HC quashes GHS of SRTC employees, directs reinstatement

Excelsior Correspondent
SRINAGAR, Apr 16: The High Court today quashed the Golden Handshake Scheme (GHS) of State Road Transport Corporation employees and directed the Corporation to forthwith process their case for reinstatement in services and release their post retiral service benefits.
Justice Ali Mohammad Magrey while allowing a batch of petitions quashed the order of Managing Director of Corporation passed in 2008 directing therein the concerned unit Officers to notify and inform the employees of Corporation to accept the Golden Handshake (GHS) in writing within 10 days with a further intimation that in the event of their failure, they shall be dealt with under rules.
“For the foregoing reasons, all these petitions are allowed and the impugned order No. 193/JKSRTC/MD of 2008 dated 21st of October, 2008, is quashed to the extent of the petitioners in all these three petitions”, Justice Magrey concluded.
Court left it open for the SRTC authorities to either take back the amount which they have paid to these employees at the time of GHS from the petitioner-employees after due calculation and identification or adjust the same towards the amount(s) due to the them on their reinstatement in service.
Court directed to forthwith process the case of the petitioner-employees in these petitions for release of service benefits; viz. reinstatement in service or post retiral service benefits, whichever applicable; as per the status they were having in the respondent-Corporation prior to passing of the impugned order dated 21st of October, 2008.
“It is, however, made clear here that the petitioners shall be entitled to all the service emoluments/ benefits under rules notionally as if they have continued in service without any interruption and monetarily from the date they are taken back in service by the respondents/ their actual date(s) of retirement”, read the judgment.
The petitioners had assailed the validity of Order No. 193/JKSRTC/MD of 2008 dated 21st of October, 2008, issued by the Managing Director, JKSRTC, whereby the concerned unit Officers had been directed to notify/ inform the employees of Corporation for their acceptance of GHS, in writing within 10 days with a further intimation that in the event of their failure, they shall be dealt with under rules.
The then Government taking note of the accumulated losses incurred by various Public Sector Undertakings (PSUs), including the respondent-JKSRTC, their perpetual failure to clear statutory liabilities viz. monthly salary of workers, provident fund and gratuity claims of retired employees and total dependence on Government Budgetary support, severely affecting social development of the then State of Jammu and Kashmir, notified the Golden Handshake/ Voluntary Retirement Scheme vide Government Order No. 218-F of 2007 dated 16th of July, 2007.
The scheme had its genesis from the report of the high-level Committee constituted for the purpose by the Government under the chairmanship of the Financial Commissioner (Home). Consequently, the Golden Handshake/ Voluntary Retirement Scheme was stated to have been adopted by the Board of Directors of the respondent Corporation in their meeting held on 24th of September, 2008 and circulated to all employees of the Corporation through their respective Unit Officers/ DODs for communication of their option.
The representing counsel for the petitioners, submitted that the Golden Handshake Scheme/ Voluntary Retirement Scheme laid down certain conditions concerning the employees to be considered eligible for the said scheme from whom the consent was to be invited.
He added that, accordingly, the process involved identification of such employees whose consent was to be invited by issuing notices. However, the Corporation, on pick and choose basis, issued notices even to those employees who were not eligible for Scheme in question.
It has been contended before the court that the aggrieved employees were not invited to give their consent either for voluntary retirement or Golden Handshake, as was provided in the Scheme itself, but they were unilaterally thrown out of service and that the consent, if any, given by any of the petitioners, as claimed by the respondents, has been obtained forcibly.
Counsel further submitted that the introduction of the Voluntary Retirement Scheme/ Golden Handshake Scheme was aimed at winding up the Corporation and not throwing out the employees of the Corporation.
Court said, the action of the respondent-Corporation is alleged to be in violation of the procedure prescribed and same has remained unrebutted with the support of record, therefore, the principle of estoppel cannot be applied to the case of the petitioners.
“Moreover, the petitioners have clearly stated in their petitions that the so-called consents from them were obtained under coercion and duress as well as against the mandate of the scheme itself. This contention of the petitioners has also not been proven wrong with the support of the record, as such, has to be treated as correct”, Court recorded.
Court added that the action of the authorities, being the functionaries of the Government, has to be transparent as such they cannot discriminate between similarly circumstanced persons. The case of the petitioners herein, court added, had to be considered on the same parameters and analogy as was evolved in the cases of the similarly situated persons, who were taken back in service pursuant to orders of this Court.