OTIS ELEVATOR EMPLOYEE UNION S. REG. AND ORS. versus UNION OF INDIA AND ORS.

OTIS ELEVATOR EMPLOYEE UNION S. REG. AND ORS. versus UNION OF INDIA AND ORS.

The Employees' Provident Fund and Miscellaneous Provisions (Amendment) Act 1996 and Employees' Pension Scheme 1995 are not arbitrary, unreasonable or discriminatory; courts will not interfere with government policies in social welfare schemes unless they are patently arbitrary or discriminatory. The schemes serve a...

Source-derived case information.

Parties
Petitioner: OTIS ELEVATOR EMPLOYEE UNION S. REG. AND ORS.; Respondent: UNION OF INDIA AND ORS.
Jurisdiction
India
Judgment Date
11 November 2003
Procedural Posture
Special Leave Petition (civil) and Connected Writ Petitions/transfer Cases / Final Supreme Court Decision
Outcome
Petitions dismissed; statutory schemes upheld
Legal Topics
Employees Provident Fund, Family Pension Scheme, Judicial Review of Social Welfare Legislation, Delegated Legislation, Exemption From Statutory Schemes
Labour Law Social Welfare Law Constitutional Law Employees Provident Fund Family Pension Scheme Judicial Review of Social Welfare Legislation Delegated Legislation Exemption From Statutory Schemes

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Parties

OTIS ELEVATOR EMPLOYEE UNION S. REG. AND ORS.

Petitioner

UNION OF INDIA AND ORS.

Respondent

Procedural Posture

Special Leave Petition (civil) and Connected Writ Petitions/transfer Cases / Final Supreme Court Decision

  1. 1 Whether the Employees' Provident Fund and Miscellaneous Provisions (Amendment) Act 1996 and Employees' Pension Scheme 1995 are arbitrary, unreasonable, or discriminatory under Article 14 of the Constitution
  2. 2 Whether diversion of employer's share from Provident Fund to Pension Fund is prejudicial to employees
  3. 3 Whether courts can interfere with government policy in framing social welfare schemes

Ratio Decidendi

The Employees' Provident Fund and Miscellaneous Provisions (Amendment) Act 1996 and Employees' Pension Scheme 1995 are not arbitrary, unreasonable or discriminatory; courts will not interfere with government policies in social welfare schemes unless they are patently arbitrary or discriminatory. The schemes serve a social welfare purpose and provide reasonable guidelines and safeguards. Claims for exemption must be properly considered by authorities according to statutory criteria.

Court Disposition

Petitions dismissed; statutory schemes upheld

Orders

  • Validity of Employees' Provident Fund and Miscellaneous Provisions (Amendment) Act 1996 and Employees' Pension Scheme 1995 is upheld.
  • All writ petitions and transfer cases challenging validity of the scheme are dismissed.