The Union Government on Tuesday (March 17) told the Supreme Court that welfare activities and charitable functions undertaken by the State cannot be treated as “industry” under labour law, cautioning against an overbroad application of the test laid down in Bangalore Water Supply and Sewerage Board v. A. Rajappa (1978).
Appearing before a nine-judge Constitution Bench, Attorney General for India R. Venkataramani submitted that while the “triple test” evolved in the 1978 judgment may be logically sound, its indiscriminate application has led to an unwarranted expansion of the definition of “industry”.
Colonial understanding of sovereign does not apply anymore: AG
“The…