Supreme Court Quashes Tribunal Order Granting Higher Pay Scale to Surplus Employee Reallotted to Lower Post. Pay Scale Claim Based on Unassigned Posting in SC/ST Commission Rejected as Employee Only Entitled to Scale of Post Actually Held Under Deployment Rules.

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Case Note & Summary

The dispute arose from a service matter concerning the pay scale to which the respondent was entitled after being declared surplus from the Dandakaranya Project and redeployed to the Geological Department. The respondent was originally appointed as a veterinary doctor on a temporary post in the pay scale of Rs.650-1200, later revised to Rs.2000-3500. Upon closure of the Dandakaranya Project, instead of being dismissed, the respondent was adjusted under the Deployment of Surplus Staff Rules. He was initially allotted to the Scheduled Caste and Scheduled Tribe Commission, which had indicated willingness to receive him, but subsequently he was not assigned any duty there. After receiving a letter from the Commission, the Government reallotted him to the Geological Department as an Administrative Officer by offer dated 26.2.1987, carrying the same pay scale of Rs.2000-3500 that he had been drawing. The respondent claimed the scale of Rs.700-1300, subsequently revised to Rs.2200-4000, which was the higher scale of Assistant Director. The Central Administrative Tribunal, Ernakulam, by its judgment dated 4.1.1996 in OA No.462 of 1995, directed grant of that higher scale. The Union of India appealed by special leave. Before the Supreme Court, the appellant contended that the respondent was reallotted to the Geological Department as Administrative Officer with the same pay scale and that the claim for higher scale was untenable. The respondent contended that since he was given posting as Assistant Director in the SC/ST Commission and had agreed to report to join duty, the mere fact he was not assigned any work did not take away his right to the salary attached to that post. The Supreme Court found no force in the respondent's contention, holding that due to the letter from the Commission, the Government reallotted him to the Geological Department as Administrative Officer carrying the same scale of pay drawn by him in the Dandakaranya Project. The Court held that the view taken by the Tribunal was clearly illegal. Accordingly, the appeal was allowed, and the respondent was held entitled to the pay scale of Rs.2000-3500 in the Geological Department as Administrative Officer. No order as to costs was made. The respondent was permitted to make a representation to the Government for non-practising allowance, which the Government was to consider and dispose of according to the Rules.

Headnote

A) Service Law - Pay Scale on Reallotment/Deployment - Entitlement to pay scale of post actually held and not of unassigned higher post - Deployment of Surplus Staff Rules (as applicable) - Respondent initially appointed as veterinary doctor on temporary post, later reallotted as Administrative Officer in Geological Department with same pay scale of Rs.2000-3500; claim for higher scale of Rs.2200-4000 (Assistant Director) based on earlier proposed posting to SC/ST Commission where no duty was assigned was rejected - Held that mere agreement to join a post where no work was assigned does not confer right to salary attached to that post; employee entitled only to pay scale of post actually held upon deployment - Appeal allowed (Paras not specified).

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Issue of Consideration

Whether the respondent, after reallotment to the Geological Department as Administrative Officer with the same pay scale, was entitled to the higher pay scale of Assistant Director based on his earlier allotment to the Scheduled Caste and Scheduled Tribe Commission where he was not assigned any duty

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Final Decision

Appeal allowed. The Tribunal's direction granting higher pay scale was set aside as illegal. The respondent was held entitled to the pay scale of Rs.2000-3500 in the Geological Department as Administrative Officer. No order as to costs. The respondent was permitted to make a representation to the Government for non-practising allowance, to be considered and disposed of according to the Rules.

Law Points

  • An employee deployed to a post is entitled only to the pay scale attached to that post actually held
  • and not to a higher scale of a post merely because he was earlier allotted there but no duty was assigned
  • mere agreement to join a post without actual assignment of work does not create a right to that post's salary
  • on reallotment
  • the employee draws the scale of pay of the post to which actually transferred
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Case Details

1996 LawText (SC) (11) 2

1996-11-04

K. Ramaswamy, G.B. Pattanaik

A. Jain, Indra Sawhney, A.K. Sharma, Mahender Singh, P.R. Malhotra, C.N. Sree Kumar, K.M. Balgopal

Union of India

K.R. Thampi

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Nature of Litigation

Service matter challenging Central Administrative Tribunal order granting higher pay scale to surplus employee reallotted to a different post

Remedy Sought

Union of India sought to set aside the Tribunal's direction granting the respondent the higher pay scale of Rs.2200-4000 and to restrict him to the pay scale of Rs.2000-3500

Filing Reason

The Central Administrative Tribunal, Ernakulam, by order dated 4.1.1996 in OA No.462 of 1995, directed grant of the higher pay scale, which the appellant considered illegal

Previous Decisions

Central Administrative Tribunal, Ernakulam, allowed the respondent's original application and directed grant of pay scale of Rs.700-1300, subsequently revised to Rs.2200-4000

Issues

Whether the respondent was entitled to the pay scale of Rs.2200-4000 (Assistant Director) on the basis of earlier allotment to the Scheduled Caste and Scheduled Tribe Commission where he was not assigned duty, or only to the pay scale of Rs.2000-3500 attached to the Administrative Officer post in the Geological Department

Submissions/Arguments

Appellant (Union of India) argued that the respondent was reallotted to the Geological Department as Administrative Officer with the same pay scale and that the claim for higher scale was not tenable Respondent argued that since he was given posting as Assistant Director in the Scheduled Caste and Scheduled Tribe Commission and had agreed to report to join duty, the mere fact that he was not assigned any work did not take away his right to the salary attached to that post

Ratio Decidendi

An employee deployed to a post is entitled only to the pay scale attached to that post actually held, and not to a higher scale of a post merely because he was earlier allotted there but no duty was assigned. Mere agreement to join a post without actual assignment of work does not create a right to that post's salary.

Judgment Excerpts

Learned counsel for the respondent contends that since he was given posting as Assistant Director in the Schedule Caste and Schedule Tribe Commission and he had agreed to report to join the duty, the mere fact his that he was not assigned any work, does not take away his right to the salary attached to that post. We find no force in this contention. Due to the letter addressed by the Commission, the Government reallotted him to the Geological Department as Administrative Officer carrying the same scale of pay drawn by him in Dandakranya Project. Under these circumstance, the view taken by the Tribunal is clearly illegal.

Procedural History

Respondent filed OA No.462 of 1995 before the Central Administrative Tribunal, Ernakulam. The Tribunal allowed the application on 4.1.1996. Union of India filed special leave petition before the Supreme Court; leave was granted; the appeal was allowed on 4.11.1996.

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