Amol Mahadev Mali And Another vs. The State Of Maharashtra And Others

Facts

The petitioners are contractual ambulance drivers engaged through contractors by Zilla Parishads in Maharashtra. They have not been paid salaries for periods ranging from 12 to 15 months. The State of Maharashtra, through the Joint Director of Health Services, issued a communication dated 24.01.2023, requesting Zilla Parishads to provide details of unpaid salaries and the funds required to pay them. The Zilla Parishads were asked to submit a specific format/chart including GST to be levied on salaries. The Court is considering multiple writ petitions filed by these drivers challenging the non-payment of their salaries and seeking directions for payment. The judgment also addresses the issue of termination of their services and the role of contractors versus the principal employer (Zilla Parishad).

Held

The Court directed that the minimum pay scale at the lowest grade in the regular pay scale extended to regular employees holding the same post shall be paid to the petitioners until further orders. Their services shall not be terminated without leave of the Court, solely in relation to their contractual employment. The Zilla Parishads are to intimate the Joint Director of Health Services, Mumbai, the quantum of unpaid salaries within 10 days, using the chart annexed to the communication dated 24.01.2023. The Directorate of Health Services is expected to initiate steps to ensure monthly salaries are paid from March 2023. The Zilla Parishads or contractors must assess arrears from the dates of filing the writ petitions and make payments, either lump-sum or in twelve equated monthly installments. The service conditions applicable to the petitioners will be maintained as long as the scheme lasts. Contractual employees shall not be replaced by new contractual employees, except in cases of misconduct, misdemeanor, death, or similar reasons, with preference to previously engaged drivers if replacement is necessary. The Court directed the Principal Employer (Zilla Parishad) to directly make payments to the contractual drivers via bank transactions, which will not establish an employer-employee relationship for the purpose of deeming the contract sham. Petitioners terminated or disengaged are at liberty to raise industrial disputes. The Court noted that its conclusions in Dhiraj Sudhakarrao Wankhede would not prevent the State Government from framing a scheme under Umadevi. The Principal Employer can adjust direct payments against contractor bills and service charges.

Key Issues

1. Whether the Zilla Parishads, as the principal employers, are obligated to directly pay the salaries of the contractual ambulance drivers, considering the non-payment by contractors? (This issue arises from the facts and the directions sought by the petitioners). 2. Whether the contractual employees' services should be protected from termination without leave of the Court, and if their service conditions should be maintained as long as the scheme lasts? (This issue relates to the continuity of employment and service conditions). 3. What is the extent of the liability of the Zilla Parishads or contractors to pay arrears of salaries, and in what manner should such payments be made? (This issue concerns the quantum and mode of payment of back wages). Petitioner's arguments (implied from the relief sought and the court's observations): The petitioners likely argued that the Zilla Parishads, as the ultimate beneficiaries of their services, have a responsibility to ensure their salaries are paid, especially when contractors default. They would have contended for the continuation of their employment and the direct payment of their dues. The petitioners would have relied on principles of natural justice and equity, and potentially case law regarding contractual employment and payment of wages. Revenue/State's arguments: The judgment does not explicitly record arguments from the Revenue or State on these specific issues. However, the communication from the Joint Director of Health Services suggests an attempt by the State to address the issue by seeking details from Zilla Parishads.