Court Affirms Financial Upgradation Based on Grade Pay Hierarchy, Dismissing Union's Plea
In a significant ruling, the Chhattisgarh High Court has upheld the Central Administrative Tribunal's order directing the Union of India to grant financial upgradation benefits under the Modified Assured Career Progression (MACP) Scheme to loco pilots. The case, titled "Union of India v. Rakesh Kumar Rathore," was decided by a division bench comprising Justices Rajani Dubey and Amitendra Kishore Prasad.
The controversy centered around the interpretation of the MACP Scheme, which aims to address stagnation in career advancement by providing financial upgradations after 10, 20, and 30 years of service. The Union of India, represented by Mr. Palash Tiwari, contended that the scheme should follow the promotional hierarchy, whereas the respondents, represented by Mr. AV Shridhar, argued in favor of the Grade Pay Hierarchy.
The High Court emphasized that the MACP Scheme provides financial benefits based on the Grade Pay Hierarchy rather than the Promotional Hierarchy. It highlighted that promotions within the same grade pay must be counted for MACP purposes, aligning with precedents set by the High Courts of Allahabad and Madhya Pradesh. The court observed that promotions in merged pay scales should be ignored for MACP benefits, advocating for a harmonious reading of the scheme's provisions.
The petitioners had argued that granting financial upgradation based on the promotional hierarchy would cause discrepancies among employees from different cadres. However, the court found no merit in this argument, stating that the Grade Pay Hierarchy applies uniformly to all employees.
The court referred to similar decisions by other High Courts and the Supreme Court, noting that the petitioners' appeal against a Kerala High Court decision had been dismissed by the Supreme Court. Consequently, the Southern Railway's Divisional Office in Thiruvananthapuram had complied with the High Court of Kerala's order.
In light of these observations, the Chhattisgarh High Court dismissed the Union's petition, affirming the Tribunal's order and allowing the respondents to receive the MACP benefits. The decision is expected to have significant implications for loco pilots and other employees affected by the MACP Scheme.
Bottom Line:
Modified Assured Career Progression (MACP) Scheme - Financial upgradation under MACP should be granted in accordance with Grade Pay Hierarchy and not Promotional Hierarchy - Promotions earned in posts carrying the same grade pay shall be counted for MACP purposes.
Statutory provision(s): Modified Assured Career Progression (MACP) Scheme, Sixth Pay Commission (6th CPC) Recommendations
Union of India v. Rakesh Kumar Rathore, (Chhattisgarh)(DB) : Law Finder Doc Id # 2835231
