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Employees-unions challenging wage pay notification without making employers party in writ not tenable

Case Law Details

TaxGuru Citation
2025 taxguru.in 383
Case Name
Karnataka Employers’ Association Vs All India Trade Union Congress (R) Karnataka State Committee (Karnataka High Court)
Date of Judgement/Order
Only available for paid members
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Karnataka Employers’ Association Vs All India Trade Union Congress (R) Karnataka State Committee (Karnataka High Court)

Karnataka High Court held that in case of challenge against Notification dated 28th July 2022 issued by the Government under Section 3(1)(b) read with Section 5(1)(b) of the Minimum Wages Act, 1948 by employees unions without making employers party in the writ not tenable since employers are interested category of persons to be affected.

Facts- As per the impugned judgment and order which is a common challenge, learned Single Judge set aside Notification dated 28th July 2022 issued by the Government under Section 3(1)(b) read with Section 5(1)(b) of the Minimum Wages Act, 1948, whereby the minimum rates of wages for the employments in the Foundry-with or without machine shop, came to be revised.

Conclusion- Therefore, even if the Notification under Section 5(1) of the Minimum Wages Act, 1948 is perceived to be a subordinate legislative piece, there is no gainsaying that it preceded the statutory process. A flaw in the nature of unreasonableness on any count, in such process, has to be remedied. The statutory exercise has to be informed by tenets of fairness, reasonableness and for that purpose compliance of principles of natural justice by giving the party interested a hearing.

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