In Brief
Food Corporation of India challenged awards by the Industrial Tribunal granting regularization to 955 contract workers employed through a cooperative society at its Chennai branch. FCI argued they were not its direct employees but employees of the contract society. The workers' Union contended they were FCI's regular employees entitled to regularization. The Industrial Tribunal, upholding the Union's case, found: the contract arrangement ended in 1991; wages were paid directly by FCI; work was permanent in nature; and workers performed permanent duties. FCI failed to adduce any evidence in response. The Supreme Court affirmed the concurrent findings of the Industrial Tribunal and High Court, emphasizing that FCI's failure to provide evidence justified an adverse inference. The appeal was dismissed."
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