Bombay High Court Allows Petition by Municipal Council Challenging Regularization Order — Temporary Appointment Without Selection Confers No Right to Regularization. Industrial Court's direction to regularize a junior clerk as Tax Inspector set aside as appointment was temporary, without regular selection process, and contrary to recruitment rules under Maharashtra Municipal Councils Act, 1965.

High Court: Bombay High Court In Favour of Prosecution
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Case Note & Summary

The Pen Municipal Council challenged the Industrial Court's order directing regularization of Respondent No.1 as Tax Inspector. Respondent No.1 was initially engaged as a Clerk on temporary basis in 1997. In 2003, he was appointed as Tax Inspector for six months on temporary basis without following regular selection process. After termination, he filed a complaint alleging unfair labour practices. The Industrial Court partly allowed the complaint and directed regularization. The Bombay High Court, relying on the Constitution Bench judgment in Umadevi, held that temporary appointments made without due process do not confer any right to regularization. The court noted that Respondent No.1 was not qualified for the post as the feeder post was Senior Clerk, and he was the junior most Clerk. The court set aside the Industrial Court's order and dismissed the complaint.

Headnote

A) Service Law - Regularization - Temporary Appointment - Umadevi Principles - The Industrial Court's direction to regularize a temporary employee appointed without regular selection process and without requisite qualifications was set aside. The court held that mere continuance does not create a right to regularization, and adherence to Articles 14 and 16 is essential. (Paras 13-15)

B) Unfair Labour Practices - Regularization - Maharashtra Recognition of Trade Unions and Prevention of Unfair Labour Practices Act, 1971 - Schedule IV Items 5,6,9 - The complaint alleging unfair labour practices was not maintainable as the appointment was temporary and not made in accordance with rules. The Industrial Court erred in granting regularization. (Paras 5, 13-15)

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Issue of Consideration

Whether the Industrial Court was justified in directing regularization of a temporary employee who was appointed without following due process of selection and who did not possess the requisite qualifications for the post.

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Final Decision

The petition is allowed. The judgment and order dated 7 March 2009 passed by the Industrial Court, Thane in Complaint (ULP) No.31 of 2004 is quashed and set aside. The complaint filed by Respondent No.1 stands dismissed.

Law Points

  • Regularization of temporary employees
  • Umadevi principles
  • Article 14
  • Article 16
  • Maharashtra Recognition of Trade Unions and Prevention of Unfair Labour Practices Act
  • 1971
  • Schedule IV Items 5
  • 6
  • 9
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Case Details

2024 Lawtext (BOM) (5) 63

WRIT PETITION NO.4129 OF 2009

2024-05-06

SANDEEP V. MARNE, J.

Mr. Rahul Oak for Petitioner, Ms. Pavitra Manesh for Respondent No.1

Pen Municipal Council

Shekhar B. Abhang Ors.

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Nature of Litigation

Petition challenging Industrial Court's order directing regularization of a temporary employee.

Remedy Sought

Petitioner sought setting aside of Industrial Court's order directing regularization of Respondent No.1 as Tax Inspector.

Filing Reason

Industrial Court directed regularization of Respondent No.1 despite his temporary appointment without regular selection process and lack of qualifications.

Previous Decisions

Industrial Court partly allowed Complaint (ULP) No.31 of 2004 directing regularization of Respondent No.1 as Tax Inspector with consequential benefits.

Issues

Whether the Industrial Court was justified in directing regularization of a temporary employee appointed without following due process of selection. Whether the employee had any right to regularization under the Umadevi principles.

Submissions/Arguments

Petitioner argued that Respondent No.1 was not qualified, appointment was temporary without selection, and no right accrued. Respondent No.1 argued that his name was sponsored by Employment Exchange, appointment was backed by General Body resolution, and he had worked for a considerable period.

Ratio Decidendi

Temporary appointments made without following due process of selection and without requisite qualifications do not confer any right to regularization. Mere continuance does not create a right to regularization, and adherence to Articles 14 and 16 is essential.

Judgment Excerpts

The Apex Court has held that mere continuance of an employee for a long period does not create any right of regularisation in the service. Unless the appointment is in terms of the relevant rules and after a proper competition among qualified persons, the same would not confer any right on the appointee.

Procedural History

Respondent No.1 filed Complaint (ULP) No.616 of 1998 which was allowed on 6 September 2001. He was appointed as Tax Inspector temporarily on 30 July 2003 for six months. His services were terminated on 23 January 2004. He filed Complaint (ULP) No.31 of 2004 which was partly allowed on 7 March 2009. Petitioner filed the present petition which was admitted on 8 July 2009. This Court directed implementation of Industrial Court's order on 24 February 2012. The present judgment disposes of the petition.

Acts & Sections

  • Maharashtra Municipal Councils, Nagar Panchayats and Industrial Townships Act, 1965:
  • Maharashtra Recognition of Trade Unions and Prevention of Unfair Labour Practices Act, 1971: Schedule IV Items 5, 6, 9
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