Can a fixed-term employee claim regularization as a permanent employee in any government PSU if he/she worked with a government PSU for a longer duration, say 9 to 10 years? Also, if he gets all the benefits like PF, HRA, DA, Gratuity, etc.
From India, New Delhi
From India, New Delhi
A Fixed term employee is as good as a permanent employee. Fixed term employee will get all benefits - including statutory- which are given to permanent employee.
From India, Aizawl
From India, Aizawl
A fixed-term employee has no case for regularization. The Fixed-Term Appointments, as the term indicates, are for a definite period, and there is no claim for permanent employment. Regularization of such employees is frowned upon by the Supreme Court as it goes against Article 14, 16, etc., since other interested candidates for regular service could not apply and were not considered. These are known as backdoor appointments and are decried. (Ref: Secretary, State Of Karnataka And Another vs. Umadevi And Others decided on 10 April 2006)
From India, Mumbai
From India, Mumbai
Thank you, sir, for the valuable feedback. I have another query: Does this judgment give liberty to companies to exploit people by keeping them on a fixed-term basis and taking advantage of them by posing threats that their tenure will not be reviewed if they have not performed as per their wishes? What is the limit of exploitation?
From India, New Delhi
From India, New Delhi
There is no limit to the tenure fixed by law for FTA. Indeed, the FTA is being seen as a new solution to the unemployment problem by affording the employers more flexibility in recruiting additional labor. Yes, this is exploitative, and many an employer will resort to unethical practices under the cover of FTA.
From India, Mumbai
From India, Mumbai
Employment for Fixed Term should be allowed only for such cases where the work is purely temporary. Though the recent amendment to the Standing Order Act permits such appointments across all industries, employing someone indefinitely for such a long period of 9 years can be questioned. It is true that on termination of employment due to non-renewal of the contract for any further period, the employee will get gratuity for the years of service. The issue is not with benefits but with the social status and the mental status the employee enjoys when he is on FTC or on permanent rolls.
Obviously, an employee under a contract for a few years though renewable at the end of every year will not get a loan from a bank nor will get a status equal to any other employee of that PSU. While amending the Standing Order Act, the government has said that all social security measures available to other permanent employees will be available to FTC employees. It is a fact that it is only an arrangement to make the employers more flexible in hiring and firing.
If an FTE challenges a decision of the employer, he will not get the term extended any more and he will have to leave the premises and nobody can back him nor challenge his termination before any authority. But if he comes under the purview of the ID Act, he can challenge the act of employing him for fixed terms as unfair practice.
From India, Kannur
Obviously, an employee under a contract for a few years though renewable at the end of every year will not get a loan from a bank nor will get a status equal to any other employee of that PSU. While amending the Standing Order Act, the government has said that all social security measures available to other permanent employees will be available to FTC employees. It is a fact that it is only an arrangement to make the employers more flexible in hiring and firing.
If an FTE challenges a decision of the employer, he will not get the term extended any more and he will have to leave the premises and nobody can back him nor challenge his termination before any authority. But if he comes under the purview of the ID Act, he can challenge the act of employing him for fixed terms as unfair practice.
From India, Kannur
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