The
appointment of CMD is on contract basis for a specific period.CMD can be
appointed from the employees as well as from outside the industry. In order to
count his service during the period of engagement as CMD for terminal benefits,
if he is an employee prior to his appointment as CMD, amendment to GIC employees
Pension scheme 1995 vide gazette notification S.O 475(E) dated 3rd July
1996 is resorted were by a proviso to clause k of Para to was inserted to
include CMD in the definition of employee. Thus CMD is made one among the equal (among all the employees)
Thus by this amendment,
he is again brought to the status of an employee during his tennure as CMD
& he is made one among the equals.
A gain in the year
of 2001 by a subsequent amendment to GIC Pension scheme 1995, Para 54B is
inserted vide S.O. 775(E) dated 13th Aug 2001 where in all amendment
to CCS pension rules 1972 from time to time was made applicable to CMD only
with retrospective effect from 01/01/1996 without allowing the same to all
other employees. This is arbitrary, unilateral & against the spirit of
article 14 of the constitution of India.
Thus this amendment
with retrospective effect has created unequal among equals & should either
be made applicable to all or should be struck down.
Amendment is made in CCS pension rules 1972 after every
periodic Pay & Pension revision due to the implementation of Central Pay
commissions by the central govt. GIC Pension rule 1995 was drafted according to
the CCS Pension rules as updated up to 4th Pay commission. At
present CCS Pension rules stands amended up to 7th Pay commission, Consequently
GIC pension rule 1972 has been reduced to an out dated scheme. Provisions in
the Para 55 of GIC Pension scheme 1995 have not been invoked in general to
incorporate the basic changes of CCS Pension rules in GIC Pension scheme. The
major basic changes in the incorporated in the CCS Pension rule is removal of
linkage of 33 service for 50% pension, uniform rate of 30 % Family pension
& increase in quantum of minimum pension.
The
CCS Pension rules 1972 do not have any provision for periodic revision of pension,
still it is revised after every Pay revision. Employees have joined the scheme
surrendering their Provident Fund Contribution by the company to their credit
till 1995 on the good faith that the pension will be updated with the future
changes of CCS Pension rules by invoking the provisions under Para 55 of the
scheme & will be revised along with every wage revision in industry.
Unilateral
insertion clauses to original scheme in a manner detrimental to the interest of
a section of the employees are arbitrary unconstitutional & against the
spirit of article 14 of the constitution of India.
For
the reason stated above and for the reasons to be argued at the time of hearing
it is here by prayed that this Hon’ble
court may be pleased to:
1)
Declare that the order exhibit-P2 (S.O 775
(E)) to the extent it restrict the
benefits of changes of CCS Pension rules 1972 to Chairman & managing
Director is null & void and quash exhibit P-2 to that extent by issuing a
writ of certiorari or other appropriate
writ, order of direction.
2)
Issue a writ of mandamus or other appropriate
writ, order or direction directing the respondents to revise the basic pension/
family pension/ minimum pension of
petitioners after every wage revision & after every amendment to CCS
Pension rules 1972 in accordance
with exhibit P-1(Para 55)
3)
Issue Direction to the Respondents to grand
an interim payment of 10 % of basic
pension to petitioners.
4)
Grant such other reliefs as may be prayed for
and the court may deem fit to grant, and
5)
Grant the Cost of this original Petition.
