State is not expected to deprive lawful benefits of employees; Himachal Pradesh HC grants service benefits to employees from initial date of appointment on contract basis

himachal pradesh high court

Himachal Pradesh High Court: In a petition filed by the petitioners for seeking various reliefs with respect to fixation, protection of pay, grant of grade pay, consequential benefits and seniority, the Division Bench of Vivek Singh Thakur* and Bipin Chander Negi, JJ., opined that in the present case, the petitioners were entitled for counting their services from the date of initial appointment on contract basis for the purpose of seniority and all consequential benefits as initial appointment of the petitioners on contract basis after following a procedure prescribed in the Recruitment and Promotional Rules (‘R&P Rules’). Further, the petitioners should also be entitled for counting the said contract service for granting annual increments and pensionary benefits. The Court stated that all the benefits including seniority should be settled and extended to the petitioners on before 31-12-2023.

Background

In the instant case, the petitioners were appointed as Tehsil Welfare Officer in the Department of Social Justice Empowerment to the Government of Himachal Pradesh in May, 2010 on contractual basis as per terms and conditions of R&P Rules applicable to the recruitment for the said post. On 03-05-2016, on completion of five years of continuous contractual service, services of the petitioners were regularized on 03-05-2016.

The initial recruitment of the petitioners on contractual basis as the Tehsil Welfare Officer in 2010, was made following the procedures prescribed under R&P Rules framed by the department, under the proviso to Article 309 of the Constitution and the process was undertaken by the Himachal Pradesh Public Service Commission. After participating in the open competition with other eligible candidates, the petitioners were included in the select list on merit basis and were recommended by the Commission to the Department for appointment.

The contract appointment of the petitioners was not the back door entry but was made following the R&P Rules framed by the respondents for the direct recruitment of the post. Thus, the petitioner had filed the present petition seeking various reliefs with respect to fixation, protection of pay, grant of grade pay, consequential benefits and arrears thereof and also, grant seniority from 2008.

Analysis, Law, and Decision

The Court opined that there was no justifiable and plausible reason available on record for not offering regular appointment at initial stage but to offer appointment on contractual basis for five years, despite availability of the sanctioned posts appeared that the respondents in order to avoid its liability to pay salary attached to the post and to deprive the employees from lawful service benefits available to them.

The Court opined that the omissions and commissions on the State’s part were arbitrary and such conduct was antithesis to the mandates of Article 14 of the Constitution, which was the responsibility of the State being a model employer and protector of rights of people. State could not be permitted to act as an exploitative master by cleverly devising a method under the garb of provisions of R&P Rules, by providing contractual appointment at initial stage but deprived social benefits. The State was not expected to deprive the employees from their lawful and just benefits emanating from the services rendered by them.

The Court relied on Taj Mohammad v. State of Himachal Pradesh, 2019 SCC OnLine HP 1372, wherein in the identical circumstances, the petitioners were held entitled for seniority from the initial date of appointment on contractual basis with all consequential benefits.

The Court opined that in the present case, the petitioners were entitled for counting their services from the date of initial appointment on contract basis for the purpose of seniority and all consequential benefits as initial appointment of the petitioners on contract basis after following a procedure prescribed in the R&P Rules. Further, the petitioners should also be entitled for counting the said contract service for granting annual increments and pensionary benefits.

The Court stated that all the benefits including seniority should be settled and extended to the petitioners on before 31-12-2023, and payment of arrears of monetary benefits might be disbursed by the respondents in terms and instructions of Finance Department including instructions dated 07-01-2012 and 17-09-2022.

[Chaman Lal v. State of Himachal Pradesh, 2023 SCC OnLine HP 1469, decided on 28-09-2023]

*Judgment authored by- Justice Vivek Singh Thakur


Advocates who appeared in this case :

For the Petitioners: Ajay Kumar Dhiman, Advocate;

For the Respondents: Anup Rattan, Advocate General with Ramakant Sharma, Additional Advocate General

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