Continuous Work Of Contractual Employees Does Not Create Any Vested Right For Permanent Employment: Rajasthan High Court Reiterates

Rajasthan High Court (“the Court”) has affirmed that individuals hired on a contractual basis through a placement agency do not have any vested interest in being employed by the government. The Court relied upon the Supreme Court case of K.K Suresh and Anr. v Food Corporation of India to arrive at this position.

Furthermore, reliance was also placed on the case of Ganesh Digamber Jhambhrundkar and Ors. v State of Maharashtra and Ors. in which it was held that rendering services for a long time did not entitle the contractual employees to get a vested right of employment in their favour. The Court said:

“We appreciate the argument of the petitioners that they have given best part of their life for the said college but so far as law is concerned, we do not find their continuous working has created any legal right in their favour to be absorbed.”

The bench of Justice Sameer Jain was hearing a bunch of petitions by individuals who were appointed by the Government of Rajasthan as contractual employees through a placement agency. The petition was filed seeking an order from the Court directing the government to reinstate the petitioners in service with all benefits.

The court agreed to the fact that the contract was primarily entered into between the government and the contractor/placement agency. It was the latter who had further engaged the services of the petitioners. It was observed that the petitioners were merely a third party and alien to this contract with respect to which privity of contract existed between the parties.

Accordingly, the petition was dismissed by the Court, especially in light of the aforementioned precedents.

Title: Amita Singh and Ors. v State of Rajasthan and Ors.

Citation: 2024 LiveLaw (Raj) 139

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