Tag: Employer-Employee Dispute

Can’t Withhold Pension for Not Vacating Govt Quarter: Supreme Court Rules for Employee
Supreme Court

Can’t Withhold Pension for Not Vacating Govt Quarter: Supreme Court Rules for Employee

This Supreme Court judgment reaffirms that pension and retiral dues are a statutory right, not a bounty, and cannot be withheld by the employer. The Court held that non-vacation of a government residence is not a valid justification for withholding such dues, as the right to pension is distinct from the right to occupation of service accommodation. Facts Of The Case: The respondent, a state government employee since 1980, superannuated on 30th June 2013, but his pension and retiral dues were not sanctioned or paid. Subsequently, the appellant department passed an order quashing his earlier pay revision and refixing his salary to a lower scale. This refixation was challenged and later withdrawn by the department, but the retiral dues remained unpaid, ostensibly because the respondent had ...
No Pay Cut Without a Chance to Argue: Supreme Court Sides with Ex-Navy Personnel Against Bank
Supreme Court

No Pay Cut Without a Chance to Argue: Supreme Court Sides with Ex-Navy Personnel Against Bank

The Supreme Court held that pay fixation of re-employed ex-servicemen is governed solely by government guidelines, which banks cannot override. It ruled that reducing pay without providing an opportunity of hearing violates principles of natural justice, rendering such an administrative action legally unsustainable. Facts Of The Case: After retiring from the Indian Navy, the appellants were re-employed by Punjab National Bank between 2015-2017 as Single Window Operators. Their initial pay was fixed at a higher amount, with four appellants receiving ₹40,710 and one receiving ₹34,160. However, following a 2018 clarification from the Indian Banks' Association (IBA) that capped the maximum basic pay for ex-servicemen at ₹31,540, the bank issued a circular and subsequently reduced the appella...