The Supreme Court, on Tuesday, decided that government employees are entitled to annual increment even if they retire a day after earning their financial benefit.
According to media reports, the decision was made following an appeal by the state-owned KPTCL. The corporation filed a case, “whether an employee who has earned the annual increment is entitled to the same despite the fact that he has retired on the very next day of earning.”
Moreover, a bench of Justices MR Shah and CT Ravikumar was deciding on the issue. The bench thoroughly examined Rule 40(1) of the Karnataka Electricity Board Employees Service Regulations, 1997. It scrutinized the objective and intent of annual increment grants.
It added, “A government employee is entitled to the benefit of an annual increment if he or she has served a specific amount of time (one year) with excellent conduct and efficiency.”
Karnataka High Court
In addition to that, the (Karnataka) High Court’s Division Bench correctly directed the appellants (KPTCL). It grants the original writ petitioners one annual increment earned on the last day of their service. Moreover, for rendering their services preceding one year from the date of retirement with good behaviour and efficiency.”
Further, just because the government employee retired the next day, how can he be denied the annual increment that he earned. He is entitled to for doing his duties with excellent conduct and efficiency in the prior year?” the bench asked.
The right to the benefit of annual increment is related to the service already rendered.
Earlier, a single-judge bench of the high court decided in favour of the state-owned firm. The decision was overturned by the high court’s division bench. The firm claims that when employees are not in service what’s the matter of giving incentives to them.
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