In the dispute pending before the Supreme Court of India regarding payment of wages to workers/employees, the Supreme Court has passed a slew of interim measures, which may be considered by all private establishments / industries / employers to settle the disputes through negotiations and in the event, a settlement is arrived at, it may be acted upon by the employers and workers irrespective of the order dated 29.03.2020 issued by the Government of India under the Disaster Management Act, 2005.
Background:
The Central Government had issued orders, inter alia, dated 20.03.2020 and 29.03.2020 under the Disaster Management Act, 2005 (“DMA”) directing the employers in the private sector to make payment of wages to employees for the period the establishments were under closure due to the lockdown.
The order dated 29.03.2020 subsequently stood withdrawn vide order dated 17.05.2020 by the National Executive Committee under the DMA. Consequently, the order dated 29.03.2020 remained subsistence for a period of 50 days and the employers are under statutory obligation to pay wages for the said period of 50 days. These orders have been challenged by employers in various writ petitions before the Supreme Court of India. Vide order dated 12.06.2020 passed in the said writ petitions, the Supreme Court has passed a slew of interim measures, which may be considered by private organizations to settle the disputes regarding payment of wages.
Interim Measures Directed By The Supreme Court On 12.06.2022:
- All private establishments, industries, employers willing to negotiate and settle dispute of payment of wages for the period during which the establishment was closed due to the lockdown, may negotiate with the employee organizations and enter into a settlement;
- In case they are unable to settle on their own, the concerned labour authorities may assist in reaching a settlement, upon a request for negotiation made by the employer;
- The organizations functioning partially during the lockdown although not to their full capacity may also negotiate in terms of the aforesaid directions;
- The employees willing to work shall be permitted to do so without prejudice to the pendency of the dispute regarding payment of wages for the period of lockdown;
- The employers who take steps to negotiate and settle the dispute shall publicise and communicate the steps taken to workers and employees for their response/participation. If any settlement is arrived at, the same shall be without prejudice to the rights of the employers and employees adjudication in the said writ petitions;
- Any settlement entered between the parties in pursuance to the above shall be informed to the Supreme Court by way of an affidavit in the pending writ petitions.