Case Note & Summary
The dispute arose from the Petitioner's employment as a Manager with Bokaro Steel Limited, which became part of Steel Authority of India (SAIL). The Petitioner applied for voluntary retirement under a scheme introduced on 20.2.1998 and subsequently sought leave from 30.4.1998 to 31.5.1998. However, he left for the United States without waiting for the acceptance of his retirement application. The Respondent company treated him as absent without leave and initiated disciplinary proceedings. The Petitioner challenged the termination of his services in the Kerala High Court, which directed the Union of India to consider his representation. After rejection, he approached the Jharkhand High Court, which dismissed his writ petition. The Petitioner argued that his application for voluntary retirement should be deemed accepted due to lack of response from the Respondent. The Respondent contended that acceptance was at their discretion and highlighted the Petitioner's actions indicating he did not intend to return. The court found no justification to interfere with the High Court's decision, emphasizing that the voluntary retirement scheme did not guarantee acceptance of applications. The court dismissed the Special Leave Petition, concluding that the Petitioner's application was not accepted and his termination was valid.
Headnote
A) Employment Law - Voluntary Retirement Scheme - Deemed Acceptance - Companies have discretion to accept voluntary retirement applications - Companies are not obligated to accept applications for voluntary retirement unless stipulated in the scheme. The court held that the Petitioner's application for voluntary retirement was not accepted, and thus his termination was valid (Paras 12-14).
Issue of Consideration
Whether the Petitioner's application for voluntary retirement was deemed accepted and whether the termination of services was valid.
Final Decision
The Supreme Court dismissed the Special Leave Petition, affirming the validity of the termination of the Petitioner's services under the Voluntary Retirement Scheme, as there was no deemed acceptance of his application.
Law Points
- Voluntary Retirement Scheme
- Disciplinary Proceedings
- Acceptance of Retirement Application
- Jurisdiction of High Court


