Case Note & Summary
The judgment concerns two writ petitions filed by Shilpa S. Chandankar and Priyanka Pradeep Chavan against the National Textile Corporation Ltd. (NTC Ltd.), the State of Maharashtra, and the Union of India. The petitioners sought reinstatement with continuity of service and back wages, claiming they were employees of NTC Ltd. and were illegally terminated. The court examined the facts: the petitioners were appointed by contractors (M/s. S.S. Enterprises and M/s. Jai Mata Di Enterprises) for security and housekeeping services at NTC Ltd.'s mills. They were paid by the contractors, and their appointment letters were issued by the contractors. NTC Ltd. had entered into contracts with these contractors for services. The court noted that the petitioners were not directly appointed by NTC Ltd., nor were they on its payroll. The court held that no employer-employee relationship existed between the petitioners and NTC Ltd. The termination was by the contractor, not by NTC Ltd. The court further held that the remedy for the petitioners, if any, lies before the Industrial Tribunal or Labour Court under the Industrial Disputes Act, 1947, as disputed questions of fact exist regarding the nature of employment. The writ petitions were dismissed as not maintainable. The court also disposed of the interim application.
Headnote
A) Service Law - Employer-Employee Relationship - Contract Labour - The petitioners claimed to be employees of NTC Ltd. but were appointed by contractors and paid by them; no evidence of appointment by NTC Ltd. or control by NTC Ltd. over their work - Held that no employer-employee relationship existed between the petitioners and NTC Ltd. (Paras 5-8). B) Industrial Disputes Act, 1947 - Termination - Writ Jurisdiction - The petitioners' termination was by the contractor, not by NTC Ltd.; the remedy lies before the Industrial Tribunal or Labour Court under the Industrial Disputes Act, 1947, not by way of writ petition - Held that writ petitions are not maintainable as disputed questions of fact exist regarding the nature of employment (Paras 9-10).
Issue of Consideration
Whether the petitioners were employees of the National Textile Corporation Ltd. (NTC Ltd.) and whether their termination was illegal, entitling them to reinstatement.
Final Decision
Both writ petitions are dismissed. The interim application is disposed of.
Law Points
- Employer-employee relationship
- Contract labour
- Termination of service
- Writ jurisdiction
- Industrial Disputes Act
- 1947





