Voluntary Retirement Scheme employees cannot claim benefits of pay revisions post-separation, as acceptance of the scheme constitutes a waiver of rights to future wage adjustments.

JUDGMENT :

DEEPAK ROSHAN, J.

1. Heard learned counsel for the parties.

2. The petitioner being a Trade Union has filed the instant writ petition seeking grant of arrears of voluntary retirement which has occurred on account of subsequent revision of pay scale along with interest.

3. Case of the Petitioner The specific case of the Petitioner-Union is that it is a registered Trade Union affiliated with Indian Trade Union Congress having 1200 members and HCL from time to time on the basis of tripartite settlement has been fixing and revising the wages of the workman. The 5th Wage Revision fell due with effect from 01.11.1997; however, in the meantime, Hindustan Copper Limited sought permission from the Central Government to close the mines and a permission for closure of different mines was given in the following manner:-

(i) 30.09.1998 – Permission for closure of Banalopa and Bedia Mines was granted.

(ii) 2002 – Permission for closure of Rakha Mine was granted.

(iii) 31.01.2001 – Permission for closure of Pathargora and Kenduadih mines was granted.

(iv) 16.06.2003 – Permission for closure of Surda Mines was granted.

(v) 16.06.2003 – Permission for closure of Mosabani mines was granted.

4. In the permission so granted, the Central Government incorporated one condition which mandated the Management to ensure payment of statutory dues and VRS benefits as per approved norms before retrenchment of the workmen. The Petitioner-Union, thereafter relied upon on a Circular dated 20.02.1995 wherein the Management informed all concerned employees who have retired or will be retiring under Company’s Voluntary Retirement Scheme would be entitled to wage revision/pay revision as and when the same is finalized (Annexure 4).

It is an admitted case of the petitioner that all its members took voluntary retirement before the year 2003 and after they got separated under the Voluntary Retirement Scheme, the Company’s Wage Settlement took place on 19.04.2006 which covered the period 01.11.1997 to 30.10.2007 and on the basis of the afore-referred Circular dated 20.02.1995, the petitioner claimed that all its members who had separated under the Voluntary Retirement Scheme are entitled to the benefit of wage revision.

The petitioner in support of their claim has brought on record by way of Annexure-5, the Approved Wage Settlement. Bare perusal of Clause (viii) of the same would show that as per the agreed wage settlement, no decision for payment of arrears for the period 01.11.1997 to 31.07.2004 had been taken and the actual monetary benefits of the wage revision for the period 01.08.2004 to 31.03.2006 would be paid with effect from 1st of August 2006.

5. Case of the Respondents

The Respondents have contended that the employees separating under a Voluntary Retirement Scheme constitute a separate class in themselves. The employees who had opted for voluntary retirement; admittedly have received all benefits payable under the scheme and it is not open for them to claim the benefits of a pay revision which has taken place subsequent to their separation, though with a retrospective date.

7. The other objection which the respondents have raised is that the individual workmen, who had opted for voluntary retirement who were 414 in number, had raised a separate industrial dispute being Reference Case No.13 of 2017 claiming the benefit of pay revision after having separated under the Voluntary Retirement Scheme. Initially, the Award was passed in favour of the workmen on 28.09.2022 which was assailed by the Management of HCL in W.P. (L) No. 406 of 2023 and this Court vide its judgment dated 11th March 2025 quashed and set aside the Award