# UNION OF INDIA AND ORS v. MIS ESSEL MINING & INDUSTRIES LTD. AND ANR

- **Citation:** [2005] Supp. 2 S.C.R. 510
- **Court:** Supreme Court of India
- **Decided:** 2005-08-09
- **Case number:** Civil Appeal No. 5920of1999
- **Bench:** Arijit Pasayat, H.K. Sema
- **Source:** https://unisonlegal.in/judgment/supreme-court-of-india/union-of-india-and-ors-v-mis-essel-mining-industries-ltd-and-anr-20942
- **Pages:** 3

## Headnote

Labour Law : Minimum Wages Act, 1948 :
S. 3(J)(b) rlw ss. 4(J)(iii) and 5(2)-Government of India Ministry of
Labour Notification No. 514(£) dated 12. 7.1994-Explanation-Paragraph
7-Clause (iii)-Person working or employed "below ground"-Jnterpretation
of-Matter remanded to High Court.
Rex v. Nat Bell Liquor Ltd., (1922) AC 128 and Overseas of the Poor
of Walsall Overseas v. London & NWR Co., (1879) 4 AC 30, referred to.

## Text

A
B
c
D
E
F
UNION OF INDIA AND ORS.
v.
MIS ESSEL MINING & INDUSTRIES LTD. AND ANR.
AUGUST 9, 2005
[ARIJIT PASAYAT AND H.K. SEMA, JJ.]
Labour Law : Minimum Wages Act, 1948 :
S. 3(J)(b) rlw ss. 4(J)(iii) and 5(2)-Government of India Ministry of
Labour Notification No. 514(£) dated 12. 7.1994-Explanation-Paragraph
7-Clause (iii)-Person working or employed "below ground"-Jnterpretation
of-Matter remanded to High Court.
Rex v. Nat Bell Liquor Ltd., (1922) AC 128 and Overseas of the Poor
of Walsall Overseas v. London & NWR Co., (1879) 4 AC 30, referred to.
CIVIL APPELLATE JURISDICTION: Civil Appeal No. 5920of1999.
From the Judgment and Order dated 4.12.98 of the Orissa High Court
at Cuttack in O.J.C. No. 8339 of 1994.
Amarendra Sharan, Additional Solicitor General, Harish Chander,
T.A. Khan, Amit Anand Tiwari, B.K. Prnsad and Ms. Sushma Suri for the
Appellants.
Dushyant Dave, R.R. Kumar, Samyadip Chatterji, Ms. Sangeeta Panicker
and Bharat Sangal for the Respondents.
The Order of the Court was delivered by
ARIJIT PASAYA T, J. : Challenge in this appeal is to the judgment
G
rendered by a Division Bench of the Orissa High Court quashing Clause-iii
of paragraph 7 of the Explanation in Notification No. 514(E) dated 12.07.1994
issued by the Government of India, Ministry of Labour in purported exercise
of powers conferred by Section 3(l)(b) read with Section 4(l)(iii) and 5(2)
of the Minimum Wages Act, 1948 (in short 'the Act). Stand of the writ
H
petitioners before the High Court in the writ petition was that the inclusion
510
U.0.1. v. M/S. ESSEL MINING & INDS. LTD.
511
sought to be made was impermissible in the background of what has been
A
stated in The Mines Act, the Mines Rules and other pieces of legislation
dealing with mining activities. The relevant portion of the Notification reads
as follows :
EXPLANATION FOR THE PURPOSE OF THE
NOTIFICATION:
"A person working or employed in or in connection with a
mine is said to be working or employed "below ground" if he
is working or employed :-
(i)
in a shaft which has been or is in the course of being
sunk; or
(ii)
in any excavation which extends below superjacent
ground; or
(iii)
in an open cast working in which the depth of the
excavation measured from its highest to its lowest point
exceeds six metres."
B
c
D
The High Court held that the authority issuing the Notification overlooked
E
that it did not have the source of statutory power to incorporate such
explanation in the Notification as done and, accordingly, as noted above, held
that though the Notification was in operaiion, the Clause-( iii) of paragraph
7 of the Explanation is non est.
Mr. Amarendra Sharan, learned Additional Solicitor General submitted
F
that the High Court failed to notice various facts of the Act and put
unnecessary stress on the statutes relating to mining activities which had no
relevance so far as the fixation of minimum wages is concerned. In response,
Mr. Dushyant Dave, learned senior counsel appearing for the respondentCompany submitted that the classification contained in clauses (i) & (ii) of
paragrah 7 of the Notification do not pose any problem but clause-( iii) which
was impugned creates a class of employees which is not recognized under
any statute relating to mining activities and therefore there is no sanctity in
the Notification so far as that part is concerned.
G
We find that though the High Court referred to various statutes relating H
A
B
c
D
512
SUPREME COURT REPORTS [2005] SUPP. 2 S.C.R.
to the mining activities, e.g. The Mining Act etc., it did not indicate any
reason as to why it was of the view that the authority issuing the Notification
lacked statutory power to issue the Notification. Though the judgment runs
to several pages, after noticing the rival subl!lissions, the High Court in a very
cryptic manner, disposed of the writ petition coming to the aforesaid view.
It is not the number of pages in a judgment which is relevance. It is on the
other hand, the sufficiency ofreasons indicr\ted to justify the conclusions. We
may only add here that the paragraphs 28 and 29 of the judgment which are
supposed to contain the conclusions are not only confusing, but also make
little sense. They to quote the immortal words of Lord Summer in Rex v. Nat
Bell Liquors Ltd., (1922) AC 128 "speak only with the inscrutable face of
a Sphink." It is "unspeaking order" as classically described by1 Lord Cairns
IC in Overseas of the Poor of Walsall Overseas v. London & NWR Co.,
(1879) 4 AC 30. In the fitness of things, therefore, the Hi'gh Court should
re-hear the writ petition and dispose of the same by a reasoned order. We
make it clear that we have not expressed any opinion on the merits of the
Case. It goes without saying that the parties shall be free to place all relevant
aspects for consideration of the High Court when the matter is taken up
afresh. It appears that no interim orders were passed by this Court. While the
writ petition is being heard by the High Court, the relief that was granted
to the writ petitioners, would be continued. By granting this protection, it
shall not be construed as if we have expressed ty opinion on the merits of
E
the case. It would be relevant to note one further fact, as contended by the
respondent that a Notification containing similar stipulation as was impugned,
has been issued on 03.01.2002. The relevance and effect thereof, it goes
without saying, shall be considered by the High Court if brought to its notice
with appropriate pleadings. Since the dispute raised in the writ petition filed
F
in the year 1994, we request the High Court to dispose of the writ petition
as early as prac~cable ..
The appeal is disposed of accordingly. No costs.
R.P.
Appeal disposed of.
:
-4-