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Employees who rendered 480 days of service entitled to regularization: SC

Case Law Details

TaxGuru Citation
2025 taxguru.in 217
Case Name
Tamil Nadu Medical Services Corporation Limited Vs Tamil Nadu Medical Services Corporation Employees Welfare Union & Anr. (Supreme Court of India)
Date of Judgement/Order
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Tamil Nadu Medical Services Corporation Limited Vs Tamil Nadu Medical Services Corporation Employees Welfare Union & Anr. (Supreme Court of India)

Employees of an establishment, that falls under ‘commercial establishment’, who rendered 480 days of service entitled to regularization.

The question before the Supreme Court (“SC”) in the instant case is “whether the workmen of the appellant are entitled to regularization as per the provisions of 1981 Act”

The appellant declined the claim of regularization of services in accordance with the 1981 Act raised by the respondents, who were employed as workmen in different capacities by the appellant. Aggrieved respondents invoked the Writ Jurisdiction of the Madras High Court (in short “Madras HC”). The Madras HC directed the jurisdictional inspector to inspect the petitioner corporation and submit the report with regard to the claim of the respondents. The Inspector of Labour submitted that the respondent workmen were in continuous service of the corporation for 480 days over a period of 24 months and are entitled to permanent status. On perusal of the provisions of the 1981 Act the Single Judge and Division Bench upheld the inspectors report and held, the workmen are entitled to permanent status as envisaged u/s 3 of the 1981 Act.

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