High Court of KeralaDivision BenchWrit Appeal disposed of.

Fact Workers Organization v. Fertilisers and Chemicals Travancore Limited and others

Case / Petition Number:WA NO. 1553 OF 2022

Case Details & Bench

Court
High Court of Kerala
Hon'ble Judges
  • S. V. Bhatti
  • Basant Balaji
Judgment Date
2023-02-06
Court Decision / Holding
Writ Appeal disposed of. The court held that Ext. P1 complied with the directions and norms, but modified the order to direct the 4th respondent to conduct the corporate-level referendum as directed in Ext. P1 within six weeks of receipt of a certified copy of the judgment. The court observed that the referendum should occur within the Udyogamandal complex, and while endorsing compliance with the norms, ordered a six-week timeframe for implementation.
Final Disposition
Writ Appeal disposed of.

Parties to the Case

Appellants / Petitioners

  • Fact Workers Organization

Respondents

  • Fertilisers and Chemicals Travancore Limited, Udyogamandal, Ernakulam
  • The Chairman and Managing Director, Fertilisers and Chemicals Travancore Limited, Udyogamandal, Ernakulam
  • Chief General Manager (HR & A), Fertilisers and Chemicals Travancore Limited, Udyogamandal, Ernakulam
  • Regional Labour Commissioner (Central), Office of the Regional Commissioner (Central), Olumughal, Vayusena Road, Thrikkakara, Kakkanad, Ernakulam
  • Deputy Registrar of Trade Unions & District Labour Officer, 4th Floor, Civil Station, Kakkanad, Ernakulam
  • FACT Employees Association (CITU), Fertilisers and Chemicals Travancore Limited, Udyogamandal, Ernakulam
  • FACT Workers Union, Fertilisers and Chemicals Travancore Limited, Udyogamandal, Ernakulam
  • FACT Employees Congress (INTUC), Fertilisers and Chemicals Travancore Limited, Udyogamandal, Ernakulam
  • FACT Employees Organisation (BMS), Fertilisers and Chemicals Travancore Limited, Udyogamandal, Ernakulam
  • FACT (CD) Employees Association, Fertilisers and Chemicals Travancore Limited, Ambalumedu P.O, Ernakulam
  • FACT (CD) Employees Sangh, Fertilisers and Chemicals Travancore Limited, Ambalumedu P.O, Ernakulam
  • FACT (CD) Workers Congress (INTUC) Fertilisers and Chemicals Travancore Limited, Ambalumedu P.O, Ernakulam

Legal Representation & Advocates

Counsels for Petitioners

  • • R. Sanjith C.S.
  • • Sindhu Krishnah
  • • P. S. Anju
  • • Suraj Krishnan
  • • Shalu Jose
  • • Sidhi K. Kutty

Counsels for Respondents

  • • M. Gopikrishnan Nambiar
  • • K. John Mathai
  • • Joson Manavalan
  • • Kuriyan Thomas
  • • Pauloose C. Abraham
  • • Raja Kannan
  • • Jai Mohan

Case Synopsis & Summary

This writ appeal concerns the management of trade unions within the Fertilisers and Chemicals Travan Core Limited (FACT) at Udyogamandal and related formations. The appellant, Fact Workers Organization, challenged Ext. P1 and sought directions to conduct a corporate-level referendum by secret ballot for trade union recognition, with a 20% vote threshold for recognition as a bargaining agent, and the appointment of an independent observer (Ext. P2). The petition in W.P.(C) No. 28343 of 2022 sought quashing (Exhibit P1) and mandamus to ensure fair representation across the corporate entity, including steps to examine the legal status of unions operating within the company, and to identify and eliminate illegal unions. The respondent-2 (the company) had issued Ext. P1 in compliance with the court’s earlier directions, and the learned Single Judge held that the company complied with the Apex Court norms (Food Corporation of India Staff Union v. FCI and others, 1995 KHC 583) for conducting a referendum, with the referendum to be held within the Udyogamandal complex, not the other divisions. The Division Bench, while not finding illegality in the earlier judgment, modified the order to direct the 4th respondent to conduct the referendum within six weeks of receiving a certified copy of the judgment, thus disposing of the writ appeal.

Provisions of Law Cited

Trade Unions Act

Legal Doctrines & Maxims

  • Secret ballot corporate-level referendum for trade union recognition with 20% vote threshold (norms from Apex Court)
  • Norms laid down by the Supreme Court in Food Corporation of India Staff Union v. Food Corporation of India and others (1995 KHC 583) guiding trade union recognition and referendum

Submissions & Arguments

Contentions of Appellants / Petitioners

The appellant sought quashing of Ext. P1, call records, certification of a corporate-level secret ballot referendum, and recognition for unions achieving at least 20% votes, with an independent observer (Ext. P2). They argued that Ext. P1 followed the apex-norms yet confined the referendum to the Udyogamandal complex, omitting other divisions where the appellant held support, and urged a broader corporate-level referendum. They also sought a court-directed inquiry into the legal status of unions operating in the company.

Contentions of Respondents

The respondents contended that Ext. P1 was issued in compliance with the court’s directions and Apex Court norms; they asserted that the referendum should be limited to the Udyogamandal complex (not the entire corporate entity) and that there had been no illegality in the proceedings. The respondents relied on prior judgments and a long-term settlement clause that supported a referendum under the described norms and timeline, with the 4th respondent to execute the referendum under the court’s oversight.

Cited Precedents (1)

Case NameCitationTreatmentExplanation
Food Corporation of India Staff Union v. Food Corporation of India and others1995 KHC 583PositiveCited as the normative basis for the procedures and standards governing trade union recognition and referenda employed by the court.

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Extracted Judgment Text

Exact text extracted from official judgment records.

## **IN THE HIGH COURT OF KERALA AT ERNAKULAM** ## **PRESENT** **THE HONOURABLE MR.JUSTICE S.V.BHATTI** **&** **THE HONOURABLE MR.JUSTICE BASANT BALAJI MONDAY, THE 6[TH] DAY OF FEBRUARY 2023 / 17TH MAGHA, 1944** **WA NO. 1553 OF 2022** ## **WP(C) 28343/2022 OF HIGH COURT OF KERALA** ## **APPELLANT/S:** FACT WORKERS ORGANIZATION, REG. NO. 07-43/95, UDYOGAMANDAL, ERNAKULAM 683 501, REPRESENTED BY ITS GENERAL SECRETARY BY ADVS. R.SANJITH C.S.SINDHU KRISHNAH P.S.ANJU SURAJ KRISHNAN SHALU JOSE SIDHI K. KUTTY ## **RESPONDENT/S:** 1 THE FERTILISERS AND CHEMICALS TRAVANCORE LIMITED UDYOGAMANDAL, ERNAKULAM 683 501, REPRESENTED BY ITS CHAIRMAN AND MANAGING DIRECTOR 2 THE CHAIRMAN AND MANAGING DIRECTOR, FERTILISERS AND CHEMICALS TRAVANCORE LIMITED, UDYOGAMANDAL, ERNAKULAM 683 501, 3 CHIEF GENERAL MANAGER (HR & A), FERTILISERS AND CHEMICALS TRAVANCORE LIMITED, UDYOGAMANDAL, ERNAKULAM 683 501 4 REGIONAL LABOUR COMMISSIONER (CENTRAL), OFFICE OF THE REGIONAL COMMISSIONER(CENTRAL), OLIMUGHAL, VAYUSENA ROAD, THRIKKAKKARA, KAKKANAD, ERNAKULAM, **WA NO. 1553 OF 2022** -2- - 5 DEPUTY REGISTRAR OF TRADE UNIONS & DISTRICT LABOUR OFFICER, 4TH FLOOR, CIVIL STATION, KAKKANAD, ERNAKULAM-, PIN - 682030 - 6 FACT EMPLOYEES ASSOCIATION (CITU), FERTILISERS AND CHEMICALS TRAVANCORE LIMITED, UDYOGAMANDAL, ERNAKULAM, PIN - 683501. REPRESENTED BY ITS GENERAL SECRETARY, - 7 FACT WORKERS UNION, FERTILISERS AND CHEMICALS TRAVANCORE LIMITED, UDYOGAMANDAL, ERNAKULAM, PIN - 683501. REPRESENTED BY ITS GENERAL SECRETARY - 8 FACT EMPLOYEES CONGRESS(INTUC), FERTILISERS AND CHEMICALS TRAVANCORE LIMITED, UDYOGAMANDAL, ERNAKULAM, PIN - 683501 . REPRESENTED BY ITS GENERAL SECRETARY - 9 FACT EMPLOYEES ORGANISATION (BMS), FERTILISERS AND CHEMICALS TRAVANCORE LIMITED, UDYOGAMANDAL, ERNAKULAM, PIN - 683501. REPRESENTED BY ITS GENERAL SECRETARY, - 10 FACT (CD) EMPLOYEES ASSOCIATION, FERTILISERS AND CHEMICALS TRAVANCORE LIMITED, AMBALUMEDU P.O, ERNAKULAM, PIN – 682 303. REPRESENTED BY ITS GENERAL SECRETARY - 11 FACT (CD) EMPLOYEES SANGH, FERTILISERS AND CHEMICALS TRAVANCORE LIMITED, AMBALUMEDU P.O, ERNAKULAM, PIN - 682303. REPRESENTED BY ITS GENERAL SECRETARY, - 12 FACT (CD) WORKERS CONGRESS (INTUC) FERTILISERS AND CHEMICALS TRAVANCORE LIMITED, AMBALUMEDU P.O, ERNAKULAM, PIN - 682303. REPRESENTED BY ITS GENERAL SECRETARY **WA NO. 1553 OF 2022** -3- BY ADVS. M.GOPIKRISHNAN NAMBIAR K.JOHN MATHAI(K/413/1984) JOSON MANAVALAN(J-526) KURYAN THOMAS(K/131/2003) PAULOSE C. ABRAHAM(MAH/58/2006) RAJA KANNAN(K/356/2008) JAI MOHAN(D/2454/2009) ## **OTHER PRESENT:** SRI. P. M. SHAMEER - GP THIS WRIT APPEAL HAVING COME UP FOR ADMISSION ON 06.02.2023, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: **WA NO. 1553 OF 2022** -4- # **S.V.BHATTI & BASANT BALAJI, JJ.** - - - - - - - - - - - - - - -- - - -- - - - - - - - - - -- - - - - - - - - ## **Writ Appeal NO. 1553 OF 2022** - - - - - - - - - - - - - - - - -- - - - - - - - - - - - - - - - - - - - - - ## JUDGMENT (Dated this the 6[th] day of February 2023) ## Basant Balaji J., The appellant was the petitioner in W.P.(C) No.28343 of 2022. The appellant has filed the Writ Petition for the following reliefs: “i) To call for the records leading to the issuance of Exhibit P1 and examine its legality, propriety and quash the same by issuing a writ of certiorari. ii) To issue a writ of mandamus and command respondents 1 to 3 to take steps to conduct trade union referendum at corporate- level by way of secret ballot and grant recognition only to those trade unions which secure 20% votes as a recognized bargaining agent of the workmen, within a time frame to be fixed by this Honourable Court. iii) To issue a writ of mandamus and command the 4th respondent to act as an independent observer for conducting a corporate level referendum at the 1[st] **WA NO. 1553 OF 2022** -5- respondent as contemplated in Exhibit P2. iv) To issue a writ of mandamus and command the 2nd respondent to conduct an inquiry as to the legal status of the present trade unions operating in 1[st] respondent company and reject/eliminate those trade unions which are found to be operating illegally in the company. v) To pass any other and such other orders as this Honourable Court deem fit to pass in the nature and circumstance of the case. vi) To award the cost of this proceedings to the petitioners.” 2. Ext.P1 was the proceedings of the 2[nd] respondent whereby a referendum was sought to be conducted for recognition of trade union in Udyogamandal complex alone. The petitioners had approached earlier with W.P.(C) No. 15901 of 2022 for a direction to conduct trade union referendum at corporate level by way of secret ballot and to grant recognition only to those trade unions which secure 20% votes as recognised bargaining agent of the workers. **WA NO. 1553 OF 2022** -6- ## 3. The said writ petition was disposed of as follows: “After this, one of the Trade Unions was recognized but the validity of the same expired thereafter no such referendum was conducted. I am of the view that it is a fit case where directions are required to be issued to the respondents to take a call on the representation for holding the referendum as early as possible. 2[nd] respondent is therefore directed to take call on the representation in accordance with the directions and the judgment of the Supreme Court and judgments passed by this Court in Ext.P1, by affording a opportunity to all the trade unions registered under the Trade Unions Act and recognized by the respondents Let this exercise be undertaken within a period of two months from the date of receipt of a certified copy of the judgment.” 4. The 2[nd] respondent has passed Ext.P1 in compliance with the directions in Ext.P2 judgment. The **WA NO. 1553 OF 2022** -7- said order of the 2[nd] respondent was impugned in the Writ Petition. The learned Single Judge took note of the earlier directions passed by this court held that the respondent have complied with the directions of the court for holding a referendum for recognition of trade union at Udyogamandal complex in terms of the norms laid down by the Apex Court in judgment in **Food Corporation of India Staff Union v. Food Corporation of India and others (1995 KHC 583)** . It was also taken note that it is as per clause 10 of the minutes dated 5.4.2022 in the long term settlement signed by the management and the trade unions it was agreed to conduct referendum. Therefore, the learned Single Judge went on to hold that the directions contained in the earlier judgment have been strictly complied with and the proceedings issued by the **WA NO. 1553 OF 2022** -8- 2[nd] respondent does not show any illegality or perversity. 5. We have gone through the Writ Petition as well as the judgment of the learned Single Judge. It is on the directions of this court in W.P.(C) No.15901 of 2022 that Ext.P1 proceedings was issued. This court only directed the respondents to take a call on the representation for holding referendum as early as possible in accordance with the directions of judgment of the Apex Court. The 2[nd] respondent had issued Ext.P1 taking note of the fact that Udogamandal complex and Cochin divisions are two separate divisions and function is also independent. The appellant organisation was recognised in erstwhile Petrochemical Division which is now part of the Udyogamandal complex and it does not have any stake in the other divisions of the company. Therefore, the **WA NO. 1553 OF 2022** -9- referendum can be conducted only in Udyogamandal complex. We do not find that there are grounds to interfere with the judgment of the learned Single Judge. 6. But at the same time, we direct the 4[th] respondent to conduct the referendum as directed in Ext.P1 within 6 weeks from the date of receipt of a certified copy of the judgment. With this observation, the judgment of the learned Single Judge stands modified. Writ Appeal disposed of. sd/- **S.V.BHATTI, JUDGE** **sd/-** **BASANT BALAJI, JUDGE** _dl/_ **WA NO. 1553 OF 2022** -10- ## **APPENDIX OF WA 1553/2022** PETITIONER ANNEXURES Annexure1 TRUE COPY OF THE RTI APPLICATION DATED 06-09-2022 PREFERRED BY THE GENERAL SECRETARY. Annexure2 TRUE COPY OF THE REPLY DATED 26-09-2022 ISSUED TO ANNEXURE A1 APPLICATION UNDER RTI ACT.