Court tells LIC to absorb seven staff engaged under the guise of temporary employment
The Karnataka High Court has ordered the Life Insurance Corporation of India (LIC) to absorb seven employees who were kept as temporary workers despite being recruited through a regular selection process. The court ruled that the corporation cannot maintain temporary status for staff who have served continuously for years.
Why it matters
This ruling reinforces labor rights for long-term contract workers and limits the ability of public sector entities to bypass permanent employment obligations.
The High Court of Karnataka in Kalaburagi has directed the Life Insurance Corporation of India (LIC) to absorb seven employees, who were engaged as temporary or daily wage workers for several years, saying that the corporation cannot keep them in temporary employment despite their selection through a regular recruitment process.
A Division Bench comprising Justice R. Nataraj and Justice Pradeep Singh Yerur passed the order in a common judgment earlier this year disposing of 10 writ appeals arising out of an order passed by a Single Judge on November 14, 2024. The applicant was given the certified copy of the Division Bench judgment in the second week of this month.
The Division Bench has directed LIC to absorb the employees within three months from the date of receipt of the certified copy of the order.
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