Case Note & Summary
The Supreme Court dealt with three appeals filed by Union of India against orders of the Central Administrative Tribunal concerning the counting of past service for promotion eligibility after transfer on compassionate grounds. The dispute arose because employees who were transferred from one unit to another on compassionate grounds were placed at the bottom of the seniority list in the new unit, and the question was whether their earlier service could be counted as experience for promotion. The Madras Bench of the Tribunal in C.N. Poonappan v. Union of India held that such service counted, while the Bangalore Bench in S. Abdul Khayaum v. Union of India took a contrary view. The Full Bench of the Tribunal later agreed with the Madras Bench, leading to the Union of India's appeals. The relevant service rules required eight years of regular service in the grade for promotion from Lower Division Clerk to Upper Division Clerk and five years of regular service for promotion from Stenographer Grade III to Stenographer Grade II. The Supreme Court reasoned that service rendered at the previous unit is regular service, indistinguishable from service at the new unit. Both periods are considered for leave and retiral benefits. Transfer on compassionate grounds only affects seniority, not the fact that the employee has rendered regular service. Therefore, past service must be counted as experience for promotion eligibility, while promotion itself is determined by seniority at the transferred place. The Court dismissed all appeals with no order as to costs.
Headnote
A) Service Law - Promotion - Counting of Past Service for Eligibility - Service Rules (Not mentioned) - The issue was whether an employee transferred on compassionate grounds and placed at the bottom of the seniority list could count earlier service as experience for promotion. The Supreme Court held that such service is regular service and must be counted for eligibility; transfer only affects seniority, not the experience required for promotion. Held, the appeals by Union of India were dismissed, affirming the Tribunal's view.
Issue of Consideration
Whether an employee transferred on compassionate grounds and placed at the bottom of the seniority list can count his service in the earlier unit as experience for promotion eligibility in the new unit
Final Decision
The appeals were dismissed with no order as to costs. The Supreme Court upheld the Tribunal's view that past service counts as experience for promotion eligibility.
Law Points
- Service rendered in previous unit on compassionate transfer is regular service and counts as experience for promotion eligibility
- transfer on compassionate grounds affects seniority only
- not eligibility for promotion
