Updated
Updated · The Hindu · Aug 16
Karnataka High Court Orders LIC to Absorb 7 Workers Within 3 Months
Updated
Updated · The Hindu · Aug 16

Karnataka High Court Orders LIC to Absorb 7 Workers Within 3 Months

1 articles · Updated · The Hindu · Aug 16

Summary

  • Seven LIC temporary workers won a Karnataka High Court order requiring the insurer to absorb them within three months of receiving the certified judgment.
  • The Division Bench said LIC could not keep them on daily-wage or temporary status after selecting them through notifications, interviews and merit-based recruitment for sanctioned vacant posts.
  • The judges set aside a Single Judge's compensation award of ₹1 lakh per year of service, ruling that the case differed materially from the Supreme Court's Ranbir Singh precedent covering workers engaged in 1985-1991.
  • LIC had failed to produce records showing the seven were hired for temporary exigencies under its 1993 staff instructions, while the employees had worked continuously for about five to 13 years after appointments made between 1999 and 2014.
  • The ruling, which dismissed LIC's appeals and allowed the workers' appeals, could bolster similar regularisation claims by LIC temporary staff elsewhere in India.

Insights

Could this landmark High Court ruling trigger a massive wave of forced regularisation across all Indian public sector companies?
If pension is a constitutional right for temporary staff, will billions in hidden liabilities soon cripple state-run enterprises?