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Issues Involved: Appeal against judgment declaring respondent not liable for ESIC contribution.
Judgment Summary: Issue 1: Impleading of workers in legal proceedings The appellant issued a notice u/s 45A of the Employees State Insurance Act, 1948 for employer's contribution. The respondent challenged this notice, but the workers were not made parties in the legal proceedings. The Employees State Insurance Court ruled in favor of the appellant, but the High Court overturned this decision, stating the sub-stations are not factories. The Supreme Court emphasized that labor statutes are for the benefit of workers, and it is essential to involve workers or their representatives in legal proceedings. The Court highlighted the importance of natural justice and the need to hear all concerned parties before making any adverse decisions. The Court ruled that failure to involve workers in the legal process violates natural justice principles. Therefore, the appeal was allowed, and the matter was remanded to the Employees State Insurance Court for a fresh decision after impleading the workers or their union in a representative capacity. Issue 2: Remand for fresh decision In a separate appeal, the Supreme Court, for the same reasons as in the first appeal, set aside the judgments of the High Court and the Employees Insurance Court. The matter was remanded to the Employees State Insurance Court for a fresh decision after involving the workers or their union in a representative capacity. The Court urged the Employees State Insurance Court to expedite the decision due to the case's age. In conclusion, both appeals were allowed, and no costs were imposed. This summary highlights the importance of involving workers or their representatives in legal proceedings under labor statutes to ensure natural justice and protect the rights of workers.
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