No Obligation to Employ Apprentices Post-Training: Punjab and Haryana High Court

In a significant ruling, the Punjab and Haryana High Court on Monday dismissed a series of petitions seeking regular employment at National Fertilizers Limited for former apprentices. The Court, led by Hon'ble Mr. Justice Jagmohan Bansal, held that there is no legal obligation for employers to offer employment to apprentices after the completion of their training, referencing Section 22 of the Apprenticeship Act 1961.

The consolidated petitions, filed by Dharam Pal and others, sought directions for their employment based on past apprenticeship and a precedent set by the Supreme Court in 1995. The petitioners, who completed their apprenticeship between 1999 and 2001, were contesting a 2018 job advertisement for which they did not meet the educational qualifications.

Justice Bansal, in his judgment, clarified, "It shall not be obligatory on the part of the employer to offer any employment to any apprentice who has completed the period of his apprenticeship training in his establishment." This statement encapsulates the crux of the decision which impacts the interpretation of the Apprenticeship Act and the rights of apprentices post-training.

The Court observed a 17-year gap between the completion of the apprenticeship and the issuance of the job advertisement, noting the petitioners' failure to claim employment during this period. This was seen as an acquiescence to their release post-apprenticeship by the respondent organization. The judgment further emphasized that setting qualification criteria falls squarely within the discretion of the employer.

The petitions were dismissed on the grounds of lacking merit, with the Court stating, "The entire claim of the petitioners is based upon the judgment of the Apex Court in U.P. State Road Transport Corporation [case]. The Court has not held that in each and every case apprentice should be offered a job."

This ruling sets a precedent for future cases involving apprenticeship and employment, underlining the autonomy of organizations in setting employment standards and the non-mandatory nature of employing trained apprentices. However, the Court also noted that this does not inhibit National Fertilizers Limited from considering the petitioners for future employment if they meet the necessary qualifications.

Date of Decision: 09 January 2024

Dharam Pal and others  VS National Fertilizers Limited and another