Petitioners Not Being Employees Have No Legal Right To Stop Govt From Outsourcing Services: Madhya Pradesh HC

[04 March 2022] The Madhya Pradesh High Court has held that the Petitioners, who were working for an agency that was hired by the State, did not have a legal right to stop the government from outsourcing services in the interest of the economy and efficiency.
Justice S.A. Dharmadhikari was dealing with a batch of petitions that were challenging the order passed by the State Government, whereby it decided to outsource the services through an outsourcing agency and had also directed for fresh selection for appointment on the post of Assistant Grade- III/Data Entry Operator by conducting an open written examination.
The Court went on to examine the decision of a division bench of the Court in Laxmi Prasad Dubey & Ors. v. Union of India & Ors., wherein the bench, dealing with an identical issue, had held that since the Petitioners could not produce orders of appointment by the Government, their relationship with the State was not clear. Accordingly, it was held that they had no right to stop the State from outsourcing their certain services in the interest of economy and efficiency. The said decision attained finality after an appeal preferred against it was dismissed by the Apex Court.