No coercive action on employers: Top court
NEWDELHI: The Centre is committed to restarting industries and reviving the economy, the central government’s top law officer attorney general (AG) KK Venugopal told the Supreme Court on Thursday during the hearing of a case challenging the home ministry’s March 29 directive to employers to pay workers in full for the lockdown period.
The directive had been intended to alleviate human suffering and will not come in the way of employers and employees negotiating the payment terms, the AG said.
Industries, traders and their associations, which are the petitioners in the case, countered by arguing that workers will not come to the negotiating table as long as the government notification mandating payment of full wages is in operation.
The Supreme Court bench headed by justice Ashok Bhushan also seemed to share the concerns of the employers, stating that mandating payment of full wages during the lockdown could have an adverse impact on the industries.
The top court reserved its verdict, which will be delivered on June 12. It also granted interim protection to employers directing that no coercive action be taken against them until the court delivers its verdict.
NEWDELHI:The Centre is committed to restarting industries and reviving the economy, the central government’s top law officer, attorney general (AG) KK Venugopal, told the Supreme Court on Thursday during the hearing of a case challenging the home ministry’s March 29 directive to employers to pay workers in full for the lockdown period.
The directive had been intended to alleviate human suffering and will not come in the way of employers and employees negotiating the payment terms, the AG said.
“Government of India is interested in economy restarting, industries restarting. It is for employers to negotiate with employees as to how much wage could be paid for lockdown period, we will not interfere,” Venugopal said.
Industries, traders and their associations, which are the petitioners before the apex court in the case, countered by arguing that workers will not come to the negotiating table as long as the government notification mandating payment of full wages is in operation.
“With the March 29 notification in place, no negotiation will be possible since workers will not come to negotiating table. We are as much citizens as the workers are,” senior counsel KV Viswanathan, who was appearing for the company B4S Solution Ltd, told the bench headed by justice Ashok Bhushan. The bench also seemed to share the concerns of the employers, stating that mandating payment of full wages during the lockdown could have an adverse impact on the industries.
“The notification directs payment of 100% of salaries. It could have been around 50 to 75%. Do you have the power to ask them to pay 100%,” justice Bhushan asked. The bench, which also comprised justices Sanjay Kishan Kaul and MR Shah, reserved its verdict, which will be delivered on June 12. The court granted interim protection to employers directing that no coercive action be taken against them until the court delivers verdict.