NULM workers protesting in front of Ripon Buildings, demanding the cancellation of the privatisation of solid waste management in two zones. File
| Photo Credit: R. Ragu
The Madras High Court on Wednesday refused to quash resolutions passed by Greater Chennai Corporation (GCC) for outsourcing conservancy work in Zones V (Royapuram) and VI (Thiru. Vi. Ka. Nagar). It, however, directed the civic body to negotiate with the private contractor and ensure the conservancy workers to be absorbed by the latter were not paid less than their last drawn wages.Justice K. Surender passed the orders while disposing of two writ petitions filed by Uzhaippor Urimai Iyakkam which had challenged the two GCC Council resolutions. The judge said, the question of retrenchment of conservancy workers would not arise at all, as argued by the petitioner organisation, since their services had not been terminated and they would be absorbed by the private employer.However, since the writ petitions had been filed fearing their monthly wages would get reduced considerably if they get absorbed by Telangana-based Delhi MSW Solutions Limited, which had bagged the contract for sanitary work in the two zones, the judge directed the Corporation to ensure the workers continue to get paid at least their last drawn wage, if not more.Taking note the members of the petitioner union had been serving as temporary conservancy workers engaged by the GCC through self help groups and had been paid ₹793 a day, the judge said steps must be taken to match their present wage even after absorption by the private contractor. He also directed the latter to extend the welcome bonus of ₹3,000 to every worker who agrees to get absorbed before September 10, 2025.Further, noting the petitioner union had raised an industrial dispute and the State government too had referred the dispute to the Industrial Tribunal, the judge made it clear the conservancy workers would be at liberty to agitate their rights, in accordance with laws, before the appropriate fora even if they agree to get absorbed by the private contractor.The orders were passed after recording the contents of a counter affdiavit filed by GCC Commissioner J. Kumaragurubaran who had asserted the conservancy workers would actually get paid more by the private employer than what they were being paid by the civic body.The Commissioner had stated the outsourcing of conservancy work to private concessionaires was not new, and it had been done in 11 out of the 15 zones in the Corporation over the years. In all those zones, the concessionaires had absorbed the self-help group (SHG) temporary workers serving the Corporation as conservancy workers.Stating 975 temporary conservancy workers were serving in Zone V and that 1,059 of them were working in Zone VI before the work was outsourced to Delhi MSW Solutions Limited, the Commissioner said, the private contractor had floated a special purpose vehicle called Chennai Enviro Solutions Private Limited and had begun absorbing those temporary workers.He added the private entity requires 3,809 workers and it had already recruited 1,770 of them, besides wanting to absorb 2,034 SHG workers on a priority basis. Around 275 SHG workers had been absorbed and joined duty too, and the company was willing to offer a welcome bonus of ₹3,000 per employee, as a goodwill measure, to all those who join till August 31, 2025.“The second respondent [Delhi MSW Solutions] is issuing appointment orders to the workers with a higher pay than the Greater Chennai Corporation,” the Commissioner asserted. He said the cost to company to be incurred by the private entity for every worker was ₹20,136 per month and that they would receive a net salary of ₹15,357 per month, apart from several other service benefits.Insurance benefitsHe said, the employees would be entitled to group personal accident insurance for ₹11.52 lakh, group term life insurance for ₹1 lakh, employees deposit linked scheme for ₹3 lakh, and ₹2.015 lakh for accidental death and ₹55,000 for natural death. Further, they would get 12 days of casual leave, 12 days of earned leave, double wages if they work on national holidays and marriage assistance of ₹20,000 for either self or children’s marriage.It was also brought to the notice of the court that Delhi MSW Solutions would issue appointment orders to every individual worker to ensure job security and implementation of all applicable labour welfare laws. Published - August 20, 2025 11:39 am IST
