DENA NATH AND ORS. vs NATIONAL FERTILIZERS LTD. AND ORS.

The Supreme Court held that under the Contract Labour (Regulation and Abolition) Act, 1970, specifically Sections 7 and 12, non-compliance by the principal employer and contractor does not automatically make the contractor's employees direct employees of the principal employer. The Court emphasized that the Act regulates contract labour and allows for its abolition only through a government notification under Section 10, which was not issued in this case. Consequently, the appeals were dismissed, affirming the High Court's ruling that the High Court lacks jurisdiction to decide on the abolition of contract labour, which is a matter for the government.