Jurisdicition and Regularization of Contractual Employees

SERVICE

Assad Ullah Jaral

8/2/20243 min read

a group of cranes sitting next to a body of water
a group of cranes sitting next to a body of water

In Civil Petitions No. 278-K and 279-K of 2022, the Supreme Court of Pakistan dismissed petitions seeking regularization of contractual employees of Karachi Port Trust (KPT) through constitutional petitions (2024 SCP 329). The Court reaffirmed that contractual employees, engaged through an outsourcing contractor, cannot claim regularization unless governed by specific laws or policies. The Court emphasized that writ petitions under Article 199 of the Constitution cannot be maintained in cases where disputed questions of facts, such as the employment relationship, require adjudication through labour courts or other appropriate forums.

Background:

The petitioners, employees of KPT, were engaged through a contractor, M/s Aquatech Infrastructures Limited, under an outsourcing arrangement. They filed constitutional petitions in the Sindh High Court seeking regularization of their services in KPT, asserting that they had been working under the command and control of KPT for more than 6 to 15 years. The petitioners argued that similarly situated employees had been regularized following a decision by the Federal Cabinet Sub-Committee.

The Sindh High Court dismissed their petitions, holding that the petitioners had no direct employment relationship with KPT, and their claims for regularization could not be entertained through a writ petition. The petitioners subsequently appealed to the Supreme Court.

Key Issues:

Maintainability of Writ Petitions for Regularization: Whether contractual employees engaged through an outsourcing contractor can seek regularization through a writ petition under Article 199 of the Constitution.

Employment Relationship Between Petitioners and KPT: Whether the petitioners were employees of KPT or of the outsourcing contractor, and whether they had any vested right to regularization in KPT.

Appropriate Remedy for Contractual Employees: Whether the petitioners should have pursued their claims through labour courts or other forums instead of filing a constitutional petition.

Court's Analysis:

Maintainability of Writ Petitions: The Court affirmed the High Court's decision that a writ petition under Article 199 is not maintainable for regularization of contractual employees unless the employment relationship is governed by statutory rules or laws. The Court emphasized that the writ jurisdiction is not meant to resolve disputed questions of fact, such as whether the petitioners were employed by KPT or the contractor. These issues must be resolved through labour courts or civil courts after recording evidence.

Outsourcing Arrangement and Employment Relationship: The Court observed that the petitioners were engaged through an outsourcing contractor, and there was no evidence of a direct employment relationship with KPT. The outsourcing arrangement was genuine and not a sham designed to circumvent labour laws. Therefore, the petitioners could not claim regularization in KPT merely by virtue of their long service under the contractor.

Appropriate Forum for Redressal: The Court reiterated that contractual employees seeking regularization must pursue their claims through the appropriate labour forums, such as the Labour Court or the National Industrial Relations Commission (NIRC), if their employment is governed by labour laws as the case may be. The petitioners should have sought redress in these forums instead of filing constitutional petitions.

Court's Conclusion: The Supreme Court dismissed the petitions, holding that the petitioners were not entitled to regularization through a writ petition under Article 199. The Court emphasized the importance of pursuing the correct legal remedy in the appropriate forum, such as labour courts, for claims of regularization.

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