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980 sue Bharat Forge for layoff benefits

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Ranjani Raghavan

Posted: Mar 10, 2009 at 2331 hrs IST

Pune Company says not entitled; they are contract labourers

Over 980 contract workers, some of them working with Bharat Forge for over 15 years, have filed a case saying that they have been laid off without compensation benefits. They argue that Bharat Forge has been cutting corners for all these years, used third-party contractors to hire cheap labour, but left them in the lurch amid the economic slowdown.

The case, filed against Bharat Forge, its Chairman and Managing Director Baba Kalyani and 147 labour contractors, at the Pune industrial court on December 29, is yet to be admitted as notices have not been issued against all the 147 contractors. The industrial court judge has suggested that the plaintiffs either delete the names of the contractors yet to be served notices or go in for a fresh application. But the workers are insisting that all the contractors be included as, otherwise, it’ll mean leaving out many workers from the judicial review.

The workers claim it has been three months since they received wages; there is no work for them in the company due to cancellation/ postponement of orders from national and international customers, their application at the industrial court said.

Kalyani said the company could not be held responsible for compensating the 980 employees. “What can I say... they are contract employees, not Bharat Forge employees. They have to take up the matter of compensation with the labour contractors,” he said.

Although employed through third parties, the workers argue that Bharat Forge also bears responsibility as there is another case filed by these 980 workers asking to be made permanent workers with Bharat Forge — this case is also pending.

“At least until the subject of permanency is resolved, the status quo of the workers needs to be maintained. They cannot be dismissed from work,” said Jai Prakash Pawar, lawyer for the 980 workers, after the hearing on Monday.

It was in April 2008 that the 980 contract workers came together under the Maharashtra General Kamgar Sangh and petitioned the labour commissionerate to make them permanent employees of Bharat Forge on the grounds that they have been working for years together in the premises of Bharat Forge, but without any of the accompanying benefits.

Company lawyers dispute this; contract workers couldn’t have been working with Bharat Forge for more than seven years, they say. “There is already central government notification that contract labour system cannot be abolished in Bharat Forge. For permanency, our position is that the case is illegal. The industrial court cant adjudicate on the matter. It has to be referred to the state board of the state government under the contract labour act,” said R Y Joshi, lawyer for Bharat Forge.

Meanwhile, Aditya Joshi, lawyer for the labour contractors, said the number 980 was inflated. “They have filed a case against 147 contractors but have not served all of them notices. Many of these contractors are no longer with Bharat Forge,” he said.

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