Case: THE JOINT LABOUR COMMISSIONER AND REGISTERING OFFICER AND ANR Vs. KESAR LAL

2. Parliament enacted the Act of 1996 to regulate the employment and conditions of service of building and other construction workers and to provide for their safety, health and welfare measures and for other matters connected therewith or with incidental thereto. In pursuance of the rule-making powers conferred by Sections 40 and 62, the Union Government has framed the Building and Other Construction Workers (Regulation of Employment and Conditions of Service) Rules, 1998. The State of Rajasthan has also framed the Rajasthan Building and Other Construction Workers (Regulation of Employment and Conditions of Service) Rules in 2009 (Rules of 2009). In pursuance of the provisions contained in Section 18, the State government constituted the Rajasthan Building and Other Construction Workers Welfare Board. The Welfare Board has formulated several schemes for beneficiaries registered under the Act. One of the schemes which was formulated on 1 August 2011 is for rendering financial assistance on the occasion of the marriage of a daughter of a beneficiary. The scheme envisages that financial assistance of Rs 51,000 is provided on the occasion of marriage, subject to a limit of assistance on two occasions3. The respondent obtained a Labour Beneficiary Identity Card on 29 December 2011 under the Welfare Board from the appellants after depositing the registration fee of Rs 25 and an annual contribution of Rs 60. The identity card was valid for a period of one year, from 29 December 2011 to 28 December 2012. Seeking to avail financial aid under the scheme, the respondent submitted an application on 6 November 2012 in anticipation of the marriage of his daughter which was to take place on 24 November 2012. Nine months after the application was submitted, the Joint Commissioner of Labour, Jaipur issued an order of rejection covering 327 such applications, finding technical defects as a ground for the decision. The order reads thus:Upon scrutiny of applications received in this office, following points are found to be incomplete like incomplete application form, incompleteness of certificate of the planner in Form B, non-correctness of birth certificate, submission of application after solemnization of marriage and non-submission of affidavit or absence of some information in application and letter was issued reminding to complete the details, and upon non- submission of any answer to that in the office, it is not possible to grant the marriage assistance amount hence in following matters (list of 327 cases is annexed) the application for the marriage assistance are rejected4. The respondent instituted a consumer complaint before the District Consumer Disputes Redressal Forum (District Forum). The complaint was dismissed on 6 October 2016. In appeal, the State Consumer Disputes Redressal Commission (State Commission) set aside the order of the District Forum on 20 August 2019 and directed the appellants to pay an amount of Rs 51,000 to the respondent together with Rs 10,000 as compensation, Rs 5,000 for expenses and interest of 18 per cent per annum from the date of the institution of the complaint. The National Consumer Disputes Redressal Commission (National Commission) by its judgment and order dated 25 October 2019 affirmed the decision, overruling the objection that the respondent is not a consumer within the meaning of the Consumer Protection Act 1986. The National Commission, however, reduced the rate of interest from 18 percent per annum to 9 percent per annum. The present appeal has arisen from the order of the National Commission5. On 27 January 2000, the appellants stated before this Court that the amount which was awarded to the respondent would be paid. The appellants, however, pressed the question of law. Instead of saddling the respondent who is a construction worker with the insuperable burden of defending the proceedings before this Court, we requested Mr PV Dinesh, learned counsel to assist the Court as amicus curiae. We wish to record our appreciation of the able and objective assistance which has been rendered to the Court by Mr PV Dinesh.

Reasoning:
11. The appellants have been entrusted with the solemn duty of enforcing and implementing the provisions of the welfare legislation which has been enacted by Parliament specifically to ameliorate the plight of construction workers. Construction workers belong to the unorganized sector of the economy. Many among them are women. Child labour is rampant. Their vulnerabilities have been attempted to be safeguarded by a law which unfortunately has not been implemented either in letter, or in spirit. Yet, we have in the present case, the spectacle of a statutory welfare board seeking to exempt itself from being held accountable to the remedies provided under the Consumer Protection Act 1986In view of the statutory scheme, the services which are rendered by the Board to the beneficiaries are not services which are provided free of charge so as to constitute an exclusion from the statutory definition contained in Section 2(1)(o) and Section 2(d)(ii) of the Consumer Protection Act 1986. The true test is not whether the amount which has been contributed by the beneficiary is adequate to defray the entire cost of the expenditure envisaged under the scheme. So long as the service which has been rendered is not rendered free of charge, any deficiency of service is amenable to the fora for redressal constituted under the Consumer Protection Act 1986. The Act does not require an enquiry into whether the cost of providing the service is entirely defrayed from the price which is paid for availing of the service. As we have seen from the definition contained in Section 2(1)(d), a consumer includes not only a person who has hired or availed of service but even a beneficiary of a service. The registered workers are clearly beneficiaries of the service provided by the Board in a statutory capacity14. As a matter of interpretation, the provisions contained in the Consumer Protection Act 1986 must be construed in a purposive manner. Parliament has provided a salutary remedy to consumers of both goods and services. Public authorities such as the appellants who have been constituted under an enactment of Parliament are entrusted with a solemn duty of providing welfare services to registered workers. The workers who are registered with the Board make contributions on the basis of which they are entitled to avail of the services provided in terms of the schemes notified by the Board. Public accountability is a significant consideration which underlies the provisions of the Consumer Protection Act 1986. The evolution of jurisprudence in relation to the enactment reflects the need to ensure a sense of public accountability by allowing consumers a redressal in the context of the discharge of non-sovereign functions which are not rendered free of charge. This test is duly met in the present case.