UNION OF INDIA versus P.N. MENON AND ORS.

UNION OF INDIA versus P.N. MENON AND ORS.

Fixation of September 30, 1977 as the cut-off date for treating portion of dearness allowance as 'dearness pay' for computation of pension and gratuity is not arbitrary; option given does not create a discriminatory class; eligibility for encashment of leave and family pension schemes depends on being in service when schemes became operative, and exclusion of pre-cut-off retirees is reasonable and valid under Article 14.

Parties
Appellant: UNION OF INDIA; Respondents: P.N. MENON AND ORS.; Petitioner (w.p. (c) No. 611/91): A.K. Goel
Jurisdiction
India
Judgment Date
17 March 1994
Procedural Posture
Civil Appeal / Appeal From High Court Judgment
Outcome
Appeal allowed
Legal Topics
Article 14, Retirement Benefits, Cut Off Date, Pension, Gratuity, Family Pension Scheme, Leave Encashment
Constitutional Law Service Law Article 14 Retirement Benefits Cut Off Date Pension Gratuity Family Pension Scheme +1 more

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Parties

UNION OF INDIA

Appellant

P.N. MENON AND ORS.

Respondents

A.K. Goel

Petitioner (w.p. (c) No. 611/91)

Procedural Posture

Civil Appeal / Appeal From High Court Judgment

Legal Issues

  1. 1 Whether the fixation of cut-off dates for pension, gratuity, leave encashment, and family pension schemes is arbitrary or violative of Article 14 of the Constitution.
  2. 2 Whether the option given to certain retiring employees regarding calculation of pension and gratuity creates a class within a class and is discriminatory.

Ratio Decidendi

Fixation of September 30, 1977 as the cut-off date for treating portion of dearness allowance as 'dearness pay' for computation of pension and gratuity is not arbitrary; option given does not create a discriminatory class; eligibility for encashment of leave and family pension schemes depends on being in service when schemes became operative, and exclusion of pre-cut-off retirees is reasonable and valid under Article 14.

Court Disposition

Appeal allowed

Orders

  • Judgment of the High Court is set aside.
  • No order as to costs.