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Citation Codes
Neutral Citations
2005 INSC 572
Equivalent Citations
citation codes
Case Number
Disposition
Advocates
Judges
Acts
  • Section (not specified), Subsection (not specified) of the 1983 Income Tax Act
  • Section 19 of the Administrative Tribunals Act, 1985
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Cites
Cited by
Citation Codes
Neutral Citations
2005 INSC 572
Equivalent Citations
citation codes
Case Number
Disposition
Advocates
Judges
Acts
  • Section (not specified), Subsection (not specified) of the 1983 Income Tax Act
  • Section 19 of the Administrative Tribunals Act, 1985
Smart Summary

Factual and Procedural Background

The respondents claimed to have worked as casual labourers in the concerned department from 1988 to 1997. Relying on the Government of India’s “Casual Labourers (Grant of Temporary Status and Regularisation) Scheme, 1993”, they filed Original Application No. 992 of 1998 before the Calcutta Bench of the Central Administrative Tribunal under Section 19 of the Administrative Tribunals Act, 1985, seeking grant of “temporary status” and eventual regularisation.

The Tribunal allowed the application on 7-9-2001, holding that the Scheme was an ongoing one and that the respondents had completed the requisite 240 (or 206) days of service to qualify. A Division Bench of the Calcutta High Court affirmed the Tribunal’s order. The present appeal, filed by the Union of India, challenges the High Court’s judgment before the Supreme Court.

Legal Issues Presented

  1. Whether clause 4 of the Casual Labourers (Grant of Temporary Status and Regularisation) Scheme, 1993 creates a continuing/ongoing entitlement or is confined to casual labourers who were in service on 1-9-1993.
  2. Whether the protective observations made in paragraph 11 of Union of India v. Mohan Pal (2002) 4 SCC 573 save the respondents’ claim despite the Scheme being held one-time in nature.

Arguments of the Parties

Appellants’ Arguments

  • The High Court’s judgment is unsustainable in view of Union of India v. Mohan Pal (2002) 4 SCC 573, which declared the 1993 Scheme a one-time measure limited to workers in employment on 1-9-1993.
  • The Tribunal erred in treating the Scheme as an ongoing programme triggered each time a casual labourer completes 240/206 days of service.

Respondents’ Arguments

  • Paragraph 11 of Mohan Pal preserves the benefit for workers who have already attained or been conferred temporary status; this protective clause should extend to the present respondents.
  • The High Court correctly relied on this protective observation to uphold the Tribunal’s grant of temporary status.

Table of Precedents Cited

Precedent Rule or Principle Cited For Application by the Court
Union of India v. Mohan Pal (2002) 4 SCC 573 The 1993 Scheme is a one-time measure; only casual labourers in service on 1-9-1993, with one year’s continuous service, are eligible. Paragraph 11 protects those already granted temporary status prior to the judgment. The Court held that the High Court misapplied the protective clause. Paragraph 11 was context-specific and does not extend benefits to the present respondents who never acquired temporary status earlier.
Union of India v. Gagan Kumar (2005) 6 SCC 70 Clarified that the observations in Mohan Pal paragraph 11 were delivered in a distinct factual context and cannot be treated as a general exemption. Relied upon to emphasise that Mohan Pal’s protection clause cannot aid the respondents; hence the Tribunal’s and High Court’s orders are untenable.

Court's Reasoning and Analysis

The Supreme Court centred its analysis on clause 4 of the 1993 Scheme. The clause stipulates two concurrent conditions for conferment of temporary status: (i) the worker must be “in employment on the date of issue” of the Office Memorandum, i.e., 1-9-1993, and (ii) must have rendered one year’s continuous service (240/206 days). The Tribunal’s interpretation that the Scheme confers an ongoing right whenever any casual labourer completes 240/206 days was rejected as inconsistent with the plain language of clause 4.

The Court distinguished the present facts from those in Mohan Pal. While Mohan Pal affirmed the one-time nature of the Scheme, paragraph 11 merely protected workers who had already been accorded temporary status before that judgment. As the present respondents never possessed such status, they could not invoke that protection. This position had been reaffirmed in Gagan Kumar, which limited the scope of Mohan Pal’s protective observations.

Consequently, the Tribunal’s and High Court’s reliance on an “ongoing” reading of the Scheme and on paragraph 11 of Mohan Pal was found legally erroneous.

Holding and Implications

APPEAL ALLOWED; ORDERS OF THE TRIBUNAL AND HIGH COURT SET ASIDE.

The respondents are not entitled to temporary status under the 1993 Scheme because they were not casual labourers “in employment” on 1-9-1993. The decision reinforces that the Scheme is a one-time measure and clarifies that the protective clause in Mohan Pal benefits only those who had already obtained temporary status. No broader precedent was set beyond reaffirming the limited scope of the Scheme.

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    Director General, Doordarshan, Mandi House, New Delhi And Others v. Manas Dey And Others

    Arijit Pasayat, J.— Leave granted.

    2. The appellants call in question legality of the judgment rendered by a Division Bench of the Calcutta High Court holding that the respondents were entitled to the benefit under the Scheme called the Casual Labourers (Grant of Temporary Status and Regularisation) Scheme, 1993 of the Government of India. The judgment and order dated 7-9-2001 passed by the Calcutta Bench of the Central Administrative Tribunal (in short “the Tribunal”) in OA No. 992 of 1998 filed by the respondents under Section 19 of the Administrative Tribunals Act, 1985 (in short “the Act”) was held to be in order. Factual background in a nutshell is as follows:

    The respondents filed an original application before the Tribunal claiming that they had rendered service from 1988 to 1997 as casual workers. According to them, they have completed the requisite period of service as described hereinbelow:

    “It was claimed that the department had circulated by OM No. 51016/2/90-Estt.(C) dated 10-9-1993 a scheme for grant of temporary status and regularisation of casual workers. The Scheme is called the Casual Labourers (Grant of Temporary Status and Regularisation) Scheme of the Government of India, 1993. The said Scheme came into force with effect from 1-9-1993. The Scheme envisaged grant of temporary status to casual labourers who had worked at least 240 days in a year (206 days in the case of offices observing 5 days a week).”

    3. The relevant portion of para 3 of the Scheme reads as follows:

    “This Scheme is applicable to casual labourers in employment of the Ministries/Departments of the Government of India and their attached and subordinate officers, on the date of issue of this order.”

    4. Para 4(1) of the Scheme reads as follows:

    “4. Temporary status.—(1) Temporary status would be conferred on all casual labourers who are in employment on the date of issue of this OM and have rendered continuous service of at least one year, which means that they must have been engaged for a period of at least 240 days (206 days in the case of offices observing five-day week).”

    5. It was held by the High Court that though this Court had in Civil Appeal No. 224 of 2000 and connected appeals held that the Scheme in question was not an ongoing process but a one-time scheme yet the judgment and order of the Tribunal having been rendered on 7-9-2001 long before the decision of this Court in the civil appeal referred to above, a right which had arisen from the Tribunal's order has been saved by this Court in its judgment. It was noted that positive direction has been given by this Court in the judgment that those who had already been given temporary status on the assumption that the Scheme is an ongoing scheme should not be deprived of the said status because of the judgment.

    6. According to learned counsel for the appellants the High Court's judgment is clearly erroneous on the face of the judgment in Union of India v. Mohan Pal (2002) 4 SCC 573.

    7. On the contrary, learned counsel for the respondents submitted that the observations in para 11 of Mohan Pal case (2002) 4 SCC 573 protect them as was rightly observed by the High Court.

    8. The controversy can be resolved on the basis of the interpretation of clause 4 of the Scheme. As already noticed, the Scheme came into effect from 1-9-1993.

    9. Clause 4 of the Scheme is very clear that the conferment of “temporary” status is to be given to the casual labourers who were in employment as on the date of commencement of the Scheme. The Tribunal has taken the view that this is an ongoing scheme and as and when casual labourers complete 240 days of work in a year or 206 days (in case of offices observing 5 days a week), they are entitled to get “temporary” status. We do not think that clause 4 of the Scheme envisages it as an ongoing scheme. In order to acquire “temporary” status, the casual labourer should have been in employment as on the date of commencement of the Scheme and he should have also rendered a continuous service of at least one year which means that he should have been engaged for a period of at least 240 days in a year or 206 days in case of offices observing five-day a week. From clause 4 of the Scheme, it does not appear to be a general guideline to be applied for the purpose of giving “temporary” status to all the casual workers, as and when they complete one year's continuous service. Of course, it is up to the Union Government to formulate any scheme as and when it is found necessary that the casual labourers are to be given “temporary” status and later they are to be absorbed in Group ‘D’ posts.

    10. This position was highlighted in Union of India v. Gagan Kumar (2005) 6 SCC 70, JT (2005) 6 SC 410.

    11. Above being the position, the Tribunal's order is clearly untenable and the High Court was in error in proceeding under the assumption that the protection given to some of the parties in Mohan Pal case (2002) 4 SCC 573 applied to the facts of the present case.

    12. As was observed in Gagan Kumar case (2005) 6 SCC 70, JT (2005) 6 SC 410 the observations in para 11 of Mohan Pal case (2002) 4 SCC 573 were rendered in a different factual background and context and have no application to the facts of the present case. The appeal is allowed with no order as to costs.

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    Comments

    Director General, Doordarshan, Mandi House, New Delhi And Others v. Manas Dey And Others
    (Nov 17, 2005)