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CGDA Office Memorandum on Periodic Review of Central Government Employees

Controller General of Defence Accounts
Ulan Batar Road, Palam, Delhi Cantt- 110010

No. AN/ Estt-Others)/11206/SAPR/FR-56(J)/2019

Dt. 09.10.2020

To,

PCA(Fys)PCsDA/CsDA
(Through CGDA Website)

Subject: Periodic Review of Central Government Employees for strengthening of administration under Fundamental Rule (FR 56U)/(i) and Rule 48 of CCS (Pension) Rules 1972.

In continuation of this HQrs office circular bearing No. even dated 02.03.2020 regarding instructions exist on the need for periodical review of performance of Government servants with a view to ascertain whether the Government servant should be retained in service or retired from service in the public interest. In this connection relevant orders were enclosed for guidance and taking an appropriate action with reference to orders on the subject.

In this regard, a copy of DoPT letter No. 25013/03/2019-Estt .A-IV dated 28/08/2020 on the above subject is forwarded herewith for information, guidance and necessary action please.

(Rajeev Ranjan Kumar)
Dy.CGDA (AN)

Signed Copy

Special Festival Advance Scheme for Central Government Employees – FINMIN ORDER

F.No.12(2)/2020-EII(A)
Ministry of Finance
Department of Expenditure
EII(A) Branch

North Block, New Delhi
12th October, 2020

Office Memorandum

Sub : Grant of Advance – Special Festival Package to Government Servants.

The undersigned is directed to say that with a view to enable Government servants to meet expenses relating to festivals and to encourage spending thereby giving a boost to economic activities, in pursuance of decision taken by the Government, it has been decided that a special festival package of advance will be accorded to all Government servants for any important festivals upto 31st March, 2021.

2. A Head of Office may sanction this special package on the eve of any important festival to any Central Government Servant under his administrative control. The term “important festival” is clarified as such festivals or one of such festivals as Head of Department may declare in respect of establishments under his/her administrative control.

3. The amount of the package is Rs. 10,000/- to be paid as advance to Government servant. This amount is interest free. The amount would be released through pre-loaded Rupay Card from SBI. DDOs, on receipt of application from Government servants for this package may process and acquire the prepaid cards from SBI for issue among the applicants. A detailed SOP for DDOs for obtaining these cards would be separately issued.

Also ReadLTC Cash Voucher Scheme for Central Government Employees – FINMIN Order

4. The festival package may be granted to a Government servant if he/she is on Government duty or on leave excluding leave preparatory to retirement, on the date on which the advance is disbursed. The amount paid under this package is recoverable in not more than ten (10) instalments.

5. These orders will take effect from the date of issuance of this Office Memorandum and will be in force during the current financial year till 31 March, 2021.

6. All the Ministries/Departments are requested to bring the contents of this OM to the notice of all its Attached and Subordinate offices for their information /necessary action.

Hindi version of this Office Memorandum will follow.

(B.K.Manthan)
Deputy Secretary to the Govt. of India

Signed Copy

LTC Cash Voucher Scheme for Central Government Employees – FINMIN Order

F.No.12(2)/2020-EII(A)
Ministry of Finance
Department of Expenditure
EN(A) Branch

North Block, New Delhi
12th October, 2020

Office Memorandum

Sub : Special cash package equivalent in lieu of Leave Travel Concession Fare for Central Government Employees during the Block 2018-21.

In view of Covid-19 pandemic and resultant nationwide lockdown as well as disruption of transport and hospitality sector, as also the need for observing social distancing, a number of Central Government employees are not in a position to avail themselves of LTC for travel to any place in India or their Hometowns in the current Block of 2018-21.

2. With a view to compensate and incentivise consumption by Central Government employees thereby giving a boost to consumption expenditure, it has been decided that cash equivalent of LTC, comprising Leave Encashment and LTC fare of the entitled LTC may be paid by way of reimbursement, if an employee opts for this in lieu of one LTC in the Block of 2018-21 subject to the following conditions:-

a) The employee spends the money of a larger sum than the entitlement on account of LTC on actual expenditure.

b) Cash equivalent of full leave encashment will be allowed, provided the employee spends an equal sum. This will be counted towards the number of leave encashment on LTC available to an employee.

c) The deemed LTC fare for this purpose is given below :-

Category of employees Deemed LTC fare per person
(Round Trip)
Employees who are entitled to business class of airfare Rs. 36,000
Employees who are entitled to economy class of airfare Rs. 20,000
Employees who are entitled to Rail fare of any class Rs. 6,000

d) The cash equivalent may be allowed if the employee spends a sum 3 times of the value of the fare given above.

e) The amount both on account of leave encashment and fare shall be admissible if the employee spends (i) an amount equal to the value of leave encashment and; (ii) an amount 3 times of the cash equivalent of deemed fare, as given above on purchase of such items / availing of such services which carry a GST rate of not less than 12% from GST registered vendors / service providers through digital mode and obtains a voucher indicating the GST number and the amount of GST paid.

Also ReadSpecial Festival Advance Scheme – Nirmala Sitharaman announces for Government Employees

f) The admissible payment shall be restricted to the full value of the package [leave encashment as admissible for LTC and deemed fare] or depending upon the spending as per example given at Annexure-A.

g) While TDS is applicable in the case of leave encashment, since the cash reimbursement of LTC fare is in lieu of deemed actual travel, the same shall be allowed exemption on the lines of existing income-tax exemption available to LTC fare. The legislative amendment to the provisions of the Income-Tax Act, 1961 for this purpose shall be proposed in the due course. Hence, TDS shall not be required to be deducted on the reimbursement of deemed LTC fare.

Leave Encashment Calculator – Earned Leave & Half Pay Leave

3. Head of the Departments / DDOs may make reimbursement under this package as per the details given above on receipt of invoices of purchases made / services availed during the period post the issuance of this order from the employees who are desirous to avail this package. It may be noted that in order to avail this package an employee should opt for both leave encashment and LTC fare.

4. An amount upto 100% of leave encashment and 50% of the value of deemed fare may be paid as advance into the bank account of the employee which shall be settled based on production of receipts towards purchase and availing of goods and services as given in Para 2(e). The claims under this package (with or without advance) are to be made and settled within the current financial year. Non-utilization / under-utilization of advance is to be accounted for by the DDOs in accordance with the extant provisions relating to LTC advance i.e. immediate recovery of full advance in the case of non-utilisation and recovery of unutilized portion of the advance with penal interest.

5. These orders will take effect from the date of issuance of this Office Memorandum and will be in force during the current financial year till 31st March, 2021.

6. All the Ministries/Departments are requested to bring the contents of this OM to the notice of all its Attached and Subordinate offices for their information.

Hindi version of this Office Memorandum will follow.

(B.K.Manthan)
Deputy Secretary to the Govt. of India

Signed Copy

Special Festival Advance Scheme – Nirmala Sitharaman announces for Government Employees

Special Festival Advance Scheme which was meant for non-gazetted government employees is being revived as a one-time measure, for gazetted employees too. All central govt. employees can now get interest-free advance of Rs. 10,000, in the form of a prepaid RuPay Card, to be spent by March 31, 2021.

The one-time disbursement of Special Festival Advance Scheme is expected to amount to Rs. 4,000 crore; if given by all state governments, another Rs. 8,000 crore is expected to be disbursed. Employees can spend this on any festival.

Also Read : LTC Cash Voucher Scheme – Nirmala Sitharaman announces for Government Employees

Special Festival Advance Scheme

  • Festival advance along with other similar advances were abolished on the recommendations of 7th Pay Commission. It is proposed to restore the Festival Advance to Government employees for festivals up to 31.3.2021
  • Interest-free advance of Rs. 10,000/- to be recoverable in maximum 10 instalments
  • Rs. 4,000 crore expected to be disbursed
    • If given by all State Governments, another Rs. 8000 crores is likely to be disbursed; assuming 50% adoption by states estimate is Rs. 4000 crores
    • No permanent increase in government expenditure—advance will be recovered
  • Additional consumer demand generated will be Rs. 8,000 crore.
  1. Employees will get pre-loaded Rupay Card of the advance value.
  2. Government will bear Bank charges in this regard
  3. Ensures digital mode of payment, resulting in tax revenue and encouraging honest businesses

LTC Cash Voucher Scheme – Nirmala Sitharaman announces for Government Employees

LTC Cash Voucher Scheme

Under LTC Cash Voucher Scheme, government employees can opt to receive cash amounting to leave encashment + 3 times ticket fare, to buy something of their choice. The items bought should be those attracting GST of 12% or more. Only digital transactions are allowed, GST Invoice to be produced.

The biggest incentive for employees to avail the LTC Cash Voucher Scheme is that in a four-year block ending in 2021, the LTC not availed will lapse, instead, this will encourage employees to avail of this facility to buy goods which can help their families.

Estimated cost of LTC Cash Voucher Scheme: For Central govt. : ₹ 5,675 crore; for PSBs & PSUs: ₹ 1,900 crore.

Also ReadLTC Cash Vouchers Scheme & Special Festival Advance Scheme for Government Employees – Finance Minister Announces Schemes

Tax concessions for LTC tickets available for state govt. & private sector too, if they choose to give such facility, these employees too can benefit

Indications are that savings of govt. and organized sector employees have increased, we want to incentivize such people to boost demand for the benefit of the less fortunate. On a conservative basis, we expect the LTC Cash Voucher Scheme to generate additional consumer demand in the range of ₹ 28,000 crore.

– Union Finance Minister Smt. Nirmala Sitharaman

LTC Cash Voucher Scheme

Leave Travel Concession (LTC) Cash Voucher scheme

  • Central Government Employees get LTC in a block of 4 years (one to anywhere in India & one hometown or two for home town)
  • Air or rail fare, as per pay scale / entitlement, is reimbursed and in addition, Leave encashment of 10 days (pay + DA) is paid
  • Due to Covid-19, employees are not in a position to avail of LTC in the current block of 2018-21

Also ReadLTC Cash Voucher Scheme for Central Government Employees – FINMIN Order

In lieu of one LTC during 2018-21, cash payment will be made :

  • Full payment on Leave encahment and
  • Payment of fare in 3 flat-rate slabs depending on class of entitlement
  • Fare payment will be tax free

An Employee, opting for this scheme, will be required to

  • Buy goods / services worth 3 times the fare and 1 time the leave encashment
  • Do so before 31st March 2021

Money must be spent on

  • goods attracting GST of 12% or more from a GST registered vendor
  • throught digital mode
  • GST invoice will be required to be produced

Financial Boost to the Economy

  • If Central Government employees opt for it, cost will be around Rs.5,675 crore. Employees of PSBs and PSUs will also be allowed this facility and the estimated cost for them will be Rs. 1,900 crore.
  • The tax concession will be allowed for State Government/Private sector too, for employees who currently are entitled to LTC, subject to following the guidelines of the Central Government scheme
  • Demand infusion in the economy by Central Government and Central PSE/PSB employees is estimated to be Rs. 19,000 crore approx. Demand infusion by State Government employees will be Rs. 9,000 crore.
  • Additional consumer demand generated will be Rs. 28,000 crore

LTC Cash Vouchers Scheme & Special Festival Advance Scheme for Government Employees – Finance Minister Announces Schemes

Finance Minister Nirmala Sitharaman today addressed the media on key economic issues. The following schemes are announced for Central Government Employees in this meeting :

  • The interest-free advance of Rs 10,000 under the Special Festival Advance Scheme to be paid back in 10 instalments.
  • The one-time disbursement of Special Festival Advance Scheme is expected to amount to ₹4,000 crore; if given by all state governments, another ₹8,000 crores is expected to be disbursed. Employees can spend this on any festival.
  • Special Festival Advance Scheme for non-gazetted employees is being revived as a one-time measure, for gazetted employees too. All central govt. employees can now get an interest-free advance of Rs.10,000, in the form of a prepaid RuPay Card, to be spent by March 31, 2021
  • Special Festival Advance Scheme is being revived as a one-time measure. All central govt. employees can now get interest-free advance of Rs. 10,000, recoverable in maximum 10 installments: Finance Minister
  • Employees will get pre-loaded Rupay Card of the advance value
  • Under LTC Cash Voucher Scheme, government employees can opt to receive cash amounting to leave encashment plus 3 times the ticket fare, to buy items that attract GST of 12% or more. Only digital transactions allowed, GST invoice to be produced, said Sitharaman.

Latest update on LTC Cash Voucher Scheme – Click here

Latest update on Special Festival Advance Scheme – Click here

Computation of gratuity and leave encashment – NCJCM writes to DoPT

NCJCM

No.NC-JCM-2020/DOPT (DA)

October 08, 2020

The Secretary,
Government of India,
Department of Personnel & Training,
North Block,
New Delhi

Dear Sir,

Sub : Computation of gratuity and leave encashment in the case of persons retired/to be retired after 1.1.2020 Consequent upon the denial of DA/DR

We invite your kind attention to the orders in F. No. 1/1/2020-E II (B) dated 23.04.2020 wherein the decision of the Government to deny the dearness allowance deafness relief to the employees and pensioners respectively has been conveyed. We had written two letters in the matter on 23rd April 2020 and on 26th May 2020. The undersigned had taken up the issue also with the Cabinet Secretary. when he assured of an informal discussion in the matter with the Staff Side. However. no talks have taken place thereafter. It is not for the first time that the Government is by pausing the National Council. Staff Side. On the last occasion. when the National Council met. we had pointed out the inordinate delay in convening the meetings. We are constrained to believe that the Government wanted the negotiating body to have a burial. I am however duty bound to convey the growing resentment of the employees over this unprecedented decision. As the Government has decided to deny the dearness relief to the pensioners. the pensioner community is in great financial stress as many of them are compelled to spend exorbitant amount for the treatment of Covid.

It has been brought to our notice that the denial of DA and freezing the same for Iced 18 months from 1.01.2020 to 1.07.2021 has created a piquant situation for the lower level administrative functionaries to correctly compute the retirement benefits in the case of those civil servants who are retiring after the date of issue of the above cited O.M. The definition of “emoluments” for the purpose of computing the gratuity as also the leave salary (of the accumulated leave) includes Dearness allowance as admissible and not as paid or payable to the Government servant. Without exception. every administrative Department has computed the entitlement on this account only with reference to the Basic pay Dearness allowance paid or received by the concerned individual i.e 17%, Either 21% w.e.f 1-1-2020 or figure increase in percentage are not taken into account while calculating gratuity and leave salary. Since the order of the Finance Ministry clearly stipulates that the Dearness Allowance admissible to the Government servants would be restored on 1.07.2021. the computation of Gratuity and leave salary without taking into account the DA as admissible to the individual Government servant is incorrect. Annexed to this letter is an example as to how the individual loses out if the present faulty, computation procedure is followed It could be seen from the given example, the concerned Government servant will lose a staggering sum of Rs. 57116 because of this faulty computation.

The Government is required to pass the orders as and when the DA has become due, Freezing it for certain period of time or denying it altogether for a specified duration are altogether different issues. Our objection to the adopted policy has already been conveyed to the Government. The faulty computation of Gratuity and Leave salary is not even intended by the order issued by the Government on 23rd April, 2020.

We, therefore. request you to kindly get the matter examined and ensure that

(i) Orders are issued as and when the Dearness allowance has to be revised on the b.is of the cost of living index;

(ii) Direct the administering Ministries to compute the emoluments of persons who are to retire during the period of freezing, taking the correct amount of DA as admissible to receive and not what has been paid to him for computing gratuity and leave salary

(iii) The orders revising the rate of DA DR are to be issued in April, 2020, before September, 2020 and again in April, 2021.

Thanking you,

Yours faithfully,

Shiva Copal Mishra
Secretary

gratuity

Extension of timelines for reporting / reviewing of part period of APAR – DOPT Latest Order

No.21011/02/2015-Est(A-ll)-Part II
Government of India
Ministry of Personnel, Public Grievances and Pensions
Department of Personnel & Training

North Block, New Delhi
9th October, 2020

OFFICE MEMORANDUM

Subject : Extension of timelines for reporting / reviewing of part period of Annual Performance Assessment Report (APAR) of Group ‘A’, ‘B’ and ‘C’ officer of Central Civil Services during the current the year 2020-21, by officers retiring from 30.06.2020 to 31.10.2020.

The undersigned is directed to invite attention to Department of Personnel & A.R. O.M. No. 21011/1/77-Estt.(A) dated 30.01.1978 and this Department’s O.M. number 21011/1/93-Estt.(A) dated 14.01.1993 regarding recording of remarks by reporting and reviewing authority within one month after retirement (copies enclosed).

Also Read : Extension of timelines for recording of APAR 2019-20 for Group ‘A’, ‘B’ and ‘C’ officers of CSS/CSSS/CSCS through SPARROW portal

2. Due to unforeseen situation caused by COVID 19 pandemic, practical difficulty is being faced in recording the part period of APAR during the current year 2020-21 by the reporting / reviewing authority retiring on or after 30.06.2020. Accordingly, it has been decided, with the approval of the competent authority, that the reporting / reviewing authorities retiring from Government service during the period from 30.06.2020 to 31.10.2020, shall be allowed to record part period of the APAR for the current year 2020-21 of Group ‘A’, ‘B’ and ‘C’ officers of Central Civil Services, within 31.12.2020, in relaxation of the extant timelines for reporting and reviewing within one month after retirement. However, for reporting / reviewing authority retiring in November, 2020 or thereafter, the extant provisions as contained in O.Ms dated 30.01.1978 and 14.01.1993, mentioned at para 1 above, shall continue to be applicable.

3. The above relaxation is a one-time measure only.

Encl: (2)

(Kabindra Joshi)
Director

Signed Copy

Calculation of monthly contribution towards cost of Pension payable during foreign service – DOPT

No. 2/9/2017- Estt.(Pay-II)
Government of India
Ministry of Personnel, Public Grievances & Pensions
Department of Personnel & Training

North Block, New Delhi
Dated, 09th October, 2020.

OFFICE MEMORANDUM

Sub : Calculation of monthly contribution towards cost of Pension payable during foreign service – Reg.

The undersigned is directed to invite reference to this Department’s OM No. 2/34/2008-Estt (Pay-Il) dated 19th November, 2009 on the above subject and to say that according to this OM w.e.f. 01.01.2006, the pension contribution payable in respect of a Government employee during the active period of his foreign service shall be based on the existing basic pay (Pay in the Pay Band plus Grade Pay) of the post held by the Government servant at the time of proceeding on foreign service, and in case he receives Proforma promotion/financial up-gradation while on foreign service, on the basic pay (Pay in the Pay Band plus Grade Pay) fixed on such promotion/financial up-gradation.

2. Consequent upon implementation of the recommendations of the 7th CPC, the matter of issuing revised instructions on the above subject has been engaging the attention of the Government of India. The President is now pleased to decide that pension contribution payable in respect of a Government servant during the active period of his foreign service shall be based on the basic pay in the level (in Pay Matrix) of the post held by him/her at the time of proceeding on foreign service; and in case of grant of Proforma promotion/financial up-gradation while on foreign service, the same shall be based on basic pay in the Level (in Pay Matrix) fixed on such Proforma promotion / financial up-gradation.

Also ReadRegularisation of qualified workers appointed against sanctioned posts – DOPT

3. In respect of Government employees covered by the NPS, during the active period of foreign service w.e.f. 01.01.2016, it has been decided to fix the monthly Pension contribution @ 24% of basic pay in the level (in Pay Matrix) of the post held by him/her at the time of proceeding on foreign service plus DA admissible on such basic pay (i.e. employee’s contribution @ 10%, employer’s contribution @ 10% and contribution by employer for gratuity @ 4%). However, consequent to revision of Government’s contribution for NPS from 10 % to 14% w.e.f. 01.04.20 19 vide Department of Financial Services Notification dated 31.01.2019, the monthly Pension contribution for Government employees covered by the NPS w.e.f. 01.04.2019 will be 28% of basic pay in the level (in Pay Matrix) plus DA of the post held by him/her, which will include employee’s contribution @ 10%, employer’s contribution @ 14%, and contribution by employer for gratuity @ 4%. In case of grant of Proforma promotion/financial up-gradation while on foreign service, the same shall be based on basic pay in the Level (in Pay Matrix) fixed on such Proforma promotion/financial up-gradation.

4. In respect of the employees covered under the Old Defined Benefit Pension Scheme, it has been decided to fix their rates of monthly contribution of pension during the active period of foreign service as 14% of basic pay in the level (in Pay Matrix) of the post held by him/her at the time of proceeding on foreign service plus DA admissible on such basic pay during foreign service w.e.f. 01.01.2016. The monthly contribution of pension during the active period of foreign service w.e.f. 01.04.2019 will be 18% of the basic pay in Pay Matrix of the post held by the officer at the time of proceeding on foreign service plus DA admissible on such basic pay. In case of grant of Proforma promotion/financial up-gradation while on foreign service, the same shall be based on basic pay in the Level (in Pay Matrix) fixed on such Proforma promotion/financial up-gradation.

5. It has also been decided that these pension contributions would be in addition to the leave salary contributions for the period of foreign service, in respect of both NPS employees and the employees under Old Defined Benefit Pension Scheme.

6. In case of employees covered under NPS, during the period of active foreign service, the borrowing organisation shall make its part of contribution mandatorily to the NPS Account of the employee.

7. This OM will be effective from 01.01.2016. In respect of persons who are already on foreign service as on 01.01.2016, the pension contribution will be calculated at the above rates on the revised pay as per 7th CPC from the date which they opt to come over to the revised pay structure after implementation of 7th CPC recommendations, in their parent cadres. For the earlier period, the pension contributions will be as per extant orders i.e. the order in force during period prior to 01.01.20 16 from time to time.

8. The modalities! mechanism of payment of pension contribution during the active period of foreign service in respect of NPS subscribers will be issued separately.

9. In their application to the persons belonging to Indian Audit and Accounts Department, these orders are issued under Article 148(5) of the Constitution and after consultation with the Comptroller & Auditor General of India.

10. Hindi version will follow.

(Rajeev Bahree)
Under Secretary to the Government of India

Signed Copy

Regularisation of qualified workers appointed against sanctioned posts – DOPT

No.49014/7/2020-Estt.(C)
Government of India
Ministry of Personnel, PG & Pensions
Department of Personnel & Training

North Block, New Delhi
Dated: 7th October, 2020

OFFICE MEMORANDUM

Subject : Regularisation of qualified workers appointed against sanctioned posts – Uma Devi judgement – facts/clarification – reg.

The undersigned is directed to say that the instructions for Regularisation of qualified workers appointed against sanctioned posts in the light of Honible Supreme Court’s Judgement dated 10.04.2006 in case of Uma Devi were issued vide DoPT’s O.M. No. 49019/1/2006-Estt(C) dated 11.12.2006. The above instructions state that:

“in the case of Secretary State of Karnataka and Ors. Vs. Uma Devi it was directed that any public appointment has to be in terms of the Constitutional scheme. However, the Supreme Court in para 44 of the aforesaid judgement directed that the Union of India, the State Governments and their instrumentalities should take steps to regularize as a one time measure the services of such irregularly appointed, who are duly qualified persons in terms of the statutory recruitment rules for the post and who have worked for ten years or more in duly sanctioned posts but not under cover of orders of courts or tribunals.

Accordingly a copy of the above judgement is forwarded to all Ministries/Departments for implementation of the aforesaid direction of the Supreme Court.”

2. In this regard, various cases have been received in this department seeking clarifications regarding implementation of the above judgement. Therefore, it has been decided that further important aspects of the judgement dated 10.04.2006 may be enunciated for the purpose of clarity of the judgement. These important points as quoted from the judgement are reproduced below:

i. Equality of opportunity is the hallmark for public employment and it is in terms of the Constitutional scheme only (Para 1).

ii. The filling of vacancies cannot be done in a haphazard manner or based on patronage or other considerations (Para 2).

iii. The State is meant to be a model employer and can make appointments only in accordance with the rules framed under Article 309 of the Constitution (Para 5).

iv. Regularization is not and cannot be a mode of recruitment by any State within the meaning of Article 12 of the Constitution of India, or any body or authority governed by a statutory Act or the Rules framed thereunder. Regularization, furthermore, cannot give permanence to an employee whose services are ad hoc in nature. The fact that some persons had been working for a long time would not mean that they had acquired a right for regularization. (Para 27).

v. Any regular appointment made on a post under the State or Union without issuing advertisement inviting applications from eligible candidates and without holding a proper selection where all eligible candidates get a fair chance to compete would violate the guarantee enshrined under Article 16 of the Constitution (Para 30).

vi. If it is a contractual appointment, the appointment comes to an end at the end of the contract (Para 34).

vii. Regularization, if any already made, but not sub judice, need not be reopened based on this judgment, but there should be no further by-passing of the Constitutional requirement and regularizing or making permanent, those not duly appointed as per the Constitutional scheme (Para 44).

viii. In cases relating to service in the commercial taxes department, the High Court has directed that those engaged on daily wages, be paid wages equal to the salary and allowances that are being paid to the regular employees of their cadre in government service, with effect from the dates from which they were respectively appointed. The objection taken was to the direction for payment from the dates of engagement. We find that the High Court had clearly gone wrong in directing that these employees be paid salary equal to the salary and allowances that are being paid to the regular employees of their cadre in government service, with effect from the dates from which they were respectively engaged or appointed. It was not open to the High Court to impose such an obligation on the State when the very question before the High Court in the case was whether these employees were entitled to have equal pay for equal work so called and were entitled to any other benefit. They had also been engaged in the teeth of directions not to do so. We are, therefore, of the view that, at best, the Division Bench of the High Court should have directed that wages equal to the salary that are being paid to regular employees be paid to these daily wage employees with effect from the date of its judgment. Hence, that part of the direction of the Division Bench is modified and it is directed that these daily wage earners be paid wages equal to the salary at the lowest grade of employees of their cadre in the Commercial Taxes Department in government service, from the date of the judgment of the Division Bench of the High Court. Since, they are only daily wage earners, there would be no question of other allowances being paid to them (Para 46).

3. Additionally, it is also stated that vide the judgement of State of Karnataka Vs. M.L Kesari dated 03.08.2010, the Hon’ble Supreme Court had clarified some aspects of the Uma Devi judgement which are pertinent for proper understanding of the said judgement dated 10.04.2006. These aspects brought out in the M.L. Kesari judgement are reproduced as under:

i. The employee concerned should have worked for 10 years or more in duly sanctioned post without the benefit or protection of the interim order of any court or tribunal. In other words, the State Government or its instrumentality should have employed the employee and continued him in service voluntarily and continuously for more than ten years.

ii. The appointment of such employee should not be illegal, even if irregular. Where the appointments are not made or continued against sanctioned posts or where the persons appointed do not possess the prescribed minimum qualifications, the appointments will be considered to be illegal. But where the person employed possessed the prescribed qualifications and was working against sanctioned posts, but had been selected without undergoing the process of open competitive selection, such appointments are considered to be irregular.

iii. The employees who were entitled to be considered in terms of Para 53 of the decision in Umadevi, will not lose their right to be considered for regularization, merely because the one-time exercise was completed without considering their cases, or because the six month period mentioned in para 44 of Umadevi has expired. The one-time exercise should consider all daily-wage/adhoc1those employees who had put in 10 years of continuous service as on 10.4.2006 without availing the protection of any interim orders of courts or tribunals. If any employer had held the one-time exercise in terms of para 44 of Umadevi, but did not consider the cases of some employees who were entitled to the benefit of para 44 of Umadevi, the employer concerned should consider their cases also, as a continuation of the one-time exercise. The one time exercise will be concluded only when all the employees who are entitled to be considered in terms of Para 44 of Umadevi, are so considered.

4. It is also clarified that regularisation under Uma Devi judgement was only a one time exercise.

5. It is also emphasized that all concerned administrative authorities should take steps to effectively defend the Court cases on the basis of principles in the Uma Devi judgement and instructions of DoPT within the limitation period without giving any scope to the Courts to decide the cases against the Government on grounds of delay in filing its reply/appeal. Any laxity in the matter to comply with these instructions leading to adverse orders of the Courts shall be viewed seriously inviting disciplinary action in the matter.

(Umesh Kumar Bhatia)
Deputy Secretary to the Government of India

Signed Copy

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