Anti-labour acts: Tasmac told to pay 1 lakh by HC

Chennai: In a ruling, highlighting Tasmac's rampant anti-labour practices, Madras high court likened it to Shylock for insisting on rigid positions in disregard of broader legal and equitable obligations.
Justice Maria Clete, passing orders on disputes arising out of the Tasmac's disciplinary and penal action against its work force in utter disregard for laws, also imposed 1 lakh cost on Tasmac, saying: "Considering the seriousness of the issues the persistent and unrepentant attitude displayed by Tasmac and the unwarranted volume of litigation they have generated before this court, despite being a wholly-owned govt company expected to act as a model employer, and their audacious stand that no labour law applies to them despite clear judicial pronouncements to the contrary, this court deems it appropriate to impose a cost of 1 lakh on Tasmac."

The sum shall be paid to Tasmac Oozhiyar Manila Sammelanam (CITU), the judge said. Tasmac operates approximately 4,829 retail liquor outlets across Tamil Nadu as of March 31, 2024, employing around 23,986 persons in various categories.
Justice Maria Clete asked: "What is the legal status and service condition of nearly 24,000 employees engaged by this State-run enterprise? Has any comprehensive framework under labour legislation been applied to regulate their employment over the past four decades? Notably, apart from the regular employees, the workers engaged in loading and unloading operations at Tasmac godowns have, without exception, been employed through outsourcing arrangements. As for the managerial cadre overseeing Tasmac's administrative functions, personnel have predominantly been drawn from the revenue, excise, and police departments — an arrangement evidently designed to maintain stringent governmental oversight over the liquor trade."
Despite clear judicial pronouncements, Tasmac has disregarded binding directions, and almost every termination of its employees challenged before this court has been set aside for failure to follow due procedure and for violations of the provisions of the Industrial Employment (Standing Orders) Act. These judgments have attained finality, said Justice Maria Clete.
The Industrial Employment (Standing Orders) Act, 1946 applies to Tasmac, is legally sound and correct, she said, adding, "it is far too late for the Respondent Tasmac to now contend that the provisions of the Industrial Employment (Standing Orders) Act, 1946 do not apply to them. Such a stand has been taken deliberately, and without any legal foundation, with the intention of defeating the claims of the petitioner-union."