Supreme Court Revisits Landmark 'Industry' Definition in Labor Law

The Supreme Court of India is revisiting the 1978 verdict that expanded the definition of 'industry' to include millions of workers under labor protection laws. The nine-judge bench, led by Chief Justice Surya Kant, is examining whether this definition should be narrowed to exclude certain governmental and charitable activities.

On Thursday, the Centre assured the Supreme Court it is committed to protecting workers' interests as a nine-judge Constitution Bench reserved its verdict on a 1978 ruling that broadly interpreted 'industry' under the Industrial Disputes Act of 1947.

The Constitution bench, led by Chief Justice Surya Kant, would address pleas questioning the expansive interpretation that brought a wide range of workers under legal protection. Attorney General R Venkataramani emphasized the government's pro-labor stance amid concerns about the globalized economy.

The pending decision, anticipated across labor and industrial sectors, will likely impact workers' rights and the applicability of labor laws. Notably, the bench will assess the 'triple test' from the 1978 judgment's definition of 'industry' under the Act.