Bombay High Court
Indian Airports Employees Union vs International Airports Authority Of ... on 20 April, 1995
Equivalent citations: 1995(3)BOMCR616
JUDGMENT A.V. Savant, J.
1. The petition has been taken up for final hearing out of turn pursuant to the directions issued by the Honourable Supreme Court.
2. The petitioner is Indian Airports Employees' Union, which is a registered Trade Union. The first respondent is the International Airports Authority of India (for short, 'Airports Authority'), which is a 'statutory Authority', set up under the provisions of International Airports Authority of India Act, 1971 (for short, 'Airports Authority Act'). The second respondent is the Union of India which has issued the notification at Exh."B" dated 9th December 1976 for enforcing which, relief has been sought by the petitioner-Union. The third respondent it the Regional Labour Commissioner, whereas the fourth respondent is the concerned labour contractor. The petitioner-Union seeks relief by way of mandamus restraining the first respondent-Airport Authority from engaging contract labour in so far as the work of sweeping, cleaning and dusting of the building owned by the Airports Authority viz., the new domestic Terminal 1-A, at Santacruz, Bombay. The petitioner further seeks relief of declaration that the notification at Exh."B" dated 9th December 1976 issued by the second respondent prohibiting the employment of contract labour on and from 1st March 1977 for sweeping, cleaning and dusting of building owned or occupied by the establishments in respect of which the appropriate Government under the Contract Labour (Regulation and Abolition) Act, 1970 (for short, 'Contract Labour Act'), is the Central Government, is applicable to the Airports Authority. Consequently, the petitioner also seeks quashing of the letter dated 3rd April 1992 at Exh."E" issued by the Deputy Secretary, Government of India, to the effect that the Central Government had decided not to prohibit employment of contract labour is sweeping, cleaning and dusting of the building owned or occupied by the establishments of the first respondent - Airports Authority. The controversy arises in the following circumstances.
3. The first respondent Airports Authority has been constituted in accordance with the provisions of the said Airports Authority Act, 1971. Under section 2(1)(a) of the said Contract Labour Act 1970, as it stood prior to its amendment of 1986, the words "appropriate Government" meant -
"2 (1)......
(a) "appropriate Government" means, -
(1) in relation to -
(i) any establishment pertaining to any industry carried on by or under the authority of the Central Government, or pertaining to any such controlled industry as may be specified in this behalf by the Central Government, or
(ii) any establishment of any railway, Cantonment Board, major port, mine or oilfield, or
(iii) any establishment of a banking or insurance company, the Central Government, (2) in relation to any other establishment, the Government of the State in which that other establishment is situated".
After amendment of 1986, which came into force with effect from 28th January 1986, section 2(1) of the Contract Labour Act, in so far as it is material, reads as under :-
"2. (1).............
(a) "appropriate Government" means, -
(i) in relation to an establishment in respect of which the appropriate Government under the Industrial Disputes Act, 1947, is the Central Government, the Central Government;
(ii) in relation to any other establishment, the Government of the State in which that other establishment is situate;"
It is also relevant to note that the Industrial Disputes Act, 1947 was amended in 1982 and with effect from 21st August 1984, section 2(a) in so far as it is material, reads as under :-
"(a) "appropriate Government" means, -
(i) in relation to any industrial dispute concerning any industry carried on by or under the authority of the Central Government, or by a railway company or concerning any such controlled industry as may be specified in this behalf by the Central Government or.... the International Airports Authority of India constituted under section 3 of the International Airports Authority of India Act, 1971 or....... the Central Government".
4. The petitioner-Union has contended that there are number of sweepers, employed at the new domestic terminal building 1-A at Santacruz, Bombay. There is a continuous traffic of passengers and hence, toilets have to be continuously sweeped and cleaned. The work done by the workers mentioned in the list at Exh."A" is incidental to and necessary for the industry carried on by the first respondent - Airports Authority. It is work of perennial nature and it is ordinarily done through the workmen regularly employed by the said authority. The work is such as is sufficient to employ a considerable number of full-time workmen. The petitioner points out the wide disparity between the earnings for the same work done by the regularly employed workmen in the said cadre by the respondent Authority and of those employed by the Labour Contractor such as workers, who are the members of the Petitioner-Union. The petitioner then points out the inhuman and exploitative treatment meted out to workmen by the labour contractor. The petitioner complains of the sub-human conditions in which the workmen have to work. Grievance is also made of the wages being less than the minimum wages.
5. On behalf of the first respondent Airports Authority, K. P. Singh, Senior Legal Manager has filed the affidavit-in-reply. He has referred to the various interim orders passed by the Honourable Supreme Court and by this Court. He has denied that the appropriate Government in case of the respondent Authority was the Central Government and it is contended that the appropriate Government in so far as the Contract Labour Act was concerned, was the State Government. There is also a denial of the first respondent having employed persons in the concerned categories for the job of sweeping, cleaning and dusting of the buildings, but this point was not advanced before us and the main contention that has been raised in the affidavit-in-reply is that the Central Government was not the appropriate Government qua the respondent Airport Authority for the purpose of the Contract Labour Act.
6. Coming to the provisions of the Contract Labour Act, 1970 section 3 deals with the constitution of the Central Advisory Board, whereas section 4 deals with the constitution of the State Advisory Board. Chapter III deals with the registration of establishments employing contract labour. Section 10, which is material for this petition, deals with the prohibition of employment of contract labour. It reads as under :-
"10. (1) Notwithstanding anything contained in this Act, the appropriate Government may, after consultation with the Central Board or, as the case may be, a State Board or, prohibit, by notification in the Official Gazette, employment of contract labour in any process, operation or other work in any establishment.
(2) Before issuing any notification under sub-section (1) in relation to an establishment, the appropriate Government shall have regard to the conditions of work and benefits provided for the contract labour in that establishment and other relevant facts, such as -
(a) whether the process, operation or other work is incidental to, or necessary for the industry, trade, business, manufacture or occupation that is carried on in the establishment;
(b) whether it is perennial nature, that is to say, it is of sufficient duration, having regard to the nature of industry, trade, business, manufacture or occupation carried on that establishment;
(c) whether it is done ordinarily through regular workmen in that establishment or an establishment similar thereto;
(d) whether it is sufficient to employ considerable number of whole-time workmen".
7. It will be clear from the above provisions of the Contract Labour Act that the appropriate Government may, after consultation with the Central Board or, as the case may be the State Board, prohibit by notification in the official gazette, employment of contract labour in any process, operation or other work in any establishment. However, it has to be borne in mind that before issuing any such notification under sub-section (1), the appropriate Government must have regard to the conditions of the work and benefits provided for the contract labour in that establishment and various other relevant facts mentioned in clauses (a), (b), (c) and (d) of sub-section (2) of section 10. They deal with process or work being incidental to or necessary for the industry; whether it is of a perennial nature and of sufficient duration; whether it is done ordinarily through the regular workmen and whether the work is sufficient to employ considerable number of full time workmen. It is thus clear that before issuing a notification under sub-section (1) of section 10, the Central Government conducts an enquiry into all the relevant factors which are enumerated in sub-section (2), and having considered the said factors, issues the notification prohibiting the employment of contract labour.
8. On 9th December, 1976, the Central Government in exercise of its powers under sub-section (1) of section 10 of the Contract Labour Act, 1970 after consultation with the Central Advisory Board, Labour Board issued a notification, which is at Exh. B, prohibiting the employment of contract labour on and from the 1st March 1977 for sweeping, cleaning, dusting and watching all buildings owned or occupied by establishments in respect of which the appropriate Government under the said Contract Labour Act is the Central Government. We may immediately mention that in this petition we are not concerned with the work of watching of buildings and we are only concerned with the work of sweeping, cleaning and dusting of the buildings owned or occupied by the establishment of the first respondent authority. The proviso to said Notification says that it shall not apply to outside cleaning and other maintenance operations of the multi-storeyed buildings where such cleaning or maintenance operations cannot be carried out except with specialised experience. There is no dispute before us that the said proviso to the notification is not attracted in the facts of the present case having regard to the work of sweeping, cleaning and dusting of buildings owned or occupied by respondent No. 1 authority which work is being carried out by concerned workmen.
9. It appears that when this Court was considering similar issues relating to the applicability of the said notification dated 9th December 1976 in respect of the similar workmen employed on contract labour for cleaning the Air India Building at Nariman Point, Bombay, a day before the judgment was delivered in Writ Petition No. 1213 of 1985, a committee was constituted on 15-11-1989 to go into the question of prohibition of employment of contract labour for sweeping, cleaning, dusting and watching of the buildings owned or occupied by the establishments in respect of which the Central Government had become the appropriate Government after amendment of the Contract Labour Act in 1986. We will deal with this aspect of the matter in a later part of this judgment. Suffice it to say that on 3rd April 1992 the Deputy Secretary to the Government of India wrote to the Central Government Advocate at Bombay in connection with the pending writ petition in this Court that pursuant to the recommendations of the Board the matter had been considered in detail by the Central Government and it had been decided not to prohibit employment of contract labour for sweeping, cleaning, dusting and watching of the buildings owned or occupied by the establishment of Indian Airlines, Air India, International Airports Authority of India-respondent No. 1 herein and Oil and Natural Gas Commission for which appropriate Government under the Contract Labour Act, 1970 was the Central Government. The petitioner-Union while seeking relief of mandamus for the enforcement of the notification issued on 9th December 1976 under section 10(1) of the Contract Labour Act, has also sought the relief of certiorari quashing the said letter dated 3rd April 1992 at Exh. E in so far as the workmen employed by the first respondent Authority in the matter of sweeping, cleaning and dusting of the buildings owned or occupied by respondent Authority are concerned.
10. In the light of the above facts, the main controversy that has been raised before us is whether the Central Government is the appropriate Government in respect of the first respondent Airports Authority. The argument of the petitioner is that the notification issued on 9th December 1976 under Section 10(1) of the Contract Labour Act squarely applies to the first respondent authority in as much as the Central Government is the appropriate Government in respect of the first respondent authority. On the other than, the contention of respondent No. 1 who is the only contestant before us, is that in respect of the first respondent authority the Central Government is not the appropriate Government and hence, the notification issued on 9th December, 1976 can have no application and cannot be enforced against respondent No. 1. Secondly, it is contended on behalf of the first respondent that the letter dated 3rd April 1992 is valid and enforceable.
11. We have heard both the learned Counsel at length viz., Smt. Indira Jaising for the petitioner-Union and Shri Dada, learned Additional Solicitor-General on behalf of the first respondent Authority, Shri Mehta appears for respondents Nos. 2 and 3 and the fourth respondent has been duly served and affidavit of service has been filed in that behalf.
12. Smt. Jaising appearing for the petitioner has raised the following contentions. Having regard to the constitution of the first respondent Authority it is clear that it is an instrumentality and agency of the Central Government and hence, for the purpose of section 2(1)(a) of the Contract Labour Act, the appropriate Government in respect of the Airports Authority is the Central Government. Reliance has been placed by Smt. Jaising on the definition appearing in the Contract Labour Act and Industrial Disputes Act, 1947, as also on certain decisions of the Supreme Court and of this Court to which we will make a brief reference. It is then contended that by the amendment of the Contract Labour Act. 1986, what was implicit in the first para of section 2(a)(i) of the Industrial Disputes Act has been made explicit by enumerating various establishments, including the International Airports Authority of India constituted under section 3 of the International Airports Authority of India Act, 1971. In that view of the matter, it is contended by Smt. Jaising that if the notification dated 9th December 1976 is applicable in the facts of the present case, the respondent No. 1 Authority cannot be permitted to employ contract labour in the matter of sweeping, cleaning and dusting of the buildings owned or occupied by respondent authority. Consequently, it is prayed that the concerned workmen would be entitled to the relief in the nature of absorption in the regular cadre depending upon the availability of the posts, seniority and such other relevant factors. Reliance has been placed on some of the Supreme Court decision, as also the decisions of this Court in support of the relief that is claimed in this petition.
13. As against this, Shri Dada, learned Additional Solicitor-General has contended that, in the first place, the Central Government is not the appropriate Government in so far as the respondent authority is concerned, Counsel contended that in as much as New Terminal 1-A at Santacruz was commissioned as recently as on 18th April 1992, the notification dated 9th December 1976 issued under Section 10(1) of the Contract Labour Act can have no application whatsoever. Secondly, it was contended that despite the amendment of 1986 in the Contract Labour Act, the letter Exh. E dated 3rd April 1992 would permit employment of contract labour for sweeping, cleaning, dusting and watching of the buildings owned and occupied by respondent authority. It was finally contended that having regard to certain interim and ad interim orders passed by the Honourable Supreme Court and by this Court, even if the petitioner succeeds in establishing that the appropriate Government is the Central Government and notification Exh. B dated 9th December 1976 governs the field, no effective relief can or should be granted to the petitioner. Shri Dada has sought to place reliance on some decisions of the Supreme Court and of this Court in support of his contentions.
14. At the outset, it is necessary to peruse the statement of objects and reasons for enacting the Airports Authority Act. It is stated that the International Airports at Delhi, Bombay, Calcutta and Madras are the aerial gateways of India and are becoming increasingly important in developing India's trade and tourism. Owing to rapid growth of traffic and the increasing impact of technological development in the shape of large capacity subsonic and supersonic jet aircrafts, the organisation and management of these four international airports was to assume increasing importance in the years to come. Keeping in view the compulsions of the Government procedure, it was felt necessary to constitute a separate statutory authority for development and management of the said four International Airports.
15. In order to appreciate the first contention as to which is the appropriate Government for the purpose of section 2(1)(a) of the Contract Labour Act, it is necessary to refer to the provisions of the Airports Authority Act 1971, to understand the constitution, nature, power and functions of the said Authority, section 3 of the said 1971 Act deals with the constitution and incorporation of the authority. Sub-section (3) mentioned that the Chairman is to be appointed by the Central Government. The Director-General of Civil Aviation is ex-officio member and not less than six and not more than thirteen members are to be appointed by the Central Government. Entire composition of the said authority is left to the discretion of the Central Government alone. Section 12 deals with the transfer of certain assets and liabilities of the Central Government to the authority. Under the said section 12, all properties and other assets vested in the Central Government for the purposes of the Airports and administered by the Director-General of Civil Aviation were to vest in the authority. All moneys due to the Central Government in relation to the Airports immediately before the relevant date were to be deemed to be due to the said authority. In sub-section (f) of Section 12 every employee holding any office under the Central Government mainly for or in connection with such affairs of the Airports as are relevant to the functions of the authority, shall be treated as on deputation with the authority under section 13 any land acquired by the authority for discharging its functions under the said Act shall be deemed to be needed for a public purpose and such land can be acquired by the authority under the relevant Act. Section 15 deals with the mode of executing the contract on behalf of the authority. Section 18 deals with the power to provide any capital, over and above the one provided under section 12(1)(c) after due appropriation made by Parliament in that behalf. Section 20 deals with allocation of surplus Funds. Borrowing powers of the authority are also subject to he consent of the Central Government and they can be exercised in accordance with the permission of any general or special authority given it to by the Central Government. Section 28 concerns the officers and employees of the authority and it provides that the officers and employees of the authority are public servants within the meaning of section 21 of the Indian Penal Code.
16. Under section 33 of the Airports Authority Act, 1971, the Central Government has power to temporarily divest the authority from the management of any Airport. Section 34 confers on the Central Government powers to supersede the said authority in public interest. Section 35 confers upon the Central Government the power to issue directions. Thus, the entire scheme of the Airports Authority Act, 1971 and particularly, the provisions discussed above show that the said authority is created by and functions under the authority of the Central Government. The manner in which the authority is set up under the Act of 1971, its powers and functions indicate that it carries out various obligations under the control and authority of the Central Government. There is, thus, no doubt in our mind that the first respondent authority is covered by the first part of the definition of appropriate Government under section 2(a)(i) of the Industrial Disputes Act being an industry carried on by or under the authority of the Central Government.
17. In this behalf, Smt. Jaising is justified in placing reliance upon the observations of the Supreme Court in the case of Ramana Dayaram Shetty v. The International Airport Authority of India & Ors. . After an exhaustive review of the law on the subject, it has been held that so far as the functions of the first respondent-authority are concerned, the entire department of the Central Government relating to the administration of airports and air navigation services together with its properties and assets, debts, obligations and liabilities, contracts, causes of action and pending litigation is transferred to the respondent authority and the respondent authority is charged with carrying out the same functions which were, until the appointed date, being carried out by the Central Government. The employees and officers of the respondent authority are also deemed to be public servants and the respondent authority as well as its members, officers and employees are given immunity for anything which is in good faith done or intended to be done in pursuance of the Act or any rule or regulation made under it. The respondent authority is also given the power to frame regulations and to provide that contravention of certain specified Regulations shall entail penal consequences. In these circumstances, the Supreme Court was satisfied that the first respondent was an instrumentality or an agency of the Central Government and it fell within the definition of "State" under Article 12 of the Constitution of India.
18. Our attention was then invited to the decision of this Court given by Smt. Justice Sujata Manohar (as she then was) in the case of International Airports Authority v. P. K. Srivastava & Ors. reported at 1986 I CLR 68. This was a case where respondent Srivastava was an Airport Ticket Clerk in Bombay. His services were terminated by the Airports Authority on 20th September 1975. He approached the Central Government for the purpose of making a reference under the Industrial Disputes Act, 1947. Central Government by its letter dated 9th November, 1976 informed the workman that the Central Government was not the appropriate Government and hence, no reference could be made by it. Thereafter, the State Government made a reference of the dispute raised by the workman to the Labour Court. The Airport Authority contended before the Labour Court that the State Government was not competent to make a reference since according to the Airports Authority itself, the appropriate Government for the purpose of the Industrial Disputes Act was the Central Government. The Labour Court negatived the contention of the respondent-Authority which, therefore, approached this Court. The learned single Judge, on a consideration of the relevant provisions of said 1971 Act and several decisions of the Supreme Court in that behalf, came to the conclusion that the International Airports Authority was an industry carried on under the authority of the Central Government and hence, appropriate Government for making a reference under the provisions of the Industrial Disputes Act in the facts of the case was the Central Government. We are in respectful agreement with the view taken by the learned Judge in the said case. It is interesting to note that the very same authority-Respondent No. 1 had specifically contended before the Labour Court and this Court in Srivastava's case (supra) that it was the Central Government and not the State Government which was the appropriate Government for the purpose of section 2(a)(i) of the Industrial Disputes Act. This contention was raised by the authority itself on the ground that it was an industry carried on by or under the authority of the Central Government. The respondent Authority succeeded before this Court in Srivastava's case in getting the order of reference quashed. All along respondent Authority had contended before the Labour Court and this Court that for the purpose of section 2(a)(i) of the Industrial Disputes Act, it was carrying on the industry under the authority of the Central Government and hence, the Central Government was the appropriate Government. It is surprising that having taken a categoric stand before this Court in Srivastava's case and having succeeded in this contention, respondent Authority is now contending before us exactly to the contrary. It is of some significance to note that though the Central Government was a party in this Court in Srivastava's case, no appeal was carried by the Central Government from the said decision dated 9th October, 1985 which is reported in 1986 I CLR 68. All parties accepted the said decision as correct and binding upon them. In these circumstances, we are really at a loss to appreciate how the first respondent can now contend in the face of the elaborate provisions of the Airports Authority Act and the decision of the Supreme Court in Ramana Shetty's case and the decision of this Court in Srivastava's case (supra) that it is not controlled by the Central Government or that it is not carried on under the authority of the Central Government and, therefore, the notification dated 9th December 1976 is not applicable to it. Having regard to the scheme of the provisions of the Airports Authority Act, 1971, the decisions of the Supreme Court in Ramana Shetty's case and the decision of this Court in Srivastava's case we hold that the respondent authority is squarely covered by the notification dated 9th December 1976 issued under section 10(1) of the Contract Labour Act. Consequently, it cannot be allowed to employ contract labour for sweeping, cleaning and dusting of the buildings owned or occupied by it.
19. We may also refer to the decision of the Supreme Court in the case of Regional Provident Fund Commissioner, Karnataka v. Workmen represented by the General Secretary, Karnataka Provident Fund Employees' Union & Anr. . The question which arose before the Supreme Court was as to which was the appropriate Government in respect of the dispute concerning the Regional Provident Fund Organisation established under the Provident Funds Act. The Karnataka High Court held that it was the State Government which was the appropriate Government.
Reversing the decision of the Karnataka High Court, the Supreme Court observed in Para 6 at page 1899 of the report as under :-
"What has got to be determined in this case is whether the activity carried on under the Provident Funds Act is being carried on by or under the authority of the Central Government as provided in section 2(a) of the Act or not in order to decide whether the Central Government is the appropriate authority under the Act or not".
A reference was made to the earlier decision of the Supreme Court in Heavy Engineering Mazdoor Union v. State of Bihar, . It was observed that the word "authority" in section 2(a) must be construed according to its ordinary meaning and, therefore, must mean a legal power given by one person to another to do an act. It was reiterated that the question whether the Corporation is an agent of the State would obviously depend upon the facts of each case. Thus having regard to the various provisions of the Provident Funds Act and nature of the business carried on by the Central Board, State Board, Regional Committee and Regional Provident Fund Commissioner, the Supreme Court came to the conclusion that the Central Government was the appropriate Government under the Act in so far as the dispute in question was concerned.
20. In the case of C. V. Raman etc. etc. v. Management of Bank of India & Anr. etc. etc. reported in 1988 II CLR 69, the question was whether the nationalised banks and the State Bank of India were establishments under the Central Government within the meaning of Tamil Nadu Shops and Establishments Act, 1947, Andhra Pradesh Shops Act, 1966 and Kerala Shops Act, 1960. On a review of the earlier cases, it was held that the scheme of the relevant provisions indicated that the Central Government had a deep and pervasive control over the State Bank of India, Almost similar was the position with regard to the nationalised Banks. Hence, State Bank of India and the nationalised Banks were held to be establishments as under the Central Government. At the end of para 11 at page 1378 of the Report, it has been observed as under :-
"It is undoubtedly true that the corporation is a distinct juristic entity with a corporate structure of its own and it carries on its functions on business principles with a certain amount of autonomy which is necessary as well as useful from the point of view of effective business management, but behind the formal ownership which is cast in the corporate mould, the reality is very much the deeply pervasive presence of the Government. It is really the Government which acts through the instrumentality or agency of the Corporation and the juristic veil of corporate personality worn for the purpose of convenience of management and administration cannot be allowed to obliterate the true nature of the reality behind which is the Government".
21. In this behalf, it must be borne in mind that the first respondent carries on monopoly operations. The Statement of Objects and Reasons for enacting the said 1971 Act shows that the Airports Authority was to be engaged in creating, maintaining and providing services, and facilities, rather than in the production of or trade in goods. For the purposes of co-ordination with various Government agencies, a Joint Stock Company under the Indian Companies Act may be ill-suited. The decision of Government on the recommendations of Administrative Reforms Commissions was that the statutory corporation form is preferable for enterprises providing public utilities as in the case of the first respondent authority. It was, thus, that the Airports Authority was constituted for the development and management of the four international airports of Delhi, Bombay, Calcutta and Madras. Further, power has also been conferred on the Central Government to apply the provisions of the said Act to any other Airport where international air transport services are operated or are intended to be operated.
22. As far as the notification of 9th December 1976 is concerned, Smt. Jaising is justified in placing reliance on the observations of the learned single Judge in the case of United Labour Union & Ors. v. Union of India & Ors. reported in (1991) I LLJ 89. This was the decision in Writ Petition No. 1213 of 1985, decided on 16th November 1989. The petitioner in that case was a registered Trade Union representing the employees doing the work of sweeping and cleaning the Air India building at Nariman Point, Bombay. The questions which fell for consideration before the learned single Judge were, -
(i) Whether prior to the amendment of the Contract Labour (Regulation and Abolition) Act. 1970, the appropriate Government in relation to the Air India Corporation was the Central Government?
(ii) Whether on the amendment of the Contract Labour Act, the notification dated 9th December 1976 became applicable to the said Air India Corporation?
While answering the questions, in the affirmative, the learned Judge has referred to the provisions of the Contract Labour Act and the decisions of the Supreme Court on the question of section 2(a) of the Industrial Disputes Act. In conclusion, it was held that the petitioner-Union was entitled to relief inasmuch as the Corporation was the agency of the Central Government and, therefore, under the Contract Labour Act the appropriate authority was the Central Government. It was further held that so long as the notification dated 9th December 1976, which bars the employment of contract labour in respect of the work of sweeping, cleaning, dusting or watching of the buildings owned or occupied by the establishments of the respondent, was in force, contract labour could not be employed in respect of the said works. It was immaterial that the Central Government became the appropriate authority at a later date consequent upon the amendment of 1986. This decision of the learned single Judge, rendered on 16th November 1989 has been confirmed in Appeal by the Division Bench by its decision reported at 1993 LIC 1277, Air India v. United Labour Union & Ors. We are told that the appeal against the said Division Bench decision is pending before the Supreme Court. However, it is clear that as long as the notification dated 9th December 1976 is in force, the employment of contract labour for sweeping, cleaning and dusting of buildings owned or occupied by the first respondent is clearly barred.
23. It was then contended by Shri Dada that at the time of issuance of the said notification dated 9th December 1976, the Central Government may not have considered the relevant facts enumerated in sub-section (2) of section 10 in so far as the respondent authority is concerned in the matter of the work of sweeping, cleaning and dusting. It is not possible for us to accept this contention of the learned Counsel. Under section 114 of the Indian Evidence Act, a Court may presume the existence of any fact which it thinks likely to happen regard being had to the common course of natural events, human conduct and public and private business, in their relation to the facts of the particular case. Illustration (e) to Section 114 of the Evidence Act says that the Government may presume that judicial and official acts have been regularly performed. Despite the Union of India being a party to this petition, there is no affidavit-in-reply filed on behalf of the second respondent to justify an inference that before issuing the notification on 9th December, 1976, the Central Government did not have any regard to the conditions of work and benefits provided for contract labour in the respondent authority and that the Central Government did not consider the other relevant factors such as those mentioned in clauses (a) to (d) of sub-section (2) of section 10 of the Contract Labour Act quoted above in para 6 of this Judgment. We must, therefore, proceed on the footing that the Central Government had considered the conditions of work and benefits provided to the contract labour in the establishment of the respondent authority and that the Central Government had also considered the other relevant factors such as those mentioned in clauses (a) to (d) of sub-section 2 of section 10 of the Contract Labour Act. The submissions of Shri Dada, therefore, for reading down the said notification dated 9th December 1976 as not being applicable to the first respondent authority has no merit.
24. It is no doubt true that Shri Dada sought to place reliance on the decision of the Supreme Court in the case of Food Corporation of India Workers' Union v. Food Corporation of India & Ors. . The question before the Supreme Court in that case was as to which was the appropriate Government as regards the Regional Offices of the Food Corporation of India and in respect of Warehouses in the respective State. On a consideration of the relevant provisions in the facts of the case, the Supreme Court came to the conclusion that the appropriate Government for the purpose of the said case pertaining to the Regional offices and their Warehouses in the respective States was the concerned State Government and not the Central Government.
25. It must be borne in mind that the Contract Labour Act is a piece of beneficial legislation. The aim of the Act is to regulate the conditions of service of contract labour and to abolish contract labour, under certain circumstances. It is, therefore, meant for securing proper conditions of service to workmen engaged by may of contract labour. It is not the purpose of the Act to render workmen jobless. We must, therefore, so interpret the provisions of the said Act which would advance the object, rather than defeating the same. It is, therefore, not possible to accept the contention of Shri Dada that the Notification issued on 9th December 1976 can have no application to the respondent authority and it must be read down so as to exclude the respondent authority from its purview.
26. An attempt was made by Shri Dada to rely upon the fact that a day prior to the Judgment being pronounced in Writ Petition No. 1213 of 1985 by Variava, J., that is to say on the 15th November 1989, in exercise of the powers conferred by section 5 of the Contract Labour Act, the Central Government had constituted a committee to go into the question of prohibition of employment of contract labour in sweeping, cleaning and dusting of building owned or occupied by the establishments in respect of which the Central Government had become the appropriate Government after the amendment in 1976 of the Contract Labour Act, 1970. Reliance was thereafter placed on the letter Exh. E dated 3rd April 1992 where it is stated in Para 2 that in pursuance of the recommendation of the Board, the matter had been considered in details by the Central Government and it had been decided not to prohibit employment of contract labour in sweeping, cleaning, dusting and watching of buildings, owned or occupied by the establishments of the Indian Airlines, Air India, International Airports Authority of India and Oil and Natural Gas Commission for which the appropriate Government under the Contract Labour Act was the Central Government. However, there is no dispute before us that the notification Exh. B issued on 9th December 1976 under section 10(1) of the Act is in force. The said notification has not even been modified, much less has it been revoked. In our view, that could be done only in the manner in which the notification could be issued in accordance with the provisions of section 10 of the Contract Labour Act. It has to be a notification in the official gazette as required by sub-section (1) of section 10 of the Act. There is no dispute before us that such a procedure has not been followed. Under these circumstances, we do not think that the benefit of the said notification dated 9th December 1976 can be denied to the petitioner merely on the basis of some executive or administrative fiats like the letter dated 3rd April 1992. In our view, in the facts of the case before us in so far as the work of sweeping, cleaning and dusting in the buildings owned by the first respondent authority is concerned, the said letter dated 3rd April 1992 can have no legal force. At any rate, it cannot override the notification dated 9th December 1976 duly issued in accordance with the provisions of section 10 of the Contract Labour Act. There is, thus, no merit in this contention raised by the learned Additional Solicitor-General.
27. Shri Dada also contended that the word "establishment" defined in section 2, clause (e) of the Contract Labour Act should be confined to new Terminal 1-A which was commissioned for the first time in 1992 and hence, it was suggested that the notification dated 9th December 1976 can have no application qua the said establishment. The notification dated 9th December 1976 prohibits employment of contract labour on and from the 1st March 1977 for sweeping, cleaning, dusting and watching of buildings owned or occupied by establishments in respect of which the appropriate Government under the said Act was the Central Government. Thus, the prohibition was operative on and from 1st March 1977 in respect of specified jobs in buildings owned and occupied by certain establishment. The prohibition, therefore, is not only in praesenti but also in the future. It is in respect of all such buildings owned or even occupied. There is no dispute that the building viz., new Terminal 1-A is owned and occupied by the first respondent. It is fallacious to suggest that a Department of the Authority like the first respondent separately owns a particular office or a department. Clause (e) of the Contract Labour Act reads as under :-
"(e) "establishment" means -
(i) any office or department of the Government or a local authority, or
(ii) any place where any industry, trade, business, manufacture or occupation is carried on".
On a true construction of the said definition, we are of the view that the said building New Terminal 1-A is owned by the first respondent authority. It is strange to suggest that the different departments housed in different buildings, say all over the city of Bombay are independent of the first respondent authority. It is equally fallacious to suggest that each of the said departments separately owns the building in which it is functioning and, therefore a separate notification is required to be issued in respect of each of such departments housed in a separate building. Such a construction would, in our opinion, defeat the very object of the Contract Labour Act which, as indicated above, is a beneficial piece of social legislation. Admittedly, there is no notification issued after the new building was commissioned in 1992. Argument of the learned counsel would, in our opinion, lead to a very strange and absurd results. For example, if in an existing building, owned or occupied by the establishment, like the first respondent authority, the notification of 1976 was admittedly applicable, it could be contended that if there were an extension or an annex added to such a building, the notification dated 9th December, 1976 would not be applicable to such an extension or annex housing a distinct department. There is no dispute before us that the new Terminus A-1 is located in a complex owned by respondent Authority. Hence, it is not possible for us to accept the extreme contention raised by Shri Dada that the word "establishment" appearing in the notification dated 9th December 1976 must be confined to a particular office in a particular building, irrespective of the first respondent owing and occupying the same.
28. Coming to the last contention, the question is as to what relief the petitioner is entitled to. We have already held above that the Central Government is the appropriate Government and that the notification dated 9th December, 1976 squarely applies. The result, therefore, is that as far as the work of sweeping, cleaning and dusting of the buildings owned by the first respondent authority is concerned, there is a statutory prohibition on the employment of contract labour. Smt. Jaising has placed strong reliance on the decision of the Supreme Court in the case of Sankar Mukherjee & Ors. v. Union of India & Ors. . That was a case where the question of exclusion of the workmen in the Bricks Department of Iron and Steel Company doing jobs of loading and unloading of bricks from trucks and wagons from the purview of the notification prohibiting employment of contract labour, arose before the Supreme Court. Under the notification, the benefit was granted to the workmen doing the work of cleaning and stacking of Bricks in the same department, but the said benefit was not granted to those doing the jobs of loading and unloading of bricks from trucks and wagons. This was also a case of a notification under section 10 of the Contract Labour Act. In Para 10 of the Judgment, at page 535 of the Report, the Supreme Court observed as under :-
"10. We, therefore, see no justification for excluding the job of loading and unloading of bricks from wagons and trucks from the purview of the notification dated February 9, 1980. We allow the writ petition and strike down the words "except loading and unloading of bricks from wagons and trucks" in paragraph 9 of the said notification issued by Government of West Bengal being discriminatory and as such violative of of Article 14 of the Constitution of India. We direct that the petitioners and other workers doing the job of loading and unloading of bricks from wagons and trucks in the Brick Department be treated at par with effect from the date of notification with those who are doing the job of cleaning and stacking in the said department. It is further directed that the workmen doing the job of loading and unloading who have been retrenched during the pendency of the writ petition be put back into service with all back wages and consequential benefits. There shall be no order as to costs."
29. Smt. Jaising also invited our attention to the Division Bench decision of this Court in the case of Air India v. United Labour Union & Ors. reported in 1993 LIC 1277. Reliance was placed on the observations in paragraphs 46 to 50 at pages 1288 to 1290 of the Report to content that the workers would be entitled to all the consequential reliefs. Counsel finally invited our attention to another Division Bench decision of this Court in the case of Lalbavata Hotel and Bakery Mazdoor Union & Ors. v. Bharat Petroleum Corporation Ltd. & Ors. reported in 1993 I CLR 550. Reliance was placed on the observations in Paras 27 and 28 of the said decision at pages 564 and 565 of the Report for claiming consequential reliefs in this case.
30. As against this, Shri Dada invited our attention to a decision of the Supreme Court in Dena Nath & Ors. v. National Fertilizers Ltd. & Ors. reported in 1992 I CLR 1, to contend that no such relief as prayed for by the petitioner can be granted in the facts and circumstances of the case. Our attention was invited to certain interim orders passed by the Honourable Supreme Court and by this Court. As far as Dena Nath's case was concerned, it must be borne in mind that admittedly there was no notification under section 10 of the Contract Labour Act vis-a-vis the establishment with which the Supreme Court was concerned in the said case viz., the National Fertilizers Limited. This is clear from Para 21 of the said Judgment at page 464 of the Report, which reads as under :-
"In the present case and the other connected Special Leave Petitions no notification has been issued by the appropriate Government under section 10 of the Act vis-a-vis the type of establishment with which we are concerned".
As against the above, the ratio of the decision of the Supreme Court in Sankar Mukherjee's case (supra) would be clearly attracted in the facts of the present case and the observations of the Supreme Court quoted by us in Para 28 above show that the petitioner would be entitled to the reliefs indicated by us at the end of this order. Having considered the several interim orders passed by the Supreme Court from time to time and by this Court, we are of the view that the petitioner would be entitled to reliefs as mentioned at the end of this Order.
31. In view of the above, we have no hesitation in holding that in respect of the first respondent authority the appropriate Government for the purposes of section 2(1)(a) of the Contract Labour Act is the Central Government. Consequently, the notification Exh. B dated 9th December 1976 squarely applies and there is a prohibition of employment of contract labour on and from 1st March 1977 for sweeping, cleaning, and dusting of buildings owned and occupied by the establishments of the first respondent authority. The letter Exh. E dated 3rd April 1992 is hereby quashed and set aside. In so far as the work of sweeping, cleaning and dusting of buildings owned and occupied by the first respondent authority is concerned, the said letter Exh. E dated 3rd April 1992 will have no effect and will not be acted upon. Any action taken pursuant to the said letter dated 3rd April 1992 is hereby declared to be null and void as long as the notification dated 9th December 1976 holds the field.
32. Coming to the final relief to which the petitioner-Union is entitled, we direct the first respondent Airports Authority as under :-
(i) The first respondent will ascertain as to how many workmen are required for doing the work of sweeping, cleaning and dusting the said new domestic terminal building 1-A at Santacruz, Bombay.
(ii) The required number of workmen in accordance with their seniority shall be absorbed keeping in mind the rule 'last come first go'. It is, however, made clear that such absorption will be subject to the disciplinary proceedings, if any, pending against the concerned workmen.
(iii) Such absorbed workmen would be entitled to all the benefits of the emoluments and conditions of service applicable to the regular workmen in this cadre of employees of the first respondent-authority.
(iv) Seniority of the workmen to be absorbed should be determined with reference to their joining the first respondent-authority. Since, under the interim order passed by the Supreme Court, certain workmen may have rendered service for 15 days with a break thereafter, in calculating the wages payable to these workmen from the date of appointment onwards, only the period during which they actually rendered service to the first respondent authority will be taken into account,
(v) Thus, the workmen will not be entitled to any wages during the period for which there was a break in their employment. However, it is made clear that there will be no break in service and they will be entitled to continuity in service, and benefits accruing therefrom.
33. The above directions should be complied with the first respondent Authority within a period of 8 weeks from today. In the mean while, i.e., to say till the expiry of the period of 8 weeks from today, the order of the Supreme Court dated 18th June 1992 in Special Leave to Appeal (Civil) No. 7817 of 1992 at Exh."K" to the Petition will govern the rights of the parties.
34. Rule is made absolute as above, with costs.
35. Order accordingly.