Punjab and Haryana High Court to evaluate if state can restrict employment on domicile basis

Chandigarh, February 4

The Punjab and Haryana High Court has made it clear that the core issue for adjudication before the court was whether a state could restrict employment even in the private sector on the basis of domicile. The assertion came in the detailed order staying the implementation of the Haryana State Employment of Local Candidates Act, 2020, providing 75 per cent reservation in Haryana industries for the domiciles of the state.

In the order released today, the Bench of Justice Ajay Tewari and Justice Pankaj Jain asserted that the counsel for the petitioners prayed for interim relief. On the question of stay, Solicitor-General of India Tushar Mehta candidly conceded that the writ petitions involved substantial questions, but vehemently opposed the prayer for interim relief.

His first argument was that there was always a presumption of constitutionality of a statutory provision. Though the writ court had ample jurisdiction to ultimately hold that a statutory provision was unconstitutional, interim orders should not be granted. His second argument was that the insinuation that this law would affect even existing employees was incorrect. The law was prospective and saved all the existing staff.

The third argument was that about 38,000 registered domicile workers and about 900 establishments had registered under the Act. This showed that only a handful of people were opposed to the Act’s implementation. “We have considered these arguments but the core issue is whether any state can restrict employment (even in the private sector) on the basis of domicile,” the Bench observed.

Little resistance

38,000 registered domicile workers and 900 establishments have registered under the Act. This shows that only a handful of people are opposed to the Act’s implementation. — Tushar Mehta, Solicitor-General of India