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Bombay High Court Upholds Industrial Court's Decision on Kalelkar Award Benefits

LAW FINDER NEWS NETWORK | April 14, 2026 at 4:25 PM
Bombay High Court Upholds Industrial Court's Decision on Kalelkar Award Benefits

Court rules that statutory settlement under the Kalelkar Award binds employers and employees, ensuring benefits for temporary workers.


In a significant ruling, the Bombay High Court has upheld the decision of the Industrial Court, Thane, directing the State of Maharashtra to extend benefits under the Kalelkar Award to the deceased husband of respondent Devubai Bhagwan Kharat. The judgment reinforces the binding nature of the Kalelkar Award, a statutory settlement arising from conciliation proceedings, which mandates benefits for workers after five years of service, irrespective of specific government resolutions.


The case, State of Maharashtra v. Devubai Bhagwan Kharat, revolved around the respondent's claim that her husband, a Mazdoor, was denied permanency and benefits despite fulfilling the conditions of the Kalelkar Award. The Industrial Court had previously found the State guilty of unfair labor practice and ordered the status of Converted Regular Temporary Worker to be conferred upon the respondent's husband, a decision now upheld by Justice Amit Borkar of the Bombay High Court.


The State of Maharashtra contended that the deceased had not completed the requisite five years of continuous service by the stipulated date, as required by a government resolution, to qualify for permanency. However, the High Court emphasized that the Kalelkar Award, published in the Official Gazette, has statutory force, and its benefits cannot be unilaterally altered or withdrawn without adhering to statutory procedures.


Justice Borkar highlighted that the Kalelkar Award does not necessitate strict continuity of service or 240 days of work every year. Instead, it allows for a reasonable interpretation of continuous service, considering the worker's engagement over five years on a daily-rated establishment. The judgment underscores that the absence of a specific government resolution does not negate the rights accorded by the Award.


The Court further directed the State to comply with its order within twelve weeks, ensuring the respondent receives the benefits due under the statutory settlement. This ruling affirms the legal position that daily wage workers can claim benefits under the Kalelkar Award through the Industrial Court, even in the absence of supporting government resolutions.


Bottom Line:

Industrial Disputes Act, 1947 - Kalelkar Award constitutes a statutory settlement that binds both employers and employees until modified through statutory procedures - Workers can claim benefits under the Award even in the absence of a specific Government Resolution, provided the conditions stipulated in the Award are fulfilled.


Statutory provision(s):

- Industrial Disputes Act, 1947 Sections 5, 13(2), 17, 18(3), 19, 9A, 33C(2)

- Maharashtra Recognition of Trade Union and Prevention of Unfair Labour Practices Act, 1971 Items 5 and 9 of Schedule IV

- Articles 226 and 227 of the Constitution of India


State of Maharashtra v. Devubai Bhagwan Kharat, (Bombay) : Law Finder Doc id # 2876415

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