R. Iyyappan & Ors. v. Union of India & Ors.

Civil Appeal · 2026 INSC 431Decided 29 Apr 2026
C.A. No.-006825-006825 - 2026
Justice Vikram Nath · Justice Sandeep Mehta

Background

The appellants were daily-wage employees engaged between 1991 and 1997 at the Mahendragiri Unit of a Central Government research centre. After the government's 1993 scheme granting temporary status to casual labourers failed to help them, they approached the Central Administrative Tribunal, which in 2010 directed the authorities to regularise workers like them by creating permanent posts: a direction that was upheld by the High Court and this Court, attaining finality. Instead of implementing it faithfully, the authorities framed a new "Gang Labourers Scheme" in 2012 that the appellants said diluted the Tribunal's directions by keeping their engagement temporary rather than permanent; their challenge to this scheme was rejected by the Tribunal (twice) and by the Madras High Court.

Decision Breakdown

The Supreme Court allowed the appeal, holding that the 2012 Gang Labourers Scheme, to the extent it was inconsistent with the Tribunal's earlier finalised directions for permanent engagement, could not stand and was set aside, including the clause contemplating only temporary status. It directed the authorities to regularise the appellants' services and grant them permanent status effective from 9 September 2010 (the outer deadline the Tribunal had originally fixed) within four weeks, and extended this benefit to all other similarly situated workers engaged under the scheme. The Court criticised the authorities for effectively diluting directions that had already attained finality, prolonging a marginalised litigant's fight for years, and made pointed observations about the dignity owed to Group-C/D support staff whose unglamorous work underpins large institutional and scientific achievements.

Lesson Learnt

Once a tribunal's or court's direction for regularisation of long-serving casual/daily-wage workers attains finality, the government cannot dilute its substance through a new scheme that keeps workers on a temporary footing: such a workaround will be struck down, and the State, as a "model employer," is expected to treat even its most peripheral long-serving workers with fairness and dignity.

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