Govt Employees not entitled to claim Double Over Time Allowance under Factories Act, 1948: SC

Security Printing & Minting Corporation of India Ltd Vs. Vijay D. Kasbe (Supreme Court of India)

Facts of the Case

• The case involves a dispute over the entitlement of double overtime allowance to supervisors working in the Security Printing & Minting Corporation of India Ltd. The Ministry of Finance, Government of India had nine production units, including four India Government Mints, two Currency Note Presses, two Security Printing Presses, and one Security Paper Mill under its control. In 2006, a wholly owned Company under the name and style of ‘Security Printing & Minting Corporation of India Ltd.’ was incorporated to take over the management, control, maintenance, and operations of those nine production units. The transfer of management automatically led to the transfer of the workforce and along with the assets and liabilities of the nine production units.
• The corporation inherited some litigation, including the one on hand. The case has a checkered history with fortunes fluctuating from one side to the other. In 1988, an order was issued by the Special Officer (Currency & Coinage), Department of Economic Affairs, Ministry of Finance, Government of India, directing that the non-gazetted supervisory staff of the presses and security paper mill would be compensated for extended hours of work at certain rates. The order indicated that the category of staff mentioned therein would be entitled to a special allowance to be paid in lieu of overtime allowance.

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