Supreme Court Orders Assam Chief Secretary to Address Delays in Tea Workers’ Payments

The Supreme Court has summoned the Chief Secretary of Assam to appear before the Court on November 14, 2024, in response to growing concerns regarding the delayed payments owed to tea garden workers in the state. A bench consisting of Justice Abhay S. Oka and Justice Augustine George Masih expressed disappointment over the lack of progress in settling the long-overdue wages of these workers, criticizing both the Assam government and the Assam Tea Corporation Limited (ATCL) for their inaction.

During the proceedings, Justice Oka emphasized the dire situation faced by the tea workers, stating, “We direct the Chief Secretary of the State of Assam to personally remain present in the Court on the next date, i.e., 14th November 2024. The state will have to seriously answer the question why there is no sincere effort made to pay the dues of the workmen who have worked in tea estates owned by the state of Assam.” He further acknowledged that without imposing stringent measures, the workers would continue to endure hardships.

Justice Oka highlighted that while ATCL had generated revenue of Rs. 38 crores from its rental activities, the tea workers had yet to receive any compensation. He questioned whether any of the remaining Rs. 4 crores would be allocated to settle the workers’ unpaid wages. “ATCL, as an extension of the state, holds a responsibility to ensure that workers receive their salaries and entitlements,” he remarked.

The Assam government’s counsel cited significant financial losses faced by tea estate lessees, claiming many were unable to maintain profitability and had returned their gardens to ATCL, further complicating the financial landscape. Justice Oka suggested that if the state could not manage the tea estates effectively, selling the properties might be necessary to ensure that workers are compensated.

The Court reiterated its requirement for the Chief Secretary of Assam to appear in person to explain the lack of genuine efforts in paying the outstanding dues. Additionally, a notice was issued to the Union Ministry of Commerce, following the Assam counsel’s statement indicating a central government role in the payment process.

Justice Oka noted, “See, unless we pass harsh orders, money will not come. So therefore, there are two governments before us and one agency and instrumentality of the state government. We will see how one of them pays.”

This matter traces its roots back to 2006 when the International Union of Food and Agricultural Workers filed a petition demanding overdue wages and benefits for tea garden workers. In a prior ruling in 2023, the Supreme Court ordered both the state and central governments to distribute Rs. 645 crores to 28,556 workers across 25 tea gardens, 15 of which are operated by ATCL.

In 2020, the Supreme Court established a one-person committee led by retired Justice A.M. Sapre to calculate the workers’ dues, determining that Rs. 414.73 crores were owed to the workers, in addition to Rs. 230.69 crores owed to the Provident Fund Department. Despite these findings, compliance has remained incomplete, prompting the current contempt petition initiated in 2012.