No Arrears for RBI Pension Opt-Ins: Supreme Court Reinforces Policy Decisions on Pension Benefits
The Supreme Court of India upheld the Reserve Bank of India's (RBI) decision to fix a cut-off date (July 1, 2020) for pensionary benefits for employees switching from the Contributory Provident Fund (CPF) scheme, rejecting the claim for retrospective arrears from the date of retirement. The Court emphasized that financial implications and administrative exigencies are valid considerations for policy decisions and that employees cannot selectively accept beneficial terms while rejecting unfavorable ones.
Facts Of The Case:
M.T. Mani, Respondent No. 1, joined the Reserve Bank of India (RBI) in 1981 and was a member of the Contributory Provident Fund (CPF) Scheme. He retired as a Manager on November 30, 2014, having received four prior opportunities between 1990 and 2000 to switch to the Pe...