The Supreme Court recently criticized the practice of public institutions hiring workers on a temporary basis to avoid providing them with permanent benefits. The Court reiterated that long-serving employees appointed to sanctioned positions cannot be denied regularization merely because their initial appointment was temporary.
"Uma Devi (2006) cannot be used as a shield to justify exploitative engagements persisting for years." – Supreme Court
Case Background
This case involves workers engaged as Gardeners (Malis) in the Horticulture Department of Ghaziabad Nagar Nigam since 1998-1999. Despite working under the direct supervision of the municipal body, they were denied official appointment letters, minimum wages, and statutory benefits. In 2004, they raised an industrial dispute seeking regularization, but their services were abruptly terminated in 2005 without any written order or compensation.
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The Labour Court issued conflicting decisions—some favoring the workers and others siding with the employer. The Allahabad High Court allowed their re-engagement on daily wages but denied regularization. Dissatisfied with this decision, the workers approached the Supreme Court.
A bench comprising Justices Vikram Nath and Prasanna B. Varale set aside the High Court’s decision and ruled in favor of the workers. The Court observed:
"It is evident that the workers rendered their services continuously for several years. Even if certain records were not fully produced, the employer’s failure to furnish them allows an adverse inference under established labor jurisprudence." – Supreme Court
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Uma Devi Judgment Cannot Be Used to Deny Regularization – The Supreme Court clarified that the Uma Devi ruling does not apply in cases where employees have been continuously engaged in sanctioned positions.
Ban on Fresh Recruitment Is No Excuse – The Court rejected the employer’s argument that a general ban on new hires prevented regularization, stating that municipal gardening work is perennial in nature.
Workers' Services Must Be Recognized as Continuous – Acknowledging their long tenure, the Court directed:
- The termination of workers was illegal.
- They must be reinstated.
- They are entitled to 50% back wages.
- The employer must initiate the regularization process within six months.
This ruling strengthens the rights of daily wage workers and ensures that no employer—governmental or private—can exploit workers by keeping them in temporary positions indefinitely.
