Case Note & Summary
The case involved the Food Corporation of India (FCI) appealing against the directions issued by the Employees' State Insurance Court, which were confirmed by the High Court. The FCI argued that its godowns had been notified under Section 10 of the Contract Labour (Regulation and Abolition) Act, 1970, and that it had its own scheme for employee coverage, which served as an alternative to the Employees' State Insurance Corporation's scheme. The Supreme Court noted the absence of representation from the respondent, FCT Thozilali Union, and considered the arguments presented by the FCI's counsel. The court concluded that the existence of the FCI's own employee coverage scheme justified the setting aside of the previous directions. Consequently, the appeal was allowed, and the directions of both the Employees' State Insurance Court and the High Court were set aside.
Headnote
A) Labour Law - Contract Labour Regulation - Coverage of Employees - Contract Labour (Regulation and Abolition) Act, 1970 - The Food Corporation of India had its own scheme for employee coverage, which was an alternative to the Employees' State Insurance Corporation scheme. The Supreme Court held that the directions of the Employees' State Insurance Court and the High Court needed to be set aside due to this alternative coverage scheme. Held that the appeal was allowed (Paras Not mentioned).
Issue of Consideration
Whether the directions given by the Employees' State Insurance Court should be set aside due to the Food Corporation of India's own employee coverage scheme.
Final Decision
The Supreme Court allowed the appeal of the Food Corporation of India and set aside the directions given by the Employees' State Insurance Court and confirmed by the High Court.
Law Points
- Contract Labour Regulation
- Employees' State Insurance
- Coverage of Employees



