In Brief
All India Institute of Medical Sciences (AIIMS) appealed against an order reinstating a respondent employee without backwages. AIIMS argued it was not covered by the Industrial Disputes Act 1947. The Supreme Court held that hospitals and research institutes render valuable material services qualifying them as 'establishments' under Section 2(j) of the Act. Following its Constitution Bench precedent in Bangalore Water Supply & Sewage Board, the Court dismissed AIIMS's appeal and upheld the Labour Court's reinstatement order, affirming that AIIMS fell within the Act's scope.
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