Case Note & Summary
The dispute arose from the pay fixation of the appellant, who was appointed as Overseer (Electrical) by the Government of Orissa in 1964 and later promoted to Assistant Engineer (Electrical) in 1981. The appellant challenged the fixation of his pay at Rs. 850 per month, arguing it should have been Rs. 950 as per Rule 74(b) of the Orissa Service Code. The Orissa Administrative Tribunal directed that his pay be fixed according to Rule 74(b), which protects the pay of government employees upon promotion. The State Government contested this order, claiming it contradicted earlier government circulars. The High Court, while acknowledging that pay cannot be reduced on promotion, directed adherence to the April 16, 1971 circular, which effectively reduced the appellant's pay. The Supreme Court found that the circulars could not override the statutory provisions of Rule 74(b) and that the appellant's pay must be fixed according to this rule. The court restored the Tribunal's order and directed the payment of differential salary within two months, emphasizing that statutory rules cannot be altered by executive orders or circulars.
Headnote
A) Service Law - Pay Fixation - Applicability of Rule 74(b) - Orissa Service Code, 1962, Rule 74(b) - The court held that the pay of a government servant on promotion must be fixed according to Rule 74(b), ensuring no reduction in pay upon promotion. The High Court's reliance on circulars that would reduce the appellant's pay was deemed inconsistent with statutory provisions (Paras 8-12).
Issue of Consideration
Whether the pay fixation of the appellant should be done in accordance with the Government Circular dated April 16, 1971 or Rule 74(b) of the Orissa Service Code.
Final Decision
The Supreme Court allowed the appeal, set aside the High Court's order, and restored the Tribunal's order directing the pay fixation according to Rule 74(b) of the Orissa Service Code. The differential salary was to be paid within two months.
Law Points
- Pay fixation
- Rule 74(b) Orissa Service Code
- Government Circulars
- statutory provisions
- promotion pay protection
