Case Note & Summary
The dispute arose between the U.P. State Road Transport Corporation and its Trade Union regarding the status of 15 contract employees as regular workmen. The Labour Court had previously ruled in favor of the employees, directing the Corporation to treat them as regular employees and provide them with minimum wages. The Corporation challenged this decision, arguing that the Labour Court acted beyond its jurisdiction and that the employees were not selected through the proper process for regular appointments. The Supreme Court analyzed the scope of Sections 11-C of the U.P. Industrial Disputes Act and 13-A of the Industrial Employment (Standing Orders) Act, concluding that the Labour Court's authority was limited to interpreting standing orders and did not extend to granting the relief sought by the employees. The court noted that the Labour Court had not referred to any standing order and could not amend the regulations governing contract employees. Consequently, the Supreme Court allowed the appeal, set aside the Labour Court's order, and the High Court's judgment, while permitting the employees to pursue their grievances through the appropriate channels under the Industrial Disputes Act. The court emphasized the need for expeditious resolution of such disputes if referred by the State Government.
Headnote
A) Labour Law - Jurisdiction of Labour Court - Scope of Relief Granted - U.P. Industrial Disputes Act, 1947, Sections 11-C, 10 - The Labour Court exceeded its jurisdiction by granting relief to contract employees as regular employees, which could only be addressed under a regular reference. The court held that the Labour Court's powers under Section 11-C are limited to interpretation and application of standing orders, not to grant substantive relief (Paras 12-15).
Issue of Consideration
Whether the Labour Court had the jurisdiction to grant relief to contract employees as regular employees under the U.P. Industrial Disputes Act, 1947.
Final Decision
The Supreme Court allowed the appeal, set aside the Labour Court's order and the High Court's judgment, and permitted the employees to raise their grievances under the appropriate provisions of the Industrial Disputes Act.
Law Points
- Interpretation of standing orders
- Jurisdiction of Labour Court
- Industrial Disputes Act
- Standing Orders Act


