Case Note & Summary
The dispute arose between the Union of India and casual labourers employed in the Construction Division of the Northern Railways, whose services were terminated orally. The workers contended that they had worked continuously for over 120 days and were entitled to temporary status as Railway servants. After their representation went unanswered, they approached the Central Administrative Tribunal, which ruled in their favor, stating that their termination violated Rule 2304 of the Indian Railways Establishment Manual. The Union of India appealed, arguing that the workers were project employees and thus required to complete 360 days for temporary status. The Supreme Court examined the evidence, including appointment letters, and found that the workers were indeed employed in the Construction Division, not on project work. The court upheld the Tribunal's decision, directing the Railway authorities to grant temporary status and pay back wages from May 12, 1991. The court dismissed the Union's request to remand the case for further evidence, emphasizing the need for justice for the workers. Ultimately, the court ordered the Railway authorities to comply with the Tribunal's directions within two months and awarded costs to the workers.
Headnote
A) Employment Law - Casual Labour - Temporary Status - Rights of Casual Labourers - Indian Railways Establishment Manual, 1952, Chapter XXIII, Rule 2304 - The court held that casual labourers who worked for more than 120 days in open line acquire temporary status and are entitled to rights of temporary Railway servants. The Tribunal's finding that the respondents had worked for over 120 days was upheld, leading to their reinstatement and absorption in regular posts (Paras 825-829).
Issue of Consideration
Whether the respondents were entitled to temporary status and back wages as casual labourers under the Indian Railways Establishment Manual.
Final Decision
The Supreme Court upheld the Tribunal's order, granting temporary status to all 105 workers and directing the Railway authorities to pay back wages from 12.5.1991, along with costs.
Law Points
- Temporary status
- Casual labour
- Employment rights
- Back wages
- Indian Railways Establishment Manual



