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TERMINATION OF CONTRACTUAL EMPLOYEE - CONSTITUTION OF INDIA, 1950 – ARTS 226 & 227 - (Where there is a contractual appointment for fixed period and there is no extension of service after expiry of the said period, one cannot claim permanency or right to c - The Industrial Disputes Act, 1947

Respondent No.1 was appointed on contractual basis on the post of Trainee Officer in the U.P. Co-operative Spinning Mills by an appointment letter dated 07.09.1998. As per the agreement, the contract of appointment was for a period of 1 year from 25.09.1998 to 24.09.1999 and it stood terminated on 24.09.1999. After being relieved from service, respondent No.1 filed a writ petition before the High Court, but the same was dismissed. However, that dismissal order was set aside by a Division Bench in the special appeal filed by the respondent No.1 and the matter was remanded to the Ld. Single Judge for a fresh consideration. Thereafter, the Ld. Single Judge allowed the writ petition of respondent No.1 and reinstated him in service with back wages. The Ld. Single Judge held that treating the appointment as contractual was arbitrary. This view was upheld by the Division Bench in appeal. Hence, the aggrieved petitioner approached the Supreme Court by means of civil appeal.

The Supreme Court observed that the letter of appointment makes it clear that respondent No. 1 was appointed on contractual basis and that the period of one year of his contract expired on 24.09.1999. It was not extended. There is nothing on record to show that there was any sanctioned post of permanent nature against which respondent no. 1 was appointed on permanent basis. The Supreme Court therefore, held that the direction given in the impugned order to reinstate respondent no. 1 in service cannot be sustained. Hence, the appeal was allowed.

- U.P. Co-op. Spinning Mills Federation Ltd. & Ors. vs. Amar Nath Dwivedi & Anr. S.C. 2017.


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