
The Bombay High Court recently decided on a case involving the Kalyan Dombivli Municipal Corporation (KDMC) and its employees, who were fighting for a pay raise promised in a 1996 agreement. The court supported the employees' demands, marking a big win for the workers.
On January 3, 1996, KDMC and two workers' unions, Municipal Mazdoor Union Maharashtra and Akhil Bharatiya Safai Mazdoor Congress, made an agreement. This deal was supposed to put into action the 5th Pay Commission's suggestions for changing workers' pay.
By 2008, the workers said their pay had not been updated according to the 1996 agreement. They took their complaints to the Industrial Court, saying that KDMC was being unfair by not keeping the agreement.
KDMC argued that the agreement was only between them and the unions, not the individual workers. They also said that other reports and decisions had since controlled job terms, making the 1996 agreement outdated. Additionally, they argued that the workers' complaints were made too late, 12 years after the agreement.
On April 29, 2010, the Industrial Court agreed with the workers, telling KDMC to follow the 1996 agreement. KDMC challenged this decision but lost again when the High Court dismissed their petitions on July 18, 2011.
KDMC's appeals reached the Supreme Court, which allowed them to seek a review in the High Court. After several legal moves, the High Court once again supported the workers' rights on January 16, 2026, confirming that the agreement was binding since it was made during talks to resolve disputes.
Agreement Validity: The court confirmed that the 1996 agreement applied to all employees, not just union members, as it was made during talks to resolve disputes.
Time Limit: The court decided that the workers' complaints were timely, as the issue of not following the agreement was ongoing.
Judges' Role: Justices G. S. Kulkarni and Aarti Sathe played important roles in supporting the workers' rights.
This case highlights the importance of keeping labor agreements and the role of the courts in ensuring fair treatment of workers. The KDMC workers' long fight shows the challenges employees often face in getting what they deserve.