Justice Indira Banerjee writing the judgment for the bench comprising of her and Justice JK Maheshwari ruled that when the Pension Rules are capable of more than one interpretation, the courts should accept the interpretation favoring the employee.

The Bench of Supreme Court judges while affirming the Judgment of the Rajasthan High Court held that the "27. In this case, the Respondent-Writ Petitioner is claiming pension, which is a lifelong benefit. Denial of pension is a continuing wrong. This Court cannot also be oblivious to the difficulties of a retired employee in approaching the Court, which could include financial constraints." " 28. It is settled law that when financial rules framed by the Government such as Pension Rules are capable of more interpretations than one, the Courts should lean towards that interpretation which goes in favour of the employee."

In the case in hand, the employee who had challenged the order of the Government was appointed as an Asst. Charge Man in the Rajasthan Agriculrutal Board, Department of Agriculture, Government of Rajasthan. The Board was subsequently merged with Rajasthan State Agro Industry Corporation and the services of the employee were transferred to the Corporation on the same pay scale. thereafter, the employee applied for the post of Asst. Director (Agro-Industry) and he was selected for the same post and he was accordingly appointed. Thereafter the employee submitted a representation to the Government to count his services for the period he had worked as a junior officer for the purposes of pension, which was not granted and the employee challenged the same before the Rajasthan High Court and the High Court allowed the prayer.

The Question for consideration before the Rajasthan High Court and the Supreme Court was whether service rendered by the Respondent/Writ Petitioner prior to resignation from the Rajasthan State Agro Industry Corporation, should be counted for the purpose of pension.

Case Details:-

SPECIAL LEAVE PETITION (CIVIL) NO. 16734 of 2022

STATE OF RAJASTHAN & OTHERS .....PETITIONERS
VERSUS
O.P. GUPTA ......RESPONDENT

Read the full Judgment:-

https://main.sci.gov.in/supremecourt/2020/27824/27824_2020_5_1503_38301_Judgement_19-Sep-2022.pdf