Supreme Court criticizes temporary contracts detrimental to the employees’ rights and job security

The issue in SLP (C) No. 5580 of 2024 involves sweepers, who had worked for two decades as temporary workers in Central Water Commission were terminated. Taking to this Justice Vikram Nath and PB Varale opined that it is the duty of the court to look beyond the surface labels and consider the realities of employment meaning that they should ensure that the attributes of employment such as continuous, long term, indispensable in nature.

The court criticized the use of temporary contracts in exploiting workers which has an adverse effect on employee’s rights and job security. Justice Nath laid down that this method is contrary to principles of fairness and equity. Marking a distinction between the private and the public sector, the court opined that the risk of eroding public trust is higher when the said act is done by the public entities and hence, the governmental organisations must ensure they abstain from such practices. The International Labour Organisation was advocated for employment stability and fair treatment of the workers. The SC quashed the termination of the sweepers and ordered them to be employed back with wages.

The case is based on the background of temporary contracts and gig economy, its impact on labours and how this concept is being misused by organizations in the name of short-term employment but extracting long term work from the labours.