Case Note & Summary
The dispute arose between Bharat Petroleum Corporation Ltd. and Mumbai Shramik Sangha regarding the entitlement of contract labour employed by a contractor for cleaning and sweeping at the Corporation's residential and sports complex. The High Court had ruled that these workers were entitled to benefits under a government notification abolishing contract labour, effective from February 1, 1991. The Corporation appealed against this decision, questioning the applicability of Section 10 of the Contract Labour (Regulation & Abolition) Act, 1970, particularly the interpretation of 'in any establishment.' The appellant contended that the notification could not apply to workers at the residential premises, as these locations did not directly relate to industrial operations. The respondents argued that the definitions of 'contract labour' and 'workmen' included those working in connection with the establishment, citing various precedents. The court analyzed the arguments, referencing the Gammon case and other relevant judgments, ultimately deciding that the matter was significant enough to warrant a referral to a Constitution Bench for clarification on the jurisdiction of the Central Government regarding contract labour at non-industrial locations. The court posed two specific questions for the Constitution Bench to address regarding the validity of the notification and the interpretation of Section 10. The Registry was directed to place the matter before the Chief Justice for appropriate orders. The decision underscored the need for a definitive ruling on the scope of the Act concerning contract labour at residential premises. The court's final holding was to refer the questions to a Constitution Bench for further examination.
Headnote
A) Labour Law - Contract Labour Abolition - Jurisdiction of Central Government - Contract Labour (Regulation & Abolition) Act, 1970, Sections 10(1), 10(2) - The court considered whether the Central Government could issue a notification abolishing contract labour at residential premises of the Corporation, referencing the observations in Gammon (India) Ltd. case. The court found that the issue required independent determination and referred it to a Constitution Bench for resolution. (Paras 1-3).
Issue of Consideration
Whether the Central Government can prohibit contract labour at residential premises under Section 10 of the Contract Labour (Regulation & Abolition) Act, 1970.
Final Decision
The court referred the matter to a Constitution Bench to decide the questions regarding the jurisdiction of the Central Government under Section 10 of the Act and the validity of the notification abolishing contract labour at residential premises.
Law Points
- Contract Labour
- Abolition
- Jurisdiction
- Notification Validity
- Workmen Definition



