1991] SUPP. 2 S.ti:.R. 
A 
HELD: 1.1 
The Beedi and Cigar Workers (Condition of Em-
ployment) Rules, 1968 should be strictly implemented and once that 
is done the evil of not furnishing the books to the home workers 
would be eradicated. [361 D, E] 
2. An establishment of the Regional Provident Fund Commis-
B 
siOner with full equipment for the purpose of implementation of the 
Statute should be located within the area and the Regional provi-
dent Fund Commissioner should have directions to enforce the Act 
in all aspects. This establishment should start functioning within 
three months from now. [361 E, F] 
C 
3. The labour laws as also the Beedi and Cigar Workers 
(Conditions of Employment) Act should be strictly enforced so that 
the workers get their legitimate dues and the conditions of employ-
ment improve. [361 F:..G] 
4. Tobacco manufacturing has indeed health hazards. Child 
D 
labour in this trade should therefore be prohibited as far as possible 
and employment of child labour should be stopped either immedi-
ately or in a phased manner to _be decided by the State Governmtmt. 
but within a period not exceeding three years from now. The provi-
sions of Child Labour Abolition Act, 1986 should be strictly imple-
mented. [361 G, HJ 
E 
F 
G 
H 
S. The Union Government is directed to look into the aspect 
whether contract labour system is indispensable. in this trade and 
take its final decision one way or the other within six months from 
now. [362-A] 
6. Beedi trade is a flourishing one and exploitation of labour 
is rampant in this trade. A governmental labour establishment should 
be located in the area with full complement to answer the require-
ments of the matter. [362-F] 
7. Since beedi manufacturing process is carried more outside 
the factory than within, the system of maintaining the registers as a 
regulating practice has become necessary. Great care should, there-
fore, be taken ao ensure the maintenance of the register system as 
the bulk of the employees outside the factories can be regulated 
only through the record maintained in the registers. [362-CJ 
8. The Bcedi Workers Welfare Cess Act, 1976 and the Beedi 
r
/ 
•
WORKERS' UNION v. STATE 
359 
Workers Welfare Fund Act, 1976 which contain beneficial provision 
A 
should be implemented in the true spirit and since they are legislations 
of the Central Government, the machinery of the Central Govern-
ment should be made operational in the area. [362-D] 
9. It should be ensured that pass books are maintained in the 
names of actual workers. [362-E] 
B 
10. The Welfare Fund should be properly administered and in 
the case of death of w

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