The court ruled that employees & Union of a Corporation can claim permanent status under Tamil Nadu law if they meet certain conditions.

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....The Supreme Court analyzed the applicability of the Tamil Nadu Industrial Establishments (Conferment of Permanent Status to Workmen) Act, 1981 to a Corporation and its employees' Union. The Court determined that the Corporation qualifies as an industrial establishment if its activities aim at monetary gain, excluding construction-related work. Employees who have served for 480 days or more in 24 months are eligible for permanent status. The Court criticized the High Court for suggesting an industrial dispute despite the Inspector of Labour's order favoring the Union members. The appeal by the Corporation was dismissed, affirming the Act's application to the parties involved.....