HC stays GO declaring auto component manufacturing industry as public utility service

Chennai: The Madras high court has stayed an order of the state government, which declared ‘Auto Components Manufacturing Industry’ as Pubic Utility Service for the purpose of Industrial Disputes Act, 1947.

Justice V.Parthiban granted the interim stay on a petition filed by Kovai Mavatta Pricol Thozhilalar Otrumai sangam, which also sought to quash the G.O dated June 14, 2019. The judge posted to August 29, further hearing of the case, after Special government pleader J.Pothiraj took notice on behalf of the state government.

The judge said the government has issued a G.O, dated June 14, 2019 which was published in the government gazette on July 3, 2019, declaring ‘Auto Components Manufacturing Industry’ as Public Utility Service for the purposes of Industrial Dispute Act. The said government order was assailed in the present petition stating that the Auto Components Manufacturing Industry can never be construed as ‘Public Utility Service’ at all and such declaration does not satisfy the Scheme of Industrial Dispute Act, particularly section 2 (n) of the Act, the judge added.

The judge said according to the counsel for the petitioner, by no stretch of imagination Auto Components Manufacturing Industry can be brought within the ambit of the above section and hence the declaration under the impugned G.O was per se arbitrary, irrational and cannot be countenanced in law.

“On consideration of the submissions made on behalf of the petitioner, this court is prima facie satisfied that the government order declaring the Auto Components Manufacturing Industry as ‘Public Utility Service’ does not satisfy the requirement as provided under section 2 (n) of the Industrial Dispute Act and this court also satisfied that there is no public emergency or public interest involved in Auto Components Manufacturing Industry and hence the G.O issued by the government suffers from arbitrariness and non application of mind.

In view of the above there shall be an order of interim stay of the government order”, the judge added.