Case Note & Summary
The petitioners, an association of subordinate service engineers and its members, challenged the order of the Maharashtra Administrative Tribunal dismissing their original application. The petitioners were initially appointed as Junior Engineers in various departments of the State of Maharashtra. By Government Resolution dated 16th April 1984, the government granted gazetted status to degree-holder junior engineers immediately and to diploma-holder and unqualified junior engineers after specified years of service, creating two cadres: Assistant Engineers Grade-II and Sectional Engineers, both in the same pay scale. In 2001, the Assured Career Progression (ACP) Scheme was introduced, replacing the Time-Bound Promotion Scheme, and the Sectional Engineers were granted its benefit after 12 years of service. With the implementation of the Sixth Pay Commission, the Modified Assured Career Progression (MACP) Scheme was introduced by GR dated 1st April 2010, effective from 1st October 2006. Under this scheme, eligible employees were entitled to a second benefit of promotional pay scale. Clause 2(b)(3) of the MACP GR provided that any non-functional or analogous higher pay scale given earlier without increase in duties would be treated as the first benefit. The petitioners were initially granted the second benefit under MACP and their pay was fixed in the promotional scale. However, on 13th June 2016, the State Finance Department issued a circular withdrawing the second benefit, directing refixation of pay and recovery of excess payments, on the ground that the upgradation under the 1984 GR constituted the first benefit under MACP and the subsequent ACP benefit was the second benefit, making the MACP benefit an impermissible third benefit. Aggrieved, the petitioners filed Original Application No. 837 of 2016 before the Maharashtra Administrative Tribunal. They contended that the 1984 upgradation was not a benefit under ACP/MACP and that clause 2(b)(3) did not apply as it was not a non-functional pay structure. The State argued that the upgradation was indeed a non-functional pay structure benefit and must be treated as the first benefit under MACP. The Tribunal accepted the State's contention and dismissed the original application on 2nd February 2017. The petitioners then filed the present writ petition before the Bombay High Court. The High Court heard the matter on 24th January 2019 and reserved judgment. The judgment was pronounced on 6th February 2019. The provided text does not include the court's analysis and final decision.
Headnote
A) Service Law - MACP Scheme - Upgradation as first benefit - Clause 2(b)(3) of GR 01.04.2010 - The dispute pertained to whether the upgradation of Junior Engineers to Sectional Engineers under GR 16.04.1984 could be treated as a non-functional pay structure benefit and thus the first benefit under the MACP scheme - The tribunal had held that the upgradation constituted such a benefit and dismissed the original application. The High Court heard arguments and reserved judgment. (Paras 6-9)
Issue of Consideration
Whether the upgradation of Junior Engineers to Sectional Engineers under Government Resolution dated 16th April 1984 constitutes the first benefit under the Modified Assured Career Progression Scheme (MACP) as per clause 2(b)(3) of the Government Resolution dated 1st April 2010.
Final Decision
The High Court heard the matter and reserved judgment on 24.01.2019; the final decision is not included in the provided text.
Law Points
- Interpretation of Modified Assured Career Progression Scheme (MACP) rules
- treatment of non-functional upgradation as first benefit
- withdrawal of second benefit under MACP due to mistaken grant
- recovery of excess payment
- applicability of clause 2(b)(3) to earlier upgradation


