Pandharinath Rangnath Yadav And Another vs. The Union Of INDIA Through Its Secretary And Others

Facts

Numerous writ petitions were filed by contractual ambulance drivers challenging the termination of their services and non-payment of salaries for periods ranging from 12 to 15 months. The petitioners were engaged through contractors by Zilla Parishads. The State of Maharashtra, through the Directorate of Health Services, issued a communication on January 24, 2023, directing Zilla Parishads to submit details of salaries payable to contractual drivers, including GST, and to assess the funds required for monthly salaries. The Court noted that the contractors had deployed these drivers and their contracts were terminated. The Zilla Parishads were called upon to fill a chart detailing unpaid salaries and tender it to the Joint Director of Health Services.

Held

The Court directed that the minimum pay scale at the lowest grade applicable to regular employees holding the same post shall be paid to the petitioners until further orders. Their services were also protected from termination without leave of the Court, solely in relation to their contractual employment. The Court noted that the Zilla Parishads were to intimate the quantum of unpaid salaries to the Joint Director of Health Services within 10 days. The Directorate of Health Services was expected to initiate steps to ensure monthly salaries are paid from March 2023. The Court also directed that the Zilla Parishad or Contractor must assess arrears from the filing dates of the writ petitions and make payments, if not in lump sum, then in twelve equated monthly installments. The Principal Employer was directed to directly make payments to the contractual drivers via bank transactions, which would not be a ground for alleging a sham contract or establishing an employer-employee relationship with the Zilla Parishad or Principal Employer. These payments could be adjusted against the contractors' bills and service charges. The Court also clarified that its directions would not prevent the State Government from framing a scheme in accordance with the Supreme Court's judgment in Secretary, State of Karnataka v/s Umadevi, if desired.

Key Issues

1. Whether the contractual ambulance drivers are entitled to continued employment and payment of salaries until further orders, considering their prolonged service and non-payment. 2. Whether the Principal Employer (Zilla Parishad) should directly pay the salaries to the contractual drivers, adjusting these payments against the contractors' bills. Petitioner's arguments (implied): The petitioners argued that they have been working for extended periods and are entitled to their salaries and continued employment, especially given the State's communication acknowledging the need to pay them. They sought direct payment from the Principal Employer to ensure they receive their dues. Revenue/State's arguments (implied): The State acknowledged the situation and issued a communication to facilitate the payment of salaries. The Court's directions suggest an acceptance of the need for direct payment by the Principal Employer to resolve the salary arrears and ensure future payments, while also allowing for adjustments against contractor bills.