Case Note & Summary
The case involved appeals concerning the employment status of individuals appointed on a co-terminus basis by the Chairman of the Pondicherry Khadi and Village Industries Board. The Board, a statutory body, had engaged these individuals without following the prescribed recruitment procedures, leading to disputes over their right to continue in service after the Chairman's tenure ended. The respondents were appointed as personal staff to the Chairman, with clear terms stating their services would automatically terminate with the Chairman's departure. Despite this, attempts were made to regularize their positions, which were rejected by the Government. The respondents filed writ petitions seeking implementation of a proposal for their absorption, which were initially upheld by the High Court. The appellants contended that the engagement was purely co-terminus and any attempt to regularize would violate constitutional provisions regarding public employment. The Supreme Court analyzed the nature of the appointments, the lack of adherence to proper recruitment channels, and the implications of regularization. Ultimately, the Court found that the respondents had no legitimate claim to continued employment or regularization, as they accepted their positions with full knowledge of the terms. The appeals were allowed, and the previous orders of the High Court were set aside, dismissing the writ petitions filed by the respondents.
Headnote
A) Employment Law - Co-terminus Employment - Rights of Employees - Pondicherry Khadi and Village Industries Board Act, 1980, Section 3 - Employees engaged on a co-terminus basis have no right to continue in service after the tenure of the appointing authority ends. The court held that the respondents accepted their employment with the understanding that their services would terminate with the Chairman's tenure, thus they cannot claim regularization (Paras 2-22).
Issue of Consideration
Whether employees appointed on a co-terminus basis have any right to continue in service after the cessation of the engagement of the person with whose engagement their services were made co-terminus.
Final Decision
The Supreme Court allowed the appeals, set aside the impugned judgments and orders of the High Court, and dismissed the writ petitions filed by the respondents, holding that they had no right to continue in service after the Chairman's tenure ended.
Law Points
- Co-terminus employment
- Regularization of service
- Employment Exchange recruitment
- Articles 14 and 16 of the Constitution
- Absorption of employees



