Bapu Zumbar Jadhav And Others vs. The State Of Maharashtra Through Its Secretary And Others

Facts

Multiple writ petitions were filed by contractual ambulance drivers engaged through contractors by various Zilla Parishads in Maharashtra. The petitioners alleged non-payment of salaries for extended periods, ranging from 12 to 15 months. The State of Maharashtra, through the Joint Director of Health Services, had previously issued communications regarding the payment of salaries and the inclusion of GST in the salary structure. The petitioners sought directions for the payment of their outstanding salaries and continuation of their services. The Zilla Parishads were directed to provide details of salaries payable, including GST, and the quantum of funds required. The court was addressing the issue of payment of salaries to these contractual drivers, whose contracts were terminated.

Held

The Court directed that the contractual ambulance drivers shall be paid a minimum pay scale at the lowest grade of the regular pay scale extended to regular employees holding the same post, until further orders. Their services were not to be terminated without leave of the Court, solely in relation to their contractual employment. The concerned Zilla Parishads were directed to intimate the Joint Director of Health Services, Mumbai, regarding the quantum of unpaid salaries within 10 days, filling in a specific chart annexed to a communication dated 24.01.2023. The Directorate of Health Services was expected to initiate immediate steps to ensure monthly salaries are paid from March 2023. The Zilla Parishad or Contractor would have to 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 Court also directed that the service conditions applicable to the Petitioners would be maintained as long as the scheme lasts, and contractual employees shall not be replaced by new contractual employees, with exceptions for misconduct or other valid reasons. Preference was to be given to previously engaged drivers if replacement was necessary. The Principal Employer was directed to directly make payments to the drivers via bank transactions, which would not be grounds for alleging a sham contract. The Court also noted that drivers terminated or disengaged were at liberty to raise industrial disputes. The judgment did not expressly decide on the GST liability or its direct payment mechanism beyond its inclusion in the salary structure.

Key Issues

1. Whether the contractual ambulance drivers engaged through contractors by Zilla Parishads are entitled to receive their salaries directly from the Principal Employer (Zilla Parishad) in light of non-payment by contractors, and what is the appropriate mechanism for such payment, considering the inclusion of GST? Petitioner's contention: The petitioners argued that due to the non-payment of salaries by the contractors, the Principal Employer (Zilla Parishad) should be directed to pay their salaries directly. They relied on principles of natural justice and the need for timely payment of wages. They also implicitly argued for the continuation of their services until further orders. Revenue/State's contention: The State of Maharashtra, through its communications, acknowledged the issue of salary payments and the inclusion of GST. The Zilla Parishads were called upon to provide details for payment. The State's stance was to facilitate the payment process, including the GST component, and ensure that the drivers receive their dues. The judgment does not explicitly record arguments from the revenue or state on the entitlement to direct payment beyond facilitating the process.