NLC WORKERS PROGRESSIVE UNION REP BY ITS GENERAL SECRETARY R GOPALAN Vs. CHAIRMAN AND MANAGING DIRECTOR NEYVELI LIGNITE CORPORATION LIMITED

JUDGEMENT

(1.) The petitioner union herein seeks writ of certiorari to challenge the circular dated August 4, 2009 issued by the second respondent. The respondents herein is a Public Sector Undertaking wholly owned by the Government of India, an instrumentality of the State as defined in Article 12 of the Constitution of India.

(2.) The petitioner's contention herein is that in discharge of the legal obligation to provide medical benefits to its employees, the Neyveli Lignite Corporation has framed a set of Rules called Neyveli Lignite Corporation Ltd. (Medical Benefit Rules). The said Rules entitle all classes of employees of the Corporation to medical benefits. The said Rules in clauses 2.4 and 4.1 define "Family" and "Criteria of Family Members to be a dependant" as under:

(3.) The grievance of the petitioner is that by reason of the circular dated August 4, 2009, there has been a radical modification to the definition of 'family' by reducing the age of the children eligible for the medical benefit to 25 years or below and restricting the member of children to two. Quite apart, the adopted children of the employee were not included in the revised circular. In fairness to the claim, the petitioner submits that such modification without notice to the petitioner is illegal and violative of Section 9-A of the Industrial Disputes Act, 1947. Taking the view that such medical benefit is a condition of service and the benefit had been given as a customary concession, the restriction of benefits through circular is arbitrary and illegal. Hence, the same has to be rejected.