Orissa High Court
Saraf Agencies Pvt. Ltd vs State Of Odisha on 4 August, 2025
Bench: K.R. Mohapatra, Savitri Ratho
IN THE HIGH COURT OF ORISSA AT CUTTACK
W.P.(C) NO. 20702 OF 2025
Saraf Agencies Pvt. Ltd., Ganjam .... Petitioner
Mr. Bibhu Prasad Panda, Advocate
-versus-
1. State of Odisha
2. District Labour officer, Ganjam
3. The Land Loosers Welfare
Association for Titanium Complex,
Berhampur .... Opposite Parties
Mr. Manmaya Kumar Dash, A.S.C.
CORAM:
JUSTICE K.R. MOHAPATRA
JUSTICE SAVITRI RATHO
ORDER
Order No. 04.08.2025 01. 1. This matter is taken up through hybrid mode.
2. Petitioner in this writ application seeks to assail the letter No. 816/DLO dated 18th July, 2025 (Annexure-1) issued by the District Labour Officer, Chatrapur directing the Petitioner to make arrangement to pay Rs. 71,63,065/- as differential wages pursuant to a claim made by Opposite Party No.3- Land Looser Welfare Association for Titanium Complex, dated 19th June, 2025.
3. Mr. Panda, learned counsel for the Petitioner submits that due to war between Russia and Ukraine, lay off was declared in respect of Saraf Agencies Private Limited- Petitioner. The workmen were being paid 50% of the basic wages during the said period. Thus, a charter of demand was made on different points by the concerned workmen pursuant to which a meeting was held on 3rd June, 2025 in the Office of Sub-Collector, Chatrapur, Ganjam between the Management of Saraf Agencies Private Limited and their workmen. In the said meeting, a tripartite settlement was arrived at with the following terms;
Page 1 of 3"(i) That, the company will provide 70% of the basic wage to all the workmen w.e.f. June, 2025.
(ii) That, the company will begin its operation in April, 2026 falling which the company will be liable to provide full wages to the workmen.
(iii) That, from June, 2025 to March, 2026 the leftout land losers will get the financial assistance @ Rs. 1000/-
per month which will be paid to them as arrear after start of operation of plant.
(iv) That, after April, 2026 the left out land losers will get the financial assistance @ Rs. 2350/-."
4. The Petitioner agency is complying with the said settlement scrupulously. When the matter stood thus one Land Looser Welfare Association made a complaint on 19th June, 2025 claiming differential amount of wages to the tune of Rs.71,63,065/-. The District Labour Officer, Chatrapur without providing any opportunity, vide letter under Annexure-1 directed the Petitioner to make arrangement to pay the aforesaid amount by 29th July, 2025. Upon receipt of the said letter, the Petitioner filed an objection on the very same day i.e. on 18th July, 2025 (Annexure-3), which is still pending with the District Labour Officer, Chatrapur for consideration. Without taking any decision on such objection, the District Labour Officer, Chatrapur is insisting upon the Petitioner to make the payment. He, therefore, submits that the impugned letter under Annexure-1 is not sustainable and is liable to be set aside.
5. Mr. Dash, learned Additional Standing Counsel submits that the members of the Land Looser Welfare Association might be representing some of the workmen of the Petitioner and they might not have received the differential wages as quantified in Annexure-
1.
6. In view of the submissions made by learned counsel for the Parties, this Court is of the considered opinion that before directing Page 2 of 3 the Petitioner to pay the alleged differential wages of Rs.71,63,065/-, the District Labour Officer, Chhatrapur should have afforded with an opportunity of being heard to the Petitioner.
7. It is however, submitted by Mr. Panda, learned counsel for the Petitioner that an objection to the said letter has already been filed on 18th July, 2025 (Annexure-3), which is pending for consideration before the District Labour Officer, Chatrapur.
8. In view of the above, this Court without expressing any opinion on the merits of the case of the Petitioner, disposes of the writ application with a direction that the District Labour Officer, Chatrapur before proceeding with the matter pursuant to the letter under Annexure-1, shall consider and take a decision on the objection filed by the Petitioner on 18th July, 2025 (Annexure-3) providing an opportunity of hearing to the parties concerned. Till a decision is taken by the District Labour Officer, Chhatrapur on the objection filed by the Petitioner under Annexure-3, direction in the letter under Annexure-1 shall be kept in abeyance.
9. The District Labour Officer, Chatrapur shall act upon production of certified copy of this order.
10. With the aforesaid observation and direction, the Writ Petition is disposed of.
Urgent certified copy of this order, if applied for, shall be granted in accordance with the Rules.
(K.R. Mohapatra)
Judge
(Savitri Ratho)
Subhalaxmi Judge
Signature Not Verified
Digitally Signed
Signed by: SUBHALAXMI PRIYADARSHANI
SAHOO
Reason: Authentication
Location: Orissa High Court, Cuttack
Date: 06-Aug-2025 18:42:12 Page 3 of 3