SARASPUR MILLS CO. LTD. versus RAMANLAL CHIMANLAL & ORS.

SARASPUR MILLS CO. LTD. versus RAMANLAL CHIMANLAL & ORS.

The workers of the co-operative society, entrusted with running the canteen which is a statutory obligation of the appellant, are deemed employees of the appellant under the legal fiction created by the amended Act, and are entitled to wages and allowances as per relevant awards.

Parties
Appellant: Saraspur Mills Co. Ltd.; Respondents: Ramanlal Chimanlal & Ors.
Jurisdiction
India
Judgment Date
12 April 1973
Procedural Posture
Civil Appeal / Appeal by Special Leave From Order of the Industrial Court, Gujarat
Outcome
Appeal dismissed with costs
Legal Topics
Statutory Employees, Canteen Workers, Outsourcing, Payment of Wages and Allowances
Labour Law Industrial Law Statutory Employees Canteen Workers Outsourcing Payment of Wages and Allowances

Case Brief

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Parties

Saraspur Mills Co. Ltd.

Appellant

Ramanlal Chimanlal & Ors.

Respondents

Procedural Posture

Civil Appeal / Appeal by Special Leave From Order of the Industrial Court, Gujarat

Legal Issues

  1. 1 Whether canteen workers employed by the co-operative society are 'employees' of the appellant under the Bombay Industrial Relations Act, as amended by Gujarat Act, for the purpose of wages and dearness allowance.

Ratio Decidendi

The workers of the co-operative society, entrusted with running the canteen which is a statutory obligation of the appellant, are deemed employees of the appellant under the legal fiction created by the amended Act, and are entitled to wages and allowances as per relevant awards.

Court Disposition

Appeal dismissed with costs

Orders

  • Appellant shall pay the difference in wages and dearness allowance in accordance with the mentioned awards