High Court of Karnataka Dismisses Employer's Writ Petition Challenging Industrial Dispute Reference Under Repealed Act. Reference Order Saved by Savings Clause in Industrial Relations Code, 2020 and Section 6 of General Clauses Act, 1897 as It Was Made When Old Act Was in Force.

High Court: Karnataka High Court Bench: BENGALURU
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Case Note & Summary

The dispute arose when Glastronix LLP, the petitioner, challenged a reference order dated 19.12.2025 issued by the Labour Department, Government of Karnataka, referring an industrial dispute between the petitioner and Glastronix Karmika Sangha (Employees Union) to the Industrial Tribunal, Bengaluru under the Industrial Disputes Act, 1947. The petitioner filed a writ petition under Articles 226 and 227 of the Constitution of India seeking to quash the reference order and a Central Government notification dated 08.12.2025 issued under Section 103 of the Industrial Relations Code, 2020. The core legal issue was whether the reference order was invalid due to the repeal of the Industrial Disputes Act, 1947 by the Industrial Relations Code, 2020, which was notified with effect from 21.11.2025. The petitioner argued that the Code came into force on 21.11.2025, repealing the old Act, and thus the reference made on 19.12.2025 was without jurisdiction. They also contended that Section 51 of the Code mandated transfer of pending proceedings to Tribunals under the Code, and that the notification under Section 103 was inconsistent with the Code. The respondents, including the Union and government authorities, relied on an amendment to Section 104 of the Code dated 16.02.2026, which introduced a savings clause allowing Tribunals and statutory authorities under the repealed Acts to continue functioning until Tribunals under the Code become operational. The court analyzed the provisions of the Industrial Relations Code, 2020, particularly Sections 1(3), 51, 103, and 104. It noted that the Code was notified on 21.11.2025, bringing all its provisions into effect. However, the amendment to Section 104 on 16.02.2026 added sub-section (1A), which expressly saved the functioning of Tribunals and statutory authorities under the repealed Acts until new Tribunals are formed under the Code. The court held that this savings clause preserved the jurisdiction of Labour Courts and Tribunals under the Industrial Disputes Act, 1947 during the transitional period. Additionally, the court applied Section 6 of the General Clauses Act, 1897, which protects actions taken under a repealed enactment unless a contrary intention is shown. Since the reference order was made on 19.12.2025, when the old Act was still in force, it was saved from invalidity. The court also rejected the petitioner's narrow interpretation of 'statutory authorities' in Section 104(1A), holding that it includes Labour Courts. Consequently, the court found no merit in the writ petition and dismissed it, upholding the reference order.

Headnote

A) Labour Law - Industrial Relations Code - Repeal and Savings - Industrial Relations Code, 2020, Sections 51, 103, 104 - The petitioner challenged a reference order dated 19.12.2025 issued under the Industrial Disputes Act, 1947, arguing that the Act stood repealed from 21.11.2025 when the Industrial Relations Code, 2020 was notified. The court examined Sections 51 and 104 of the Code and held that while the Act was repealed, Section 104(1A) as amended on 16.02.2026 preserved the jurisdiction of Tribunals and statutory authorities under the repealed Acts until Tribunals under the Code become functional. This saved the reference order. (Paras 18-21)

B) Labour Law - General Clauses Act - Saving of Actions - General Clauses Act, 1897, Section 6 - The petitioner contended that the reference order dated 19.12.2025 was without jurisdiction due to retrospective repeal. The court applied Section 6 of the General Clauses Act, 1897, which saves anything done or any action taken under a repealed enactment unless a contrary intention appears. Since the reference was made when the Industrial Disputes Act, 1947 was in force, Section 6 protected its validity. (Para 22)

C) Labour Law - Statutory Interpretation - Definition of Statutory Authorities - Industrial Relations Code, 2020, Section 104(1A) - The petitioner argued that Section 104(1A) of the Industrial Relations Code, 2020 did not mention 'Labour Courts', only 'Tribunals and statutory authorities'. The court interpreted the expression 'statutory authorities' broadly to include Labour Courts, ensuring continuity of jurisdiction during the transitional period. (Para 23)

Issue of Consideration: Whether the reference order dated 19.12.2025 issued under the Industrial Disputes Act, 1947 was without jurisdiction due to the repeal of the Act by the Industrial Relations Code, 2020 with effect from 21.11.2025

Final Decision

Writ Petition dismissed. No merit found. Reference order dated 19.12.2025 upheld.

2026 LawText (KAR) (02) 3

WRIT PETITION NO. 3784 OF 2026 (L-RES)

2026-02-18

Anant Ramanath Hedge

HC-KAR NC: 2026:KHC:7984

Sri S N Murthy, Senior Counsel A/W Sri Somashekar, Advocate for petitioner, Smt Maitreyi Krishnan, Advocate for R1, Sri M Rajakumar, AGA for R2, Sri Tushar Mehta, Solicitor General A/W Sri K Aravind Kamath, Additional Solicitor General A/W Sri Gowtham Dev C Ullal, CGC for R3

Glastronix LLP

The President/General Secretary, Glastronix Karmika Sangha, The Secretary, Labour Department, Government of Karnataka, The Secretary to Government, Ministry of Labour and Employment

Nature of Litigation: Writ Petition under Articles 226 and 227 of the Constitution of India challenging a reference order and a Central Government notification

Remedy Sought

Petitioner sought writ of certiorari to quash the order dated 19.12.2025 issued by respondent No.2 and the Central Government notification dated 08.12.2025

Filing Reason

Assailing the reference of industrial dispute to Industrial Tribunal under Industrial Disputes Act, 1947 after its alleged repeal

Previous Decisions

Petition was disposed of vide order dated 10.02.2026 but not signed as Court noticed repeal of Industrial Disputes Act, 1947; matter listed afresh

Issues

Validity of reference order dated 19.12.2025 under Industrial Disputes Act, 1947 after repeal by Industrial Relations Code, 2020 Interpretation of savings provisions in Industrial Relations Code, 2020 and General Clauses Act, 1897

Submissions/Arguments

Petitioner contended reference invalid as Industrial Relations Code, 2020 notified from 21.11.2025 and Government had no jurisdiction under repealed Act Respondent contended amendment to Section 104 on 16.02.2026 restored powers of Tribunals under old Act till new Tribunals functional

Ratio Decidendi

The Industrial Relations Code, 2020 repealed the Industrial Disputes Act, 1947 with effect from 21.11.2025, but the amendment to Section 104 on 16.02.2026 introduced a savings clause (Section 104(1A)) allowing Tribunals and statutory authorities under the repealed Acts to continue functioning until Tribunals under the Code become operational. Additionally, Section 6 of the General Clauses Act, 1897 saves actions taken under a repealed enactment, protecting the reference order made on 19.12.2025 when the old Act was in force.

Judgment Excerpts

"The Industrial Relations Code, 2020 was notified with effect from 21.11.2025." "Section 51 of the Code, 2020 would also indicate that all the Labour Courts and Tribunals constituted under the Act, 1947 shall not have any jurisdiction and the cases are to be transferred to the Labour Tribunals and the National Tribunals constituted under the Code, 2020." "Section 104(1A) of the Code, 2020 provides that notwithstanding the repeal of the Acts mentioned in the said provision, the Tribunals and statutory authorities functioning under the Acts so repealed will continue till the formation of Tribunals and other authorities under the Code, 2020." "Section 6 of the General Clauses Act, 1897 would save the order of reference dated 19.12.2025."

Procedural History

Petition filed under Articles 226 and 227 of Constitution; initially disposed of on 10.02.2026 but order not signed as Court noticed repeal of Industrial Disputes Act, 1947; matter listed afresh and heard on 18.02.2026; writ petition dismissed.

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