on the judgment of this Court rendered in Karur Vysya Bank Retirees' Association v. Deputy Commissioner of Labour I, Teynampet reported in MANU/TN/
Case Details
W.P.No.34994 of 2019IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED : 20.09.2024CORAMTHE HONOURABLE Ms.JUSTICE R.N.MANJULAW.P. No.34994 of 2019K.S.Sampathkumar ...Petitioner/Vs./ 1. The Joint Commissioner of Labour and Registrar of Trade Union, Coimbatore – 641 018.2. The Principal Secretary to Government, Labour Welfare and Skill Development Department, Secretariat, Chennai – 600 009. ... Respondents(R2 - Suo motu impleaded as per order dated 23.02.2024 in W.P.No.34994/2019)Writ Petition is filed under Article 226 of the Constitution of India to issue a writ of certiorarified mandamus to call for the records relating to the impugned order issued by the respondent bearing No.AA2/4793/18 dated 18.07.2019 refusing to register Tamil Nadu General Insurance Agents Association as a trade union under the provisions of the Trade Unions Act, 1926 and consequently direct the respondent to register the above said Association within a time frame.Page 1 of 10 https://www.mhc.tn.gov.in/judis W.P.No.34994 of 2019For Petitioner ... Mr.K.M.Ramesh Senior Counsel for Mr.V.SubramaniFor Respondents... Mr.M.Jayanthy Additional Govt. Pleader ORDERThe petition has been filed challenging the order of the second respondent dated 18.07.2019 in denying the entitlement of the petitioner to be registered as a Trade Union under the Trade Union Act.2. The reasons for refusal as observed by the first respondent in his order is as under: "bjhHpw;r';f rl;lk; 1926d; rl;lg;gphpt[ 2(h) d;go bjhHpw; r';fk; vd;gJ (h) "Trade Union" means combination, whether temporary or permanent formed primarily for the purpose of regulating the relations between workmen and employers or between workmen and workmen, or between employers and employers, or for imposing restrictive condition on the conduct of any trade or business, and includes any federation of two or more Trade Unions. "Primarily for the purpose of regulating the relations between workmen and Employers, or between workmen and Page 2 of 10 https://www.mhc.tn.gov.in/judis W.P.No.34994 of 2019workmen, or between employers and employers, or for imposing restrictive conditions on the conduct of any trade or business" vd;W tiuaWf;fg;gl;Ls;sjd; mog;gilapy; Muha;ifapy; gjpt[ bra;ag;gLk; bjhHpw;r';fkhdJ/ gpujhdkhf bjhHpyhsp Kjyhsp ,ilnanah bjhHpyhsp bjhHpyhsp bjhHpyhsp ,ilnanah my;yJ Kjyhsp Kjyhsp ,ilnanah bjhHpy; cwt[fis bewpg;gLj;Jtjw;fhf Vw;gLj;jg;gLtJ my;yJ bjhHpy; kw;Wk; tpahghuj;jpy; fl;Lg;ghLila epge;jidfis tpjpg;gjw;Fk; Vw;gLj;jg;gLtjhf ,Uf;f ntz;oa epiyapYk;. j';fsJ mikg;gpd; cWg;gpdh;fshd ,d;R{ud;!; Kfth;fs; bray;ghLfspd; jd;ika[k; th;j;jfkhfnth, tpahghukhfnth ,y;yhj epiyapy; j';fsJ mikg;g[ bjhHpw;r';f rl;lk; 1926 d;go bjhHpw;r';fk; vd;W tiuaWf;fg;gl;l bghUslf;fj;jpy; bghUe;Jtjpy;iy vd;gjhy; j';fsJ mikg;ig bjhHpw;r';fkhf gjpt[ bra;a tHptif ,y;;iy vd;W Kot[ bra;ag;gLfpwJ/ ,jd; mog;gilapy; j';fsJ tpz;zg;gk; mryhf jpUg;g;gLfpwJ/”3. The above order of definition of “Trade Union” is presumed to be between workmen and employers or between the workmen and workmen or between employers and employers or for imposing restrictive condition on the contract of trade or business and it can even be a federation of two Page 3 of 10 https://www.mhc.tn.gov.in/judis W.P.No.34994 of 2019or more Trade Unions. The object of the said Union is to regulate the relations between the workmen and employers or between workmen and workmen or between employers and employers. So far as this petition is concerned, they are the group of general insurance agents of Tamil Nadu. The endeavour of the petitioner is to form an association under the name and style of Tamil Nadu General Insurance Agents Association and get it registered under the Trade Unions Act. 4. Mr.K.M.Ramesh, the learned Senior Counsel for the petitioner, submitted that by allowing the petitioner's Association to be registered under the Trade Union would give them the benefit of regulating the relationship among themselves and also between themselves and the respective insurance company for whom they work as agents. 5. In support of his above contention, the learned counsel for the petitioner relied on the judgment of this Court rendered in Karur Vysya Bank Retirees' Association Vs. Deputy Commissioner of Labour – I, Teynampet reported in MANU/TN/9620/2019 wherein it is held that the Page 4 of 10 https://www.mhc.tn.gov.in/judis W.P.No.34994 of 2019retired employees of a bank with whom the bank seized to be an employer post retirement have also been allowed to be registered under the Trade Unions Act and hence the same is applicable to the petitioner’s case as well.6. Mrs.M.Jayanthy, the learned Additional Government Pleader, for the respondents submitted that the petitioners are group of agents who are doing their independent services on commission basis and hence they would not come under the purview of the Trade Unions Act. It is further submitted that there is no workmen and employer relationship or workmen and workmen relationship or employers and employers relationship of these petitioners as defined under Section 2(h) of the Trade Unions Act and hence it is right for the authority to reject the registration.7. The fact that the members of the petitioner’s association are agents of various general insurance companies is not denied. There would not have been any objection if the petitioner’s association is registered under the Societies Act. But the endeavour of the petitioner is to get the Association registered under the Trade Union Act and for which it is mandated that they Page 5 of 10 https://www.mhc.tn.gov.in/judis W.P.No.34994 of 2019should come under Section 2(h) of the Trade Unions Act.8. There is no dispute with regard to the fact that the petitioners are not the employees in the respective insurance companies. They are appointed as agents and they do not have any specific service conditions as that of the employees working with the insurance companies. The job of these agents is to promote more insurance policies to be taken by the consumers. So the agents so working will get their commission in accordance with the number of policies and the quantum of the policy amount they are bringing in. At no stage of their service they fall under the definition of “employees” and hence the relationship between these agents cannot be considered as neither the association of employees nor employers.9. As stated already there is no relationship of employer-employee between these petitioners and the insurance companies. In the above case cited by the learned counsel for the petitioner the members of those association are retired employees and the control of the bank as employer Page 6 of 10 https://www.mhc.tn.gov.in/judis W.P.No.34994 of 2019of these employees seized to exist and post retirement they become retired employees. So there may be occasions between such retired employees to have better relationship between themselves for promoting any common cause either between themselves or between themselves and their erstwhile employers.10. In the instant case the petitioner being the agent of the insurance company does not fall under the definition of “employees” under the Trade Unions Act and the style of performance and his functions also do not match the functions of the “employees”, it is right for the authority concerned to reject their claim to be registered under Trade Unions Act by observing that they do not fall under the definition of Section 2(h) of the Trade Unions Act. Hence, I find no reason to interfere the impugned order of the first respondent.11. In the result, the Writ Petition is dismissed. No costs. Page 7 of 10 https://www.mhc.tn.gov.in/judis W.P.No.34994 of 201920.09.2024Index: Yes / NoSpeaking order / Non-speaking orderNeutral Citation : Yes / Nobkn Page 8 of 10 https://www.mhc.tn.gov.in/judis W.P.No.34994 of 2019To:1. The Joint Commissioner of Labour and Registrar of Trade Union, Coimbatore – 641 018.2. The Principal Secretary to Government, Labour Welfare and Skill Development Department, Secretariat, Chennai – 600 009. Page 9 of 10 https://www.mhc.tn.gov.in/judis W.P.No.34994 of 2019R.N.MANJULA ,J.bknW.P.No.34994 of 201920.09.2024Page 10 of 10
W.P.No.34994 of 2019IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED : 20.09.2024CORAMTHE HONOURABLE Ms.JUSTICE R.N.MANJULAW.P. No.34994 of 2019K.S.Sampathkumar ...Petitioner/Vs./ 1. The Joint Commissioner of Labour and Registrar of Trade Union, Coimbatore – 641 018.2. The Principal Secretary to Government, Labour Welfare and Skill Development Department, Secretariat, Chennai – 600 009. ... Respondents(R2 - Suo motu impleaded as per order dated 23.02.2024 in W.P.No.34994/2019)Writ Petition is filed under Article 226 of the Constitution of India to issue a writ of certiorarified mandamus to call for the records relating to the impugned order issued by the respondent bearing No.AA2/4793/18 dated 18.07.2019 refusing to register Tamil Nadu General Insurance Agents Association as a trade union under the provisions of the Trade Unions Act, 1926 and consequently direct the respondent to register the above said Association within a time frame.Page 1 of 10 https://www.mhc.tn.gov.in/judis W.P.No.34994 of 2019For Petitioner ... Mr.K.M.Ramesh Senior Counsel for Mr.V.SubramaniFor Respondents... Mr.M.Jayanthy Additional Govt. Pleader ORDERThe petition has been filed challenging the order of the second respondent dated 18.07.2019 in denying the entitlement of the petitioner to be registered as a Trade Union under the Trade Union Act.2. The reasons for refusal as observed by the first respondent in his order is as under: "bjhHpw;r';f rl;lk; 1926d; rl;lg;gphpt[ 2(h) d;go bjhHpw; r';fk; vd;gJ (h) "Trade Union" means combination, whether temporary or permanent formed primarily for the purpose of regulating the relations between workmen and employers or between workmen and workmen, or between employers and employers, or for imposing restrictive condition on the conduct of any trade or business, and includes any federation of two or more Trade Unions. "Primarily for the purpose of regulating the relations between workmen and Employers, or between workmen and Page 2 of 10 https://www.mhc.tn.gov.in/judis W.P.No.34994 of 2019workmen, or between employers and employers, or for imposing restrictive conditions on the conduct of any trade or business" vd;W tiuaWf;fg;gl;Ls;sjd; mog;gilapy; Muha;ifapy; gjpt[ bra;ag;gLk; bjhHpw;r';fkhdJ/ gpujhdkhf bjhHpyhsp Kjyhsp ,ilnanah bjhHpyhsp bjhHpyhsp bjhHpyhsp ,ilnanah my;yJ Kjyhsp Kjyhsp ,ilnanah bjhHpy; cwt[fis bewpg;gLj;Jtjw;fhf Vw;gLj;jg;gLtJ my;yJ bjhHpy; kw;Wk; tpahghuj;jpy; fl;Lg;ghLila epge;jidfis tpjpg;gjw;Fk; Vw;gLj;jg;gLtjhf ,Uf;f ntz;oa epiyapYk;. j';fsJ mikg;gpd; cWg;gpdh;fshd ,d;R{ud;!; Kfth;fs; bray;ghLfspd; jd;ika[k; th;j;jfkhfnth, tpahghukhfnth ,y;yhj epiyapy; j';fsJ mikg;g[ bjhHpw;r';f rl;lk; 1926 d;go bjhHpw;r';fk; vd;W tiuaWf;fg;gl;l bghUslf;fj;jpy; bghUe;Jtjpy;iy vd;gjhy; j';fsJ mikg;ig bjhHpw;r';fkhf gjpt[ bra;a tHptif ,y;;iy vd;W Kot[ bra;ag;gLfpwJ/ ,jd; mog;gilapy; j';fsJ tpz;zg;gk; mryhf jpUg;g;gLfpwJ/”3. The above order of definition of “Trade Union” is presumed to be between workmen and employers or between the workmen and workmen or between employers and employers or for imposing restrictive condition on the contract of trade or business and it can even be a federation of two Page 3 of 10 https://www.mhc.tn.gov.in/judis W.P.No.34994 of 2019or more Trade Unions. The object of the said Union is to regulate the relations between the workmen and employers or between workmen and workmen or between employers and employers. So far as this petition is concerned, they are the group of general insurance agents of Tamil Nadu. The endeavour of the petitioner is to form an association under the name and style of Tamil Nadu General Insurance Agents Association and get it registered under the Trade Unions Act. 4. Mr.K.M.Ramesh, the learned Senior Counsel for the petitioner, submitted that by allowing the petitioner's Association to be registered under the Trade Union would give them the benefit of regulating the relationship among themselves and also between themselves and the respective insurance company for whom they work as agents. 5. In support of his above contention, the learned counsel for the petitioner relied on the judgment of this Court rendered in Karur Vysya Bank Retirees' Association Vs. Deputy Commissioner of Labour – I, Teynampet reported in MANU/TN/9620/2019 wherein it is held that the Page 4 of 10 https://www.mhc.tn.gov.in/judis W.P.No.34994 of 2019retired employees of a bank with whom the bank seized to be an employer post retirement have also been allowed to be registered under the Trade Unions Act and hence the same is applicable to the petitioner’s case as well.6. Mrs.M.Jayanthy, the learned Additional Government Pleader, for the respondents submitted that the petitioners are group of agents who are doing their independent services on commission basis and hence they would not come under the purview of the Trade Unions Act. It is further submitted that there is no workmen and employer relationship or workmen and workmen relationship or employers and employers relationship of these petitioners as defined under Section 2(h) of the Trade Unions Act and hence it is right for the authority to reject the registration.7. The fact that the members of the petitioner’s association are agents of various general insurance companies is not denied. There would not have been any objection if the petitioner’s association is registered under the Societies Act. But the endeavour of the petitioner is to get the Association registered under the Trade Union Act and for which it is mandated that they Page 5 of 10 https://www.mhc.tn.gov.in/judis W.P.No.34994 of 2019should come under Section 2(h) of the Trade Unions Act.8. There is no dispute with regard to the fact that the petitioners are not the employees in the respective insurance companies. They are appointed as agents and they do not have any specific service conditions as that of the employees working with the insurance companies. The job of these agents is to promote more insurance policies to be taken by the consumers. So the agents so working will get their commission in accordance with the number of policies and the quantum of the policy amount they are bringing in. At no stage of their service they fall under the definition of “employees” and hence the relationship between these agents cannot be considered as neither the association of employees nor employers.9. As stated already there is no relationship of employer-employee between these petitioners and the insurance companies. In the above case cited by the learned counsel for the petitioner the members of those association are retired employees and the control of the bank as employer Page 6 of 10 https://www.mhc.tn.gov.in/judis W.P.No.34994 of 2019of these employees seized to exist and post retirement they become retired employees. So there may be occasions between such retired employees to have better relationship between themselves for promoting any common cause either between themselves or between themselves and their erstwhile employers.10. In the instant case the petitioner being the agent of the insurance company does not fall under the definition of “employees” under the Trade Unions Act and the style of performance and his functions also do not match the functions of the “employees”, it is right for the authority concerned to reject their claim to be registered under Trade Unions Act by observing that they do not fall under the definition of Section 2(h) of the Trade Unions Act. Hence, I find no reason to interfere the impugned order of the first respondent.11. In the result, the Writ Petition is dismissed. No costs. Page 7 of 10 https://www.mhc.tn.gov.in/judis W.P.No.34994 of 201920.09.2024Index: Yes / NoSpeaking order / Non-speaking orderNeutral Citation : Yes / Nobkn Page 8 of 10 https://www.mhc.tn.gov.in/judis W.P.No.34994 of 2019To:1. The Joint Commissioner of Labour and Registrar of Trade Union, Coimbatore – 641 018.2. The Principal Secretary to Government, Labour Welfare and Skill Development Department, Secretariat, Chennai – 600 009. Page 9 of 10 https://www.mhc.tn.gov.in/judis W.P.No.34994 of 2019R.N.MANJULA ,J.bknW.P.No.34994 of 201920.09.2024Page 10 of 10