2023 Supreme(Del) 2338
IN THE HIGH COURT OF DELHI AT NEW DELHI
V. KAMESWAR RAO, ANOOP KUMAR MENDIRATTA, JJ.
Ashwani Kumar Sharma & Ors. - Petitioners
Versus
Union of India - Respondent
W.P.(C) No. 5511 of 2022 & CM Appl. No. 16399 of 2022
Decided On : 12-01-2023
For the Petitioner: Mr. Atul Chaubey.
For the Respondent: Mr. Jivesh Kumar Tiwari, Sr. Panel Counsel with Mr. Mimansak Bhardwaj and Mr. Sunny.
The engagement of VRS retirees as Consultants on a short-term basis does not violate the VRS Scheme. The clarification/directive dated 25.06.2021 is contrary to the terms of BSNL VRS-2019. The petitioners are eligible for appointment on consultancy/contractual basis.
Headnote:
VRS Retirees - Engagement as Consultants - BSNL VRS-2019, DPE guidelines dated 20.07.2018 - The court held that the engagement of VRS retirees of BSNL VRS-2019 as Consultants on a short-term basis does not violate Clause 8 (iii) of the VRS Scheme. The court also found that the clarification/directive dated 25.06.2021 interpreting the definition of employment/re-employment to include engagement on contractual/consultant basis is contrary to the terms and conditions of BSNL VRS-2019. The applicants are eligible to be considered for appointment on consultancy/contractual basis.
Fact of the Case:
The petitioners, retired employees from BSNL, opted for Voluntary Retirement Scheme, 2019. They were engaged as Consultants but their contract was terminated citing a decision of the Department of Telecommunications.
Finding of the Court:
The court found that the engagement of VRS retirees as Consultants does not violate the VRS Scheme. The clarification/directive dated 25.06.2021 is contrary to the terms of BSNL VRS-2019. The petitioners are eligible for appointment on consultancy/contractual basis.
Issues: The main issue was whether the engagement of VRS retirees as Consultants on a short-term basis violates the VRS Scheme and the DPE guidelines.
Ratio Decidendi: The court held that the engagement of VRS retirees as Consultants on a short-term basis does not violate the VRS Scheme. The clarification/directive dated 25.06.2021 is contrary to the terms of BSNL VRS-2019. The petitioners are eligible for appointment on consultancy/contractual basis.
Final Decision: The court allowed the petition to the extent that the applicants are eligible to be considered for appointment on consultancy/contractual basis. Pending application, if any, also stands disposed of. No order as to costs.
JUDGMENT :
Anoop Kumar Mendiratta, J.
1. Petitioners invoke the writ jurisdiction under Article 226 and Article 227 of the Constitution of India for quashing of order dated December 08, 2021 passed in OA No.2781/2021 by the Central Administrative Tribunal (in short ‘the Tribunal’), whereby the petition seeking following reliefs was dismissed:-
“a. Quash the order/clarification/directive dated 25.06.2021 and 13.07.2021 amending/interpreting the definition of employment/re-employment to include engagement on contractual/consultant basis and amending CPSE to include CPSE/government in clause 8(iii) of VRS 2019 as non est, arbitrary, unlawful and hence void ab initio ; and/or
b. To declare that the applicants were entitled to join-CPSE/government on consultancy/contractual basis as the same is not violation of clause 8 (iii) of VRS 2019 and such CPSEs/government must ignore the order/clarification/directive dated 25.06.2021 and 13.07.2021 while considering the application of engagement; and/or
c. Direct the respondents to inform the CPSE/government departments to consider the candidature of the applicants at par with other retirees; and/or
d. Direct the respondents to give the applicant all consequential benefits; and/or
e. Award compensation to the extent of financial loss the applicants have suffered because of the impugned order and consequential resignation/termination of contract; and/or
f. Award cost for the deficiency on the part of respondents and forcing employees into litigation; and/or
g. Pass any order/direction as may be deemed just and proper in the facts and circumstances of the case.”
2. In brief, the petitioners are the retired employees from Bharat Sanchar Nigam Limited (BSNL), who opted for Voluntary Retirement Scheme, 2019 proposed by BSNL as approved by the Government of India. As per the petitioners, the VRS retirees were to be treated at par with the retirees after superannuation for all purposes.
The respondents published a notification dated 02.02.2021 inviting applications from retired eligible employees for engagement as Consultant at LSA, Haryana Zone. Petitioner No.1 & 2 were engaged as Consultants by the respondent but the contract of the petitioners was terminated vide order dated 06.07.2021 and 07.07.2021 citing decision of respondent vide DOT OM No.19-I/2019/SU-I dated 25.06.2021 with reference to clarification sought by BSNL Corporate Office dated 02.03.2021.
The aforesaid memorandum issued by the Department of Telecommunications may be reproduced for ready reference:-
“Government of India
No. 19-I/2019-SU-I
Department of Telecommunications
[O/o of JS(Admin)- PSU Division]
*****
Sanchar Bhawan, New Delhi
The, 25th June, 2021
OFFICE MEMORANDUM
Sub: Regarding permission to join another CPSE on contractual basis after taking VRS from BSNL
Please refer to BSNL Corporate Officer letter no. BSNLCO-PERI/11(18)/27/2020-PERS1 dated 02.03.2021, vide which the following information had been sought:
i. Whether the term “re-employment” used in BSNL VRS-2019 is the same as employment used in consolidated guidelines of DPE on VRS/VSS; and
ii. Whether engagement in a CPSE on contractual/consultancy basis would also qualify as re-employment/employment.
2. DPE guidelines dated 20.07.2018 prohibit the VRS optees of a CPSE from taking up employment in another CPSE, and in case any VRS optee desires to take up employment in another CPSE, such VRS optee shall have to refund the entire amount of ex-gratia received under the Scheme before joining such CPSE. There is no such distinction made between employment and re-employment in the DPE guidelines.
3. In case of engagement on contractual/consultancy basis in a CPSE or Government, the employee gets salary from the CPSE or the Government, and hence such engagement on contract or consultancy basis is a form of employment in such CPSE or the Government. Therefore, engagement in a CPSE/Government on contractual/consultancy basis would also qualify as re-employment/employment under the DPE guidelines.