COVID-induced economic slowdown and non-internal disruption: Supreme Court

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The brunt of the pandemic, the lockdown has been carried by “the working class and the poorest of the poor,” the high court said

New Delhi:

The economic slowdown created by the COVID-19 pandemic cannot be characterized as an “internal disturbance” threatening state security, the Supreme Court said on Thursday in rescinding notifications from the government of Gujarat which exempted factories from meeting certain obligations towards workers.

The Supreme Court said the economic hardship caused by the pandemic “certainly poses unprecedented challenges” for governance, but these need to be addressed by state governments in coordination with the Center.

A bench led by Judge DY Chandrachud said the notifications, by denying humane working conditions and overtime wages provided for by law, are an “affront” to workers’ right to life and to the right against work strength.

The Supreme Court issued its ruling on a plea that challenged the April 17 and July 20 notifications issued by the Gujarat government’s labor and employment department to exempt all factories registered under the law from various provisions relating to weekly hours, daily hours and intervals. for the rest of workers and others.

The court noted in its verdict that the notice under section 5 of the Factories Act, which deals with the power to exempt in public emergencies, was issued on April 17 and its stated purpose was to provide for certain relaxations for industrial and commercial activities from April 20 to July. 19.

Later, another notification was issued on July 20 which extended the exemption granted until October 19.

The bench, also including Judges Indu Malhotra and KM Joseph, said the brunt of the pandemic and the national lockdown has been borne by “the working class and the poorest of the poor” and “deprived of social security, they do not have recoil options “.

The bench noted that the validity of these notifications depends on whether the COVID-19 pandemic and the lockdown qualify as a “public emergency” within the meaning of section 5 of the law.

“Even if we accept the defendant’s (Gujarat) argument as high as possible that the pandemic has caused internal disruption, we find that the economic downturn created by the COVID-19 pandemic cannot be characterized as an internal disturbance, threatening The pandemic has put a heavy burden on existing infrastructure, especially public health, and has led to a sharp decline in economic activities, ”he said.

“The Union government has resorted to the provisions of the Disaster Management Act 2005. However, it has not affected the security of India or any part of its territory in a way that disrupts the peace and integrity of the country, “said the bench.

He said that unless the threshold of economic hardship is so extreme that it leads to a disturbance of public order and threatens the security of India or part of its territory, he cannot recourse to such powers which must be “used sparingly” by law.

He noted that the notifications served no purpose other than to reduce the overhead costs of all factories in the state, regardless of the nature of their manufactured products.

“However, a blanket exemption notification to all factories, regardless of the product being manufactured, while denying overtime to workers, indicates the intention to capitalize on the pandemic to force an already exhausted class of society out of business. enter the chains of bondage, ”he said.

He said that the Indian Constitution arose out of a “transformative vision” which aims to achieve social and economic democracy and the well-being of work is an integral part of this vision.

“The need to protect the well-being of work on the one hand and to fight against a public health crisis caused by the pandemic on the other hand may require careful balances. But these balances must be in accordance with the rule of law “, did he declare.

“It cannot be interpreted as giving the state the right to eliminate provisions promoting dignity and fairness in the workplace in the face of new challenges to state administration, unless ‘they have an immediate link to guarantee the security of the State against the most serious. threats, ”said the bench.

He referred to the pandemic crisis where several workers were forced to abandon their work city and return to their country of origin due to the shutdown of production which cut off their meager source of income.

“The notifications in question legitimize the subjecting of workers to onerous working conditions at a time when their weak bargaining power is weakened by the pandemic,” he said.

“With exceptional powers under section 5, the state cannot allow workers to be exploited in a way that renders the hard-won protections of the 1948 Factories Act illusory and the constitutional promise to social and economic democracy in paper tigers. said bench.

“A worker’s right to life cannot be seen as dependent on the mercy of his employer or the state. The notifications, by refusing the humane working conditions and overtime wages provided for by law, constitute an affront to the workers’ right to life and to the right to work which are guaranteed by articles 21 and 23 of the Constitution ”, did he declare.

Exercising its extraordinary power under Article 142 of the Constitution to deliver “complete justice”, the high court ordered that overtime wages be paid in accordance with the provisions of the Factories Act to all workers eligible who have been working since the publication of the notifications.

(Except for the title, this story was not edited by GalacticGaming staff and is posted from a syndicated feed.)

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