At a glance
- The Supreme Court of India (Court) has confirmed that judicial interpretations of the repealed Industrial Disputes Act 1947 (ID Act) do not automatically govern the meaning of 'industry' under the Industrial Relations Code 2020 (Code).
- The Court declined to decide the scope of 'industry' under the Code, holding that its interpretation must be determined by the Code’s own language and legislative purpose in a future case.
- The judgment recognises that the Code introduces material changes, including specific exclusions relating to charitable, social, philanthropic, domestic service and certain activities notified by the Central government.
- Employers involved in disputes arising under the former ID Act will continue to be assessed using the established legal principles developed under that legislation.
- The decision signals that businesses should assess their status under the Code independently rather than assuming that classifications under the previous regime remain valid under the Code.
We would like to express gratitude to JSA for their contribution on this publication.
In a significant judgment in the case of State of Uttar Pradesh v Jai Bir Singh (Judgment), a nine-judge bench of the Court has addressed the longstanding debate surrounding the meaning of 'industry' while also providing important guidance on how courts should approach legal precedents when a statute has been repealed and replaced.
The case arose from conflicting judicial views on whether...
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