IN THE SUPREME COURT OF INDIA

                        CIVIL APPELLATE JURISDICTION

 

                       CIVIL APPEAL NO.  5079  OF 2015

               (Arising out of S.L.P. (Civil) No. 36226/2011)

 

FOOD CORPORATION OF INDIA                    ....Appellant

 

                                   Versus

 

SANKAR GHOSH & ORS.                            ..Respondents

 

 

                               J U D G M E N T

 

 

R. BANUMATHI, J.

 

 

Leave granted.

2.          This appeal has been filed by the appellant-Food Corporation  of

India challenging the judgment and order dated 16.09.2011 of the High  Court

of Calcutta in F.M.A. No.1172 of 2010, in and by which, direction  has  been

given to the appellant-Corporation  to  consider  the  claim  of  respondent

Nos.1 to 12 for regularization  of  their  services  by  treating  them   as

casual employees appointed in an irregular manner and  granting  liberty  to

the appellant-Corporation to absorb the  said respondents in  any  available

vacant posts.

3.          Brief facts of the case are that the Food Corporation  of  India

(FCI) awarded contract to the Food Handling            Co-operative  Society

in the year 1982 for execution of various operational works  in  its  depots

at C.S.D. Dubguri and Siliguri.   The  Food  Handling  Co-operative  Society

executed the works for two years from  10.11.1982  to  09.11.1984  and  then

continued to work up to 30.04.1995.   The  respondents  took  part  in  such

operational works as  ‘Analyser’,  ‘Picker’  and  ‘Dusting  Operators’  from

01.01.1983.  There was a dispute  with  regard  to  mode  of  engagement  of

respondents in the aforesaid posts.  According to the FCI,  the  respondents

worked under the above contractor.  However, respondents claimed  that  they

were engaged directly by FCI as casual workers. The  respondents  raised  an

industrial  dispute  and  the  same  was  referred  to  Central   Government

Industrial Tribunal, Calcutta  by  the  Government  of  India,  Ministry  of

Labour on  15.09.1994.   The   Central  Government  Industrial  Tribunal  at

Calcutta in Reference No.31/1994 vide its award  dated  06.10.1997  directed

FCI to regularize the respondents in the  post  of  Dusting  Operators  with

effect from 09.01.1983 on the basis of doctrine  of  ‘equal  pay  for  equal

work’.  Aggrieved by the same, the appellant filed writ petition being  Writ

Petition No.16519(W)/98 challenging the said award dated 06.10.1997 and  the

same was dismissed by the single Judge of the High Court  of  Calcutta  vide

Order dated 20.11.1998. Being aggrieved, the appellant-FCI preferred  appeal

being M.A.T. No.4130/1998.   By  an  interim  order  dated  22.03.1999,  the

Division Bench of the  High  Court  directed  the  appellant-Corporation  to

engage the respondents subject  to  the  result  of  the  appeal  in  M.A.T.

No.4130/1998. On 23.04.2004, the appeal was allowed and the  impugned  award

dated 6.10.1997 was set aside. Consequent thereupon,  the  services  of  the

respondents were disengaged by FCI on and from 18.05.2004.

4.          Contention of the appellant-Corporation is that the  respondents

are merely contractual labourers and were not  engaged  in  accordance  with

any of the provisions  of  the  FCI  Recruitment  Rules  1971  and  for  the

aforesaid work, contract was given to the  Labour  Co-operative  Society  of

which respondents were members. Contention of the  appellant-Corporation  is

that  in  compliance  with  the  interim  order  of  the  High  Court  dated

22.03.1999, appellant-Corporation  had  given  appointment  letters  to  the

respondents which were subject to the final order of the High Court  in  the

appeal and by final order dated  23.04.2004,  the  High  Court  allowed  the

appeal  and  quashed  the  award  of  the  tribunal  and  consequently   the

respondents  were  disengaged  with   effect   from   18.05.2004.   Further,

contention  of  the  appellant-Corporation  is  that  the  post  of  Dusting

Operator is not a direct recruitment post and is a promotional  post  to  be

filled up in 100% by way of promotion and therefore there is  no  scope  for

their regularization merely because of the fact  that  the  respondents  had

served for considerable time and the Division Bench erred in  directing  the

appellant-Corporation to consider the claim of the respondents.

5.          Per contra, the respondents-workmen contentions  are  that  they

had been appointed by the District Manager of FCI  on  09.01.1983  on  Class

III and IV posts of Dusting Operator, Picker and Analyser and  were  working

under  the  supervision  and  control  of  Food  Corporation  of  India   by

discharging their duties as a regular employees  of  the  Corporation  since

their appointment in the year 1983.  The  respondents  have  contended  that

they are duly qualified and served the Corporation for more than  ten  years

without the intervention  of  the  Court  or  the  Tribunal  and  hence  are

entitled to be regularized.

6.          Upon consideration of the rival contentions,  vide  Order  dated

03.11.2014, this Court directed the  parties  to  furnish  certain  details.

The relevant extract of the said Order reads thus:-

“     …     the petitioner Corporation’s case before the  courts  below  was

that  the respondent-workmen were members of the Food Handling  Co-operative

Society. The case of the respondents was  that  they  were  working  in  the

godown  of the FCI  in  different  capacities  such  as  Dusting  Operators,

Pickers, Assistant Analysers  and Analysers.  The  workmen  also  appear  to

have produced  material  in  the  form  of  payment  sheet  for  the  period

01.04.1991 to 16.04.1991 before the Industrial Tribunal to demonstrate  that

they were being paid their wages directly by the Assistant Manager (D)  FCI.

 Before us also the Corporation insists that the respondents had no  privity

of contract with the Corporation and that they were at  all  material  times

engaged by and working for the cooperative  society  mentioned  above.   The

Industrial Tribunal and the High Court have no doubt appraised the  evidence

and  recorded  a  finding  that  the  respondents  were  working  as  casual

labourers with the  appellant-Corporation  but  the  material  available  on

record prima facie appears to have deficient  to support any such finding.

      Mr.  Piyush  K.  Roy,  learned  counsel  for  the  respondents  fairly

conceded that the only evidence which  appears  to  have  been  relied  upon

before the Labour Court to establish  a  privity  of  contract  between  the

respondents and the Corporation is the alleged payment sheet for the  period

01.04.1991 to 16.04.1991.  In the  circumstances  it  may  be  difficult  to

sustain the findings recorded by the Industrial Tribunal and the High  Court

that the respondents were  indeed  working  as  casual  labourers  with  the

Corporation.  That is especially so when the High Court has  directed  their

regularization as  Dusting  Operators  which  posts  according  to  Mr.  Roy

learned counsel appearing for the respondents is a promotional  post  to  be

filled up by promotion out of those working as Pickers.   In  that  view  we

direct  the appellant-Corporation to place  on  record  the  following:  (i)

Rules that  suggest appointment   in  the  cadre  of  Dusting  Operators  is

permissible only by promotion out of Pickers and others working in the  Food

Corporation; (ii) Material to suggest whether  any payment was ever made  by

the FCI directly to  the  respondents  if  so  the  period  for  which  such

payments has been made; (iii)  material to  show as to when the  respondents

were employed, by whom they were employed  and  when  were  their   services

actually  terminated. The above is necessary because the respondents do  not

appear to be in active service of the Corporation for the past 10 years.

       The  respondent  shall  also  simultaneously   file   the   following

documents: (a) copies of engagement/ appointment  order  if  any  issued  in

their favour, whether  in the name  of   the  appellant-Corporation  or  the

Food Handling Labour Co-operative Society; (b) material  to show  that  they

were actually working  as casual labourers with  the  Corporation  and  that

their  presence/attendance  was  marked  by  the  Corporation  or   by   the

Corporation authorities; (c) Termination /Retrenchments order or  any  other

material shall also be filed by the respondents…….”

 

 

7.          Pursuant to the above Order, appellant-Corporation has filed  an

affidavit dated 24.12.2014 along with various  annexures.   Insofar  as  the

direction regarding the appointment  in  the  cadre  of  Dusting  Operators,

appellant-Corporation  has  referred  to  the  provisions  of  Clause  1  of

Regulation 7 read with the table set out in Appendix  1  to  the  FCI  Staff

Regulations 1971 that the post of Dusting Operator could be filled  up  100%

by way of promotion and also referred to various provisos  to  Clause  9  of

the Regulation.

8.          Per contra, the respondents rely upon            Clause  7(3)(c)

of FCI Staff Regulations which provides for appointment in  the  Corporation

on a purely temporary basis.  Further, clause 7(2)(c)  empowers   the  Board

to relax any of the provisions of recruitment rules  contained  in  Appendix

1. It has been contended that the said post of Dusting Operator can also  be

filled up  by  direct  recruitment  in  the  event  of  non-availability  of

suitable candidates for the said post. Respondents  have  also  relied  upon

Circular dated 06.05.1987 issued by FCI pursuant to the meeting of Board  of

Directors dated 24.02.1987 thereby all casual labourers  who  had         90

days service on and  before  02.05.1986  were  proposed  to  be  regularized

according to the classification against Class III and  IV  posts.   Further,

according to the respondents, similar circular for regularization of  casual

employees was issued on 09.09.1996 by  the  FCI  and  many  other  similarly

placed employees were regularized and only the case of the  respondents  was

ignored by FCI.

9.           We  do  not  propose  to  go  into  the  merits  of  the  rival

contentions raised by the parties  in  the  additional  affidavits  and  the

documents filed pursuant to this Court’s Order  dated  03.11.2014.   Without

expressing any opinion on the  merits  of  the  matter,  we  set  aside  the

impugned order of the High Court and remit  the  matter  back  to  the  High

Court for consideration of the matter afresh  in  the  light  of  the  fresh

material adduced by the parties.  The Division Bench of  the  Calcutta  High

Court shall afford an opportunity to  both  the  parties  and  consider  the

matter afresh in accordance with law.

10.         With the above observations,  the appeal  is  disposed  of.   No

order as to costs.

 

                                                                ……………………….J.

                                (T.S. THAKUR)

 

                                                                ……………………….J.

                                 (R.K. AGRAWAL)

 

                                                                ……………………….J.

                                 (R. BANUMATHI)

New Delhi;

July  8, 2015