PETITIONER:
DAILY RATED CASUAL LABOUR EMPLOYEDUNDER P & T DEPARTMENT THR
Vs.
RESPONDENT:
UNION OF INDIA & OTHERS
DATE OF JUDGMENT27/10/1987
BENCH:
VENKATARAMIAH, E.S. (J)
BENCH:
VENKATARAMIAH, E.S. (J)
RANGNATHAN, S.
CITATION:
1987 AIR 2342 1988 SCR (1) 598
1988 SCC (1) 122 JT 1987 (4) 164
1987 SCALE (2)844
CITATOR INFO :
R 1988 SC 517 (3)
R 1988 SC 519 (4)
D 1989 SC1117 (3)
F 1990 SC 883 (2,8)
F 1991 SC 101 (223,241)
RF 1991 SC1173 (6)
ACT:
Constitution of India, 1950: Articles 14, 16, 37 and
38(2)-Posts and Telegraphs Department-Daily rated casual
labour-Classification on basis of number of days of service
for payment of wages-Whether Constitutional, justifiable and
tenable whether opposed to International Covenant on
Economic, Social and Cultural Rights-Non-regularisation of
temporary employees or casual labour-Whether a wise policy
Directions issued for preparation of scheme for absorption
of casual labourers.
HEADNOTE:
%
International Covenant on Economic, Social and Cultural
Rights, 1966: Article 7-Casual labour-Justifiable
classification for payment of wages-Necessity of-Non-
regularisation of service-Not wise policy-Necessity for
absorption as permanent workers.
The petitioners who were working as 'Daily Rated Casual
Labour' in the Posts and Telegraphs Department, were
categorised as unskilled, semi-skilled and skilled workers.
By the orders of the D.G., Post and Telegraphs Department
No. 28-II/77-SR/STM dated 15.5.80 and 10-4/83-R dated
26.7.84 they were further classified into (i) those who had
not completed 720 days of service; (ii) those who had comp-
leted 720 days and not completed 1200 days of service, and
(iii) those who had completed more than 1200 days of
service, and were granted different rates of wages as laid
down therein. Aggrieved by these orders, the petitioners
submitted a statement of demands through their federation to
the authorities, claiming regularisation, payment of interim
relief and bonus, supply of dresses, leave and medical
facilities etc.
Not satisfied with the reply received by them, the
petitioners filed writ petitions, for the issue of a writ in
the nature of mandamus to the Union of India and to direct
it to pay them same salary, allowances, and other benefits
as were being paid to regular and permanent employees of the
Union of India in corresponding cadres and to regularise the
599
service of the casual labour who had been in continuous
service for more than 6 months. Their principal complaint
was that even though many of them had been working for the
last ten years as casual labourers, the wages paid to them
were very low and far less than the salary and allowances
paid to regular employees of the Posts and Telegraphs
Department belonging to the equivalent categories and,
secondly that no scheme had been prepared by the Union of
India to absorb them regularly in its service and they had
been denied the benefits of increments, pension, leave
facilities etc. etc. which were enjoyed by those who had
been recruited regularly.
The petitioners were opposed by the respondents
contending that since the petitioners belonged to the
category of casual labour and were not being regularly
employed, they were not entitled to the same privileges
which regular employees were enjoying.
Disposing of the writ petitions,
^
HELD: 1.1 The classification of employees in the
present case into casual employees and regularly recruited
employees for the purpose of paying less than the minimum
pay payable to employees in the corresponding regular cadres
particularly in the lowest rungs of the department, where
the pay scales are the lowest is not tenable. The further
classification of casual labourers into three categories,
namely, (i) those who have not completed 720 days of
service; (ii) those who have completed 720 days of service
and not completed 1200 days of service, and (iii) those who
have completed more than 1200 days of service for the
purpose of payment of different rates of wages is equally
untenable. There is clearly no justification for doing so.
Such a classification is violative of Articles 14 and 16 of
the Constitution. It is also opposed to the spirit of
Article 7 of the International Covenant on Economic, Social
and Cultural Rights, 1966 which exhorts all States, parties
to the Covenant to ensure fair wages and equal wages for
equal work. [608E-H]
1.2 The State cannot deny at least the minimum pay in
the pay scales of regularly employed workmen even though the
Government may not be compelled to extend all benefits
enjoyed by regularly recruited employees. Such denial
amounts to exploitation of labour. [608Dl
1.3 The Government should be a model employer. It
cannot take advantage of its dominant position, and compel
any worker to work
600
even as a casual labourer on starving wages. It may be that
the casual labourer has agreed to work on such low wages.
That he has done, because he has no other choice. It is
poverty that has driven him to that state. [608E-Fl
1.4 It may be that the petitioners have not been
regularly recruited, but many of them have been working
continuously for more than a year in the Department, and
some of them have been engaged as casual labourers for
nearly ten years. They are rendering the same kind of
service which is being rendered by the regular employees
doing the same type of work. [608A-B]
1.5 Even though the Directive Principle contained in
Article 38(2) may not be enforceable as such by virtue of
Article 37 of the Constitution of India, it may be relied
upon to show that they have been subjected to hostile
discrimination. [608C ]
Dhirendra Chamoli and Another v. State of U.P., [1986]
1 SCC V 637, relied on.
2.1 Non-regularisation of temporary employees or casual
labour for a long period is not a wise policy. 610E-F]
2.2 India is a socialist republic. It implies the
existence of cer-
tain important obligations which the State has to
discharge. Many rights like right to work, equal pay for
equal work, security of work, etc. have to be ensured by
appropriate legislation and executive measured. [609D-E]
2.3 If a person does not have the feeling that he
belongs to an organisation engaged in production, he will
not put forward his best effort to produce more. That sense
of belonging arises only when he feels that he will not be
turned out of employment the next day at the whim of
management. Security of work should as far as possible be
assured to the employees so that they may contribute to the
maximisation of production. Managements and the Governmental
agencies in particular should not allow workers to remain as
casual labourers or temporary employees for an unreasonably
long period of time. [609G-H; 610A]
2.4 The employees belonging to skilled, semi-skilled
and unskilled classes can be shifted from one department to
another even if there is no work to be done in a given
place. Administrators should realise even as a casual
labourer on starving wages. It may be that the casual
labourer has agreed to work on such low wages. That he has
done, because he has no other choice. It is poverty that has
driven him to that state. [608E-F]
601
that if any worker remains idle on any day, the country
loses the wealth that he would have produced during that
day. Our wage structure is such that a worker is always paid
less than what he produces. [610B-C]
3. The Union of India and the other respondents are
directed to pay wages to the workmen who are employed as
casual labourers at the rate equivalent to the minimum pay
in the pay scales of the regularly employed workers in the
corresponding cadres but without any increments with effect
from 5th of February, 1986 and corresponding Dearness
Allowance and Addl. Dearness Allowances, if any, payable
thereon. Other benefits which are now being enjoyed by the
casual labourers shall continue to be extended to them. The
arrears of wages payable shall be paid within four months.
[609B-C; 610G]
The respondents are directed to prepare a scheme for
absorbing as far as possible the casual labourers who have
been continuously working for more than one year in the
Posts and Telegraphs Departments 610-Fl
JUDGMENT:
ORIGINAL JURISDICTION: Writ Petition No. 373 of 1986.
(Under Article 32 of the Constitution of India).
A.K. Goel, E.X. Joseph and N.S. Das Bahl for the
petitioners.
V.C. Mahajan, Girish Chandra, Mrs. Sushma Suri and Miss
A. Subhashini for the Respondents.
The Judgment of the Court was delivered by
VENKATARAMIAH, J. These petitions are filed on behalf
of persons who are working as ‘Daily Rated Casual Labour’ in
the Posts and Telegraphs Department. The ‘Daily Rated Casual
Labour’ includes three broad categories of workers, namely,
unskilled, semiskilled and skilled. The unskilled labour
consists of safai workers, helpers, peons etc. and are
mostly engaged in digging, carrying loads and other similar
types of work. The semi-skilled labour consists of
carpenters, wiremen, draftsmen, A.C. mechanics etc. who have
technical experience but do not hold any degree or diploma.
The skilled labour consists of labour doing technical work,
who hold requisite degrees/diplomas.
The principal complaint of the petitioners is that even
though
602
many of them have been working for the last ten years as
casual A labourers, the wages paid to them are very low and
far less than the salary and allowances paid to the regular
employees of the Posts and Telegraphs Department belonging
to each of the categories referred to above and secondly no
scheme has been prepared by the Union of India to absorb
them regularly in its service and consequently they have
been denied the benefits, such as increments, pension, leave
facilities etc. etc. which are enjoyed by those who have
been recruited regularly. They allege that they are being
exploited by the Union of India.
They have produced the order of the Director General,
Posts and Telegraphs Department bearing No. 28-II/77-SR/STN
dated 15.5.1980 which prescribes the rate or rates of wages
payable to the casual labour in the Telecommunication Wing
of the Department. The relevant part of the order reads
thus:
“No. 28-II/77-SR/STN
Office of the Director General Posts
and Telegraphs,
New Delhi-1,
15.5.1980
To
…………………………
Subject: Increase in rate of daily wages for
the casual labour employed in the
Telecom. Wing of P & T.
The employment of casual labour in the
Telecom. Wing, who are working for a reasonably
long period, on continuous basis was one of the
items under discussion in the P & T Department
council (JCM). The potential of absorption of the
large force of casual mazdoor in regular grade was
limited on the Telecommunication side. As an
alternative to regular absorption it was proposed
that a wage related to the minimum of the pay
scale of Time-Scale Group-D cadre with the benefit
of neutralisation for the rise in cost-Index as
applicable to regular employees may be effected.
603
2. The President is now pleased to decide
that the A rates of daily wages for the casual
labour employed in the Telecom. Wing of P & T will
be as follows:-
(i) Casual labour who has not completed 720 days
of service in a period of three years at the rate
of 240 days per annum with the Department as on
1.4.80.
_________________________________________________
No change. They will continue to be paid at the
approved local rates.
(ii) Casual labour who having been working with
the Department from 1.4.77 or earlier and have
completed 720 days of service as on 1.4.80.
__________________________________________________
Daily wages equal to 75% of 1/30th of the minimum
of Group time Scale plus admissible D.A.
_________________________________________________
(iii) Casual labour who has been working in the
Department from 1.4.1975 or earlier and has
completed 1200 days of service as on 1.4.1980.
_________________________________________________
Daily wages equal to 1/30th of the minimum of the
Group Time Scale plus 1/30th of the admissible
D.A.
(iv) All the casual labourers will, however,
continue to be employed on daily wages only.
(v) These orders for enhanced rates for category
(ii) & (iii) above will take effect from 1.5.80.
(vi) A review will be carried out every year as on
the Ist of April for making officials eligible for
wages indicated in paras (ii) and (iii) above.
(vii) The above arrangement of enhanced rates of
daily wages will be without prejudice to
absorption of causal mazdoors against regular
vacancies as and they occur
………………………………………….
604
sd/-
(M.S. Yegneshwaran)
Asst. Director General (Stn.)”
The above order is followed by the another order
bearing No. 10-4/83-R dated 26.7.1984 which reads as under:-
To
All General Managers Telecom.
Subject: Increase in rates of daily wages for the
casual/ semi-skilled/skilled labour.
Sir, The employment of the casual semi
skilled/skilled labour in the Telecom. Wing who
are working for a reasonably long period, on
continuous basis has been engaging the attention
of this Directorate for quite sometime past. The
potential of absorption of labour of the type in
regular grade was limited on the Telecommunication
side. As an alternative to regular absorption the
need was being felt that wage related to the
minimum of the pay scale of semi skilled skilled
casual labour with the benefit of neutralisation
for the rise in cost index as applicable to
regular employees may be effected as is at present
available to casual un-skilled labour working
under the P & T Department.
2. The President is now pleased to decide that the
rates of daily wages for the semi-skilled/skilled
casual labour employed in the Telecom. Wing of the
P & T Department will be as under:-
(i) Casual semi-skilled/skilled labour who has not
completed 720 days of service over a period of
three years or more with the department.
_________________________________________________
No change. They will continue to be paid at the
approved local rates.
(ii) Casual semi-skilled/skilled labour who has
completed
605
720 days of service over a period of three years
or more.
_________________________________________________
Daily wage equal to 75% of 1/30th of the
minimum of the scale of semi-skilled (Rs. 210-270)
or skilled (Rs.260-350) as the case may be, plus
admissible DA/ADA thereon.
(iii) Casual Labour who has completed 1200 days of
service over a period of 5 years or more.
__________________________________________________
Daily wage equal to 1/30th of the minimum of
the pay scale of semi-skilled (Rs.210-270) skilled
(Rs.260-350) as the case may be, plus DA/ADA
admissible thereon.
(iv) All the casual semi-skilled/skilled labour
will, however continue to be employed on daily
wages only.
(v) These orders for enhanced rates for category
(ii) and (iii) above will take effect from
1.4.1984. (vi) A review for making further
officials eligible for wages vide (ii) and (iii)
above will take effect as on Ist of April every
year.
(vii) If the rates calculated vide (ii) and (iii)
above happen to be less than the approved local
rates, payment shall be made as per approved local
rates for above categories of labour.
(viii) The above arrangements of enhanced rates of
daily wages will be without prejudice to
absorption of casual semi-skilled/skilled labour
against regular vacancies as and when they occur.
(ix) The benefit of increased rates of daily wages
will not be admissible to the casual semi-
skilled/skilled labour in whose case the
continuous spells of duty are intervened by a
period of more than six months. The absence of
more than six months may, however, be condoned by
the Divisional Engineer on one of the two grounds
namely, prolonged illness on production of medical
certificates or nonemployment due to non-
availability of work. In the case of
606
absence beyond six months at a time on account of
illness for the past years, the production of
medical certificate may not be insisted upon and
the period of break may be condoned if the
Divisional Engineer is satisfied about the
genuineness of the absence
4. These enhanced rates of daily wages are
applicable to the semi-skilled/skilled casual
labour who strictly conform to the job content of
corresponding regular posts in scales of Rs.210-
270 and Rs.260-350 as the case may be and that
there should not be any variation in the
respective job con tent. In case of slight
variation/doubt cases may be referred to the . .
P. & T for review .
Yours faithfully,
(V. Ramaswamy)
Assistant Director General (Stn. )”
Aggrieved by the discrimination made against them by
these orders which very heavily weighed against them, the
petitioners submitted a statement of demands through the
Secretary General, BPTEF, New Delhi, of which they were
members, claiming regularisation of casual labourers,
payment of interim relief, payment of bonus, supply of
dresses, leave and medical facilities etc. They received a
reply from the Department on January 10, 1986 which read as
under :-
“Sub: Demands of casual labour-daily rated
workers.
Ref: Your letter No. PF/Casual Labour/86 dated 13.
12. 1985.
Please refer to your above cited letter. The
position regarding the various demands in your
above cited letter is as below:-
(i) Regularisation of Casual Labour.
This is being done as per existing
instructions of department of Personnel & Training
as against the vacancies as and when they arise.
607
(ii) Payment of interim relief.
Revision of wages is done once in a year for
casual labourers of category 1 (those who have not
completed 720/120O days in 3/5 years) in the month
of April taking into account the prevailing local
rates in consultation with the local authorities.
However, in respect of categories (ii) and (iii)
i.e. for those who have completed 720/1200 days in
3/5 years, the revision is done as and when
DA/ADA. Interim Reliefs are being granted to
regular staff at the rate of 3/4th full of the
minimum of the scale of regular class-IV employees
…………….
(vii) Regularisation of
skilled/semi/skilled/
unskilled labour in similar grade:-
Provision has been made in the recruitment
rules whereever possible to give preference in
recruitment for corresponding semi-skilled/skilled
workers. Regarding unskilled labour, they will be
taken as Group staff as and when vacancies arise,
on their becoming eligible for absorption as per
instruction of DGP & T.
(S. KRISHAN)
DIRECTOR (ST)
10.1.1986.”
The petitioners were not satisfied with the above reply
received by them. They, therefore, filed the above petitions
and the first of them bearing Writ Petition No. 302 of 1986
was filed on 5.2.1986 for the issue of a writ in the nature
of mandamus to the Union of India to direct it to pay to the
petitioners same salary and allowances and other benefits as
are being paid to the regular and permanent employees of the
Union of India in the corresponding cadres and to direct the
Union of India to regularise the service of the casual
labour who had been in continuous service for more than six
months.
The allegation made in the petitions to the effect that
the petitioners are being paid wages far less than the
minimum pay payable under the pay scales applicable to the
regular employees belonging to corresponding cadres is more
or less admitted by the respondents. The respondents,
however, contend that since the petitioners belong to the
category of casual labour and are not being regularly
employed, they
608
are not entitled to the same privileges which the regular
employees are enjoying. It may be true that the petitioners
have not been regularly recruited but many of them have been
working continuously for more than a year in the Department
and some of them have been engaged as casual labourers for
nearly ten years. They are rendering the same kind of
service which is being rendered by the regular employees
doing the same type of work. Clause (2) of Article 38 of the
Constitution of India which contains one of the Directive
Principles of State Policy provides that “the State shall,
in particular, strive to minimise the inequalities in
income, and endeavour to eliminate inequalities in status,
facilities and opportunities, not only amongst individuals
but also amongst groups of people residing in different
areas or engaged in different vacations.” Even though the
above Directive Principle may not be enforceable as such by
virtue of Article 37 of the Constitution of India, it may be
relied upon by the petitioners to show that in the instant
case they have been subjected to hostile discrimination. It
is urged that the State cannot deny at least the minimum pay
in the pay scales of regularly employed workmen even though
the Government may not be compelled to extend all the
benefits enjoyed by regularly recruited employees. We are of
the view that such denial amounts to exploitation of labour.
The Government cannot take advantage of its dominant
position, and compel any worker to work even as a casual
labourer on starving wages. It may be that the casual
labourer has agreed to work on such low wages. That he has
done because he has no other choice. It is poverty that has
driven him to that State. The Government should be a model
employer. We are of the view that on the facts and in the
circumstances of this case the classification of employees
into regularly recruited employees and casual employees for
the purpose of paying less than the minimum pay payable to
employees in the corresponding regular cadres particularly
in the lowest rungs of the department where the pay scales
are the lowest is not tenable. The further classification of
casual labourers into three categories namely (i) those who
have not completed 720 days of service; (ii) those who have
completed 720 days of service and not completed 1200 days of
service and (iii) those who have completed more than 1200
days of service for purpose of payment of different rates of
wages is equally untenable. There is clearly no
justification for doing so. Such a classification is
violative of Articles 14 and 16 of the Constitution. It is
also opposed to the spirit of Article 7 of the International
Covenant on Economic, Social and Cultural Rights, 1966 which
exhorts all States parties to ensure fair wages and equal
wages for equal work. We feel that there is substance in the
contention of the petitioners
609
In Dhirendra Chamoli and Another v. State of U.P.,
[1986] 1 SCC 637 this Court has taken almost a similar view
with regard to the employees working in the Nehru Yuvak
Kendras who were considered to be performing the same duties
as Class IV employees. We accordingly direct the Union of
India and the other respondents to pay wages to the workmen
who are employed as casual labourers belonging to the
several categories of employees referred to above in the
Postal and Telegraphs Department at the rates equivalent to
the minimum pay in the pay scales of the regularly employed
workers in the corresponding cadres but without any
increments with effect from 5th of February, 1986 on which
date the first of the above two petitions, namely, Writ
Petition No. 302 of 1986 was filed. The petitioners are
entitled to corresponding Dearness Allowance and Addl.
Dearness Allowance, if any, payable thereon. Whatever other
benefits which are now being enjoyed by the casual labourers
shall continue to be extended to them.
India is a socialist republic. It implies the existence
of certain important obligations which the State has to
discharge. The right to work, the right to free choice of
employment, the right to just and favourable conditions of
work, the right to protection against unemployment, the
right of every one who works to just and favourable
remuneration ensuring a decent living for himself and for
family, the right of every one without discrimination of any
kind to equal pay for equal work, the right to rest,
leisure, reasonable limitation on working hours and periodic
holidays with pay, the right to form trade unions. and the
right to join trade unions of one’s choice and the right to
security of work are some of the rights which have to be
ensured by appropriate legislative and executive measures.
It is true that all these rights cannot be extended
simultaneously. But they do indicate the socialist goal. The
degree of achievement in this direction depends upon the
economic resources, willingness of the people to produce and
more than all the existence of industrial peace throughout
the country. Of those rights the question of security of
work is of utmost importance. If a person does not have the
feeling that he belongs to an organization engaged in
production he will not put forward his best effort to
produce more. That sense of belonging arises only when he
feels that he will not be turned out of employment the next
day at the whim of the management. It is for this reason it
is being repeatedly observed by those who are in charge of
economic affairs of the countries in different parts of the
world that as far as possible security of work should be
assured to the employees so that they may contribute to the
maximisation of production. It is again for this reason that
managements and the Government agencies in particular should
not allow
610
workers to remain as casual labourers or temporary employees
for an unreasonably long period of time, where is any
justification to keep persons as casual labourers for years
as is being done in the Postal and Telegraphs Department? Is
it for paying them lower wages? Then it amounts to
exploitation of labour. Is it because you do not know that
there is enough work for the workers? It cannot be so
because there is so much of development to be carried out in
the communications department that you need more workers.
The employees belonging to skilled, semi-skilled and
unskilled classes can be shifted from one department to
another even if there is no work to be done in a given
place. Administrators should realise that if any worker
remains idle on any day, the country loses the wealth that
he would have produced during that day. Our wage structure
is such that a worker is always paid less than what he
produces. So why allow people to remain idle? Anyway they
have got to be fed and clothed. Therefore, why don’t we
provide them with work? There are several types of work such
as road making, railway construction, house building,
irrigation projects, communications etc. which have to be
undertaken on a large scale. Development in these types of
activities (even though they do not involve much foreign
exchange) is not keeping pace with the needs of society. We
are saying all this only to make the people understand the
need for better management of man power (which is a decaying
asset) the non-utilisation of which leads to the inevitable
loss of valuable human resources. Let us remember the
slogan: “Produce or Perish”. It is not an empty slogan. We
fail to produce more at our own peril. It is against this
background that we say that non-regularisation of temporary
employees or casual labour for a long period is not a wise
policy. We, therefore, direct the respondents to prepare a
scheme on a rational basis for absorbing as far as possible
the casual labourers who have been continuously working for
more than one year in the Posts and Telegraphs Department.
The arrears of wages payable to the casual labourers in
accordance with this order shall be paid within four months
from today. The respondents shall prepare a scheme for
absorbing the casual labourers, as directed above, within
eight months from today.
These petitioners are accordingly disposed of.
N.P.V. Petitions disposed of.
611