The Uttarakhand High Court has set July 16 as the date for hearing arguments from the Central government and HMT Limited in approximately 40 special appeals. These appeals challenge a single-bench order related to the HMT Kamgar Sangh and the closure of the HMT Ranibagh factory.
Background of the Case
A division bench comprising Chief Justice Manoj Kumar Gupta and Justice Subhash Upadhyay heard the appeals. The petitioners argued that employees were not granted Voluntary Retirement Scheme (VRS) benefits as per the previously stipulated conditions. They also claimed that the services rendered during the training period were not counted, which violated the agreed terms.
Counsel for the petitioners stated, “The employees were neither granted VRS benefits in accordance with the previously stipulated conditions nor was the service rendered during training taken into account.” The counsel further argued that the closure and settlement process did not follow the conditions laid down before the factory was shut.
Central Government's Stand
The Central government submitted that the factory was closed in strict compliance with the prescribed conditions and that employees had been granted VRS benefits. “The closure was carried out as per the prescribed conditions and employees have been accorded the benefits of VRS,” the Centre said before the court.
According to case details, the Central government had granted permission for the conditional closure of HMT Ranibagh on November 17, 2016. This followed a policy decision by the Cabinet Committee on Economic Affairs, chaired by the Prime Minister. The directive stated that employees were to be offered a VRS package based on 2007 pay scales before the factory was closed.
Allegations by Petitioners
The petitioners alleged that HMT management closed the factory without complying with this condition. The HMT Kamgar Sangh had earlier filed a petition before a single bench, which was dismissed. Consequently, the Sangh challenged the decision before the division bench.
The court has now fixed July 16 for further hearing, where both sides will present their arguments on the appeals.
