Citation : 2025 Latest Caselaw 6760 Mad
Judgement Date : 8 September, 2025
W.P(MD).Nos.22505 and 22953 of 2021
BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT
ORDER RESERVED ON :19.08.2025
ORDER PRONOUNCED ON : 08.09.2025
CORAM:
THE HONOURABLE MR.JUSTICE R.VIJAYAKUMAR
W.P.(MD).Nos.22505 and 22953 of 2021
and
WMP(MD).No.19032 of 2021
WP(MD).No.22505 of 2021:
The Executive Officer
Sevugampatti Town Panchayat
Nilakottai Taluk
Dindigul District ....Petitioner
Vs
1.The Assistant Commissioner of Labour
(Enforcement)
Office of the Assistant Commissioner
Dindigul
2.R.Balu
Overhead Tank Operator
Sevugampatti Town Panchayat
M.Vaadipatti
Pattiveeranpatti Via.,
Nilakottai Taluk
Dindigul 624 211. ….Respondents
WP(MD).No.22953 of 2021:
R.Balu ....Petitioner
1/11
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W.P(MD).Nos.22505 and 22953 of 2021
Vs
1.The Executive Officer
Sevugampatti Town Panchayat
Badlagundu Taluk
Dindigul District
2.The Inspector of Labour
Dindigul District
Dindigul ....Respondents
Prayer in WP(MD).No.22505 of 2021: This Petition filed under Article 226
of the Constitution of India, to issue a Writ of Certiorari, calling for the
records pertains to the impugned order passed by the first respondent in
Na.Ka.No.C/838/2019 dated 28.08.2020 and quash the same as illegal and
unenforceable.
Prayer in WP(MD).No.22953 of 2021: This Petition filed under Article 226
of the Constitution of India, to issue a Writ of Mandamus directing the first
respondent to implement the order dated 28.08.2020 passed in
Na.Ka.E/838/2019 on the file of the second respondent within the stipulated
period as framed by this Court.
(W.P(MD).No.22505 of 2021)
For Petitioner : Mr.Veera.Kathiravan
Additional Advocate General
Assisted by Mr.M.Sarangan
Additional Government Pleader
For Respondents :Labour Court-R1
:Mr.T.S.Mohammed Mohideen
For Mr.P.Balamurugan for R2
2/11
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W.P(MD).Nos.22505 and 22953 of 2021
(W.P(MD).No.22953 of 2021)
For Petitioner : Mr.T.S.Mohammed Mohideen
For Mr.P.Balamurugan
For Respondents :Mr.Veera.Kathiravan
Additional Advocate General
Assisted by Mr.M.Sarangan
Additional Government Pleader for R1
:Labour Court-R2
COMMON ORDER
W.P(MD).No.22505 of 2021 has been filed by the Executive Officer of
Sevugampatti Town Panchayat, Nilakottai Taluk, Dindigul District
challenging the order of Inspector of Labour, Dindigul dated 28.08.2020
wherein the Overhead Tank Operator of the said Panchayat has been
conferred with permanent status with effect from 01.05.1992.
2.W.P(MD).No.22953 of 2021 has been filed by the workman seeking
a mandamus directing the Town Panchayat to implement the above said order
of the Inspector of Labour issued under Tamil Nadu Industrial Establishment
(Conferment of Permanent Status to Workmen) Act, 1981 (CPS).
(A)Facts leading of the filing of the present writ petitions are as follows:
3)Mr.R.Balu was appointed as a Overhead Tank Operator in
Sevugampatty Town Panchayat as a Nominal Muster Roll employee on
01.05.1990. He was brought within the consolidated pay scale by way of a
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resolution of the Town Panchayat dated 25.09.2000. On 22.07.2204, the
workman had filed a petition No.E/4404/2004 before CPS authority seeking
conferment of permanent status. The said application was allowed on
04.04.2005 granting permanent status with effect from 25.09.2000. The
workman was aggrieved that he was not granted permanent status with effect
from the date of completion of 480 days but from a later date. Hence, he gave
a representation to the Inspect of Labour, Dindigul on 25.08.2008 seeking to
alter the date from which the permanent status will come into effect. The said
application was dismissed for default by the Inspector of Labour on
12.05.2009. The said order was put to challenge by the workman in
WP(MD).No.6094 of 2013. This Court by an order dated 28.11.2018 had
allowed the writ petition and has directed the Inspector of Labour to consider
the request of the workman afresh in the light of the judgment of the Division
Bench of this Court reported in (2012) 6 MLJ 480 (R.Lakshmi Vs.Chief
Engineer (Personnel), Tamil Nadu Electricity Board, Chennai and
another).
4.After remand, the CPS authority has passed an order on 28.08.2020
conferring permanent status upon the workman with effect from 01.05.1992.
Challenging the said order, the Executive Officer, Town Panchayat has filed
WP(MD).No.22505 of 2021. The workman had filed WP(MD).No.22953 of
2021 seeking a mandamus to implement the said order.
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5.Since the issues involved in both the writ petitions are
interconnected, they are tagged together and a common order is being passed.
(B).Submissions of the learned counsels appearing on either side:
6.The learned Additional Advocate General appearing on behalf of the
Town Panchayat submitted that under G.O.(Ms).No.198, Municipal
Administration and Water Supply (Na.Pa-3) Department dated 26.10.1998, it
was decided that these type of workmen should be appointed only for a
period of one year and it should be renewed based upon their services up to a
period of three years. After a period of three years, their services could be
brought within time scale of pay. Based upon this Government Order,
G.O.Ms.No.60, Rural Department & Panchayat (Spl.P.S) Department dated
23.06.2006 was issued to bring the Overhead Tank Operator and others under
the time scale of pay. Based upon these two Government Orders, the
workman was brought within the time scale of pay with effect from
23.06.2006 by way of an order passed by the Executive Officer of the Town
Panchayat on 28.07.2006.
7.According to the learned Additional Advocate General, the
regularisation of the workman is not traceable to the order of the CPS
authority. On the other hand, it is traceable to the Government Order. Without
challenging the Government Order, the present writ petition seeking to
implement the order of CPS authority is not maintainable. The learned
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Additional Advocate General had further submitted that the Overhead Tank
Operator is a statutory function which is being performed by the Town
Panchayat. It cannot be considered to be an industry. Therefore, the authority
under CPS Act does not have any jurisdiction whatsoever to entertain an
application from the employee of a local body to confer permanent status.
8.Relying upon the Full Bench decision of this Court reported in 2013
(6) CTC 593 (The Secretary to Government, Municipal Administration &
Water Supply Department & others Vs. V.Marisamy & others) dated
30.05.2017 contended that when a Government Order fixed a date from
which regularisation of the employee is to take effect, the same cannot be
held to be arbitrary. Therefore, the regularisation of the workmen will take
effect only from 23.06.2006. When the regularisation of the workman is
traceable only to the Government Orders, he cannot rely upon the order
passed by the CPS authority.
9.Per contra, the learned Counsel appearing for the workman submitted
that as per judgment of the Hon'ble Supreme Court, the Municipality could be
considered to be a factory under Factories Act. Therefore, the authorities
under CPS Act has got jurisdiction to entertain an application under the said
Act. He relied upon a decision of the Hon'ble Supreme Court in AIR 1960 SC
675 (City of Nagpur Corporation Vs. Shri N.H.Majumdar and others);
(1952) 2 SCC 619 (D.N.Banerji Vs. P.R.Mukherjee and others) and the
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Division Bench judgment of our High Court reported in 2022 SCC Online
Mad 1863 (Madurai Corporation, Rep.by its Commissioner Vs. Inspector of
Labour and others) in support of his contentions. Hence, he prayed for
dismissing the writ petition filed by the Town Panchayat and to allow the writ
petition filed by the workman.
10.Heard both sides and perused the material records.
(C).Discussion:
11.The authority under CPS Act has passed an award on 04.04.2005
conferring permanent status upon the workman with effect from 25.09.2000.
This order has not been challenged by the Town Panchayat. Therefore, at this
point of time, the applicability of the CPS Act with regard to a Town
Panchayat cannot be raised by the employer.
12.Aggrieved over the fixation of 25.09.2000 as cut-off for conferring
permanent status, the workman alone had approached the Inspector of Labour
for altering the cut off date and the same was dismissed for default on
12.05.2009. Challenging the same, the workman had approached this Court in
WP(MD).No.6094 of 2013.This Court after considering the Division Bench
judgment reported in (2012) 6 MLJ 480 ( R.Lakshmi Vs. Chief
Engineer(Personnel), Tamil Nadu Electricity Board, Chennai and another)
wherein it is held that the conferment of permanent status is automatic on
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completion of 480 days, even if the employer has not conferred the same or
even if no direction was issued by the competent authority under CPS Act.
Relying upon the said decision, WP(MD).No.6094 of 2013 was allowed on
28.11.2018 directing the Inspector of Labour to reconsider the said issue and
pass appropriate orders after giving due opportunity to both the parties. This
order was also not challenged by the employer.
13.After remand, the authority has refixed the date of conferment of
permanent status from 25.09.2000 to 01.05.1992. This order alone is put to
challenge by the employer.
14.The primary contention of the learned Additional Advocate General
is that the conferment of permanent status upon the workman is only
traceable to various Government Orders and not the order passed by CPS
authority. Even though the benefit of permanent status was conferred upon
the workman with effect from 23.06.2006, based upon certain Government
Orders, it will not amount to implementation of the order of the authority
under CPS Act. When the employer has not chosen to challenge the award of
the Inspector of Labour dated 04.04.2005, it will be a futile exercise to
challenge a subsequent award dated 28.08.2020 wherein only the date of
conferment of permanent status alone has been altered.
15.The Hon'ble Supreme Court in a judgment reported in (2015) 2
SCC 775 (Umrala Gram Panchayat Vs.Secretary, Municipal Employees
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Union and others) and this Court in WP(MD).Nos.23121 of 2022 and 28468
of 2023 dated 30.07.2025 had an occasion to consider the interplay between
the Service Rules governing appointment of employees of the local body and
various labour legislations and has arrived at a finding that the labour
legislation are applicable to the employees of local body. This Court has also
arrived at a finding that citing the judgment in Umadevi's case [(2006) 4
SCC 1)], regularisation of last grade services cannot be assailed.
(D).Conclusion:
16.In view of the above said deliberations, this Court is inclined to pass
the following orders:
a) WP(MD).No.22505 of 2021 stands dismissed.
b) WP(MD).No.22953 of 2021 stands allowed. No costs.
Consequently, connected miscellaneous petition is closed.
08.09.2025.
Internet :Yes/No Index : Yes/No NCC :Yes/No msa
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To
1.The Assistant Commissioner of Labour (Enforcement) Office of the Assistant Commissioner Dindigul
2.The Executive Officer Sevugampatti Town Panchayat Badlagundu Taluk Dindigul District
3.The Inspector of Labour Dindigul District Dindigul
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R.VIJAYAKUMAR, J.
msa
Pre-delivery order made in
W.P.(MD).Nos.22505 and 22953 of 2021 and WMP(MD).No. 19032 of 2021
08.09.2025
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