HYDERABAD INDS. LTD. vs ESI CORPORATION

The Supreme Court upheld the Andhra Pradesh High Court's dismissal of appeals under Section 82(2) of the Employees State Insurance Act, 1948, affirming that the workers engaged were 'employees' as defined under Section 2(9) of the Act. The Court emphasized the need for proper factual analysis regarding the employment status of workers engaged by contractors and the applicability of the Act. The judgment clarified the roles of principal employers and contractors in determining liability for contributions under the Act.