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Supreme Court of India 2016-02-26

Nashik Workers Union vs Hindustan Aeronautics Limited

Bench: 2 — Dipak Misra

In Brief

The Supreme Court held that the State Government, not the Central Government, is the 'appropriate Government' under the Industrial Disputes Act, 1947 in relation to Hindustan Aeronautics Limited (HAL). The Court clarified that mere Central Government ownership and control of a company does not make it an agent of the Central Government for labour law purposes. Authority to carry on an industry 'under the Central Government' must be specifically conferred by statute or delegation. The Court disapproved HAL 2 (2007) for not considering HAL 1 (1975), which correctly held the State Government appropriate. The appeals were allowed and the case remitted to the High Court for adjudication on merits regarding unfair labour practices and reinstatement of employees.", "disposition": "allowed"

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