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2023 Supreme(Mad) 2702

IN THE HIGH COURT OF JUDICATURE AT MADRAS
G.K. ILANTHIRAIYAN, J.
S. Satish (Deceased) & Others – Appellants
Versus
Airports Authority of India, represented by its Regional Executive Director, Southern Region, Chennai Airport, Chennai & Others – Respondents
W.P.No. 5509 of 2014 & M.P.Nos. 1 of 2014 & 1 of 2015
Decided On : 21-08-2023

Advocates appeared:
For the Petitioners:Balan Haridas, Advocate. For the Respondents:R2 & R3, R. Sankaranarayanan, Senior Counsel, R. Parthiban, R4, M/s. R. Kalpana, Advocates.

The central legal point established in the judgment is that the withdrawal of increments without notice and reasons is arbitrary and in violation of Articles 14 and 16 of the Constitution of India. The judgment also emphasizes the requirement for notice under Section 9(A) of the Industrial Disputes Act for any change in service conditions.

Headnote:

Increment - Service Conditions - Industrial Disputes Act - [Section 9A] - The court quashed the orders withdrawing two additional increments at the rate of 3% of the basic pay for the petitioners, ruling that the withdrawal was arbitrary and in violation of Articles 14 and 16 of the Constitution of India. The court directed the respondents to continue paying the salary to the petitioners as fixed by the settlement dated 21.01.2011 by paying two additional increments at the rate of 3% of their Basic Pay.

Fact of the Case:

The writ petition challenged the orders withdrawing two additional increments at the rate of 3% of the basic pay for the petitioners, who were working as Supervisors in the Fire Service Wing at Airports Authority of India. The petitioners were granted the increments for driving Crash Fire Tender vehicles, but the respondents revised the scale of pay and sought to withdraw the increments without notice or hearing.

Finding of the Court:

The court found that the withdrawal of increments without notice and reasons was arbitrary and in violation of Articles 14 and 16 of the Constitution of India. It also held that the withdrawal amounted to a change in service conditions, triggering the provisions under Section 9(A) of the Industrial Disputes Act.

Issues: The issues revolved around the withdrawal of two additional increments at the rate of 3% of the basic pay without notice, the violation of Articles 14 and 16 of the Constitution of India, and the applicability of Section 9(A) of the Industrial Disputes Act.

Ratio Decidendi: The court relied on the provisions of Section 9(A) of the Industrial Disputes Act to rule that any change in service conditions requires 21 days notice, and the withdrawal of increments constituted a change in service conditions. It also cited previous judgments to support the requirement for notice before introducing rationalization schemes.

Final Decision: The court quashed the orders withdrawing the increments and directed the respondents to continue paying the salary to the petitioners as fixed by the settlement dated 21.01.2011 by paying two additional increments at the rate of 3% of their Basic Pay.

JUDGMENT

(Prayer:- Writ Petition filed under Article 226 of Constitution of India for issuance of Writ of Declaration, declaring that the order of the second respondent dated 30.07.2012 bearing No.A60011/45/2010-PP and the consequential office orders of the third respondent dated 08/09.01.2013 and 20/23.12.2013 withdrawing the two additional increment at the rate of 3% of the basic pay in respect of the petitioners as illegal, arbitrary and contrary to law and consequently direct the respondents to continue to pay the salary to the petitioners as fixed on 21.01.2011 by continuing to pay the two additional increment at the rate of 3% of the basic pay and by not effecting any recovery.)

This Writ Petition has been filed challenging the orders passed by the second respondent dated 30.07.2012 and the consequential order of the third respondent, thereby withdrawing the two additional increment at the rate of 3% of the basic pay in respect of the petitioners.

2. Pending writ petition, the first petitioner died and the legal heirs were substituted as petitioners 10 to 13 herein.

3. Heard the learned counsel for the petitioners and the learned counsel for the respondents 2 to 4 and perused the materials available on record.

4. All the petitioners are working as Supervisors in the Fire Service Wing at Airports Authority of India, Meenambakkam, Chennai. Some of the petitioners had joined in the year 2002 as Assistants and some of the petitioners had joined in the year 2004 as Junior Assistants. Later, they were promoted as Senior Assistants and those who rendered two years as Senior Assistant, were placed as Supervisors. In the year 1979, the respondents introduced Crash Fire Tenders, which is used for dousing fire. They were imported vehicles and it requires high skill to operate the said vehicles. The crew of the vehicle were entrusted with greater responsibilities. The vehicles were used in all International Airports throughout the world and its maintenance is also very expensive. Therefore, the said work was entrusted only to qualified Senior Assistants/Supervisors, in addition to their regular work.

5. The respondents issued order that those who were entrusted with the said job, will be paid two additional increments in their scale of pay and the same was merged with the basic pay. All the petitioners were given additional duty to drive the said vehicles and the petitioners 1 to 7 were given two additional increments on 07.05.2010 and the petitioners 8 and 9 were given two additional increments on 26.08.2010. Therefore, the scale of pay fell in two levels viz., NE-6: 6300-180-8460-200-12069 and NE-7:6500-200-8900-220- 12860. Accordingly, they were granted increment of 180, 200 and 220 as two additional increments and the same was merged in their basic pay.

6. While being so, the respondents revised the scale of pay by entering into a settlement dated 21.01.2011 and the benefits were conferred with effect from 01.01.2007. As per the settlement, the Senior Assistant/Supervisor were fixed in NE-6 and NE-7 as follows:-

“ NE-6 14500-33500

NE-7 15000-35500”

7. The said pay band did not provide for increment. Whereas, Clause 3.1 of the settlement dated 21.01.2011 provides for increment. Accordingly, the rate of annual increment will be 3% of revised Basic Pay and will be rounded off to the next multiple of 10 rupees, with effect from 01.04.2010. Accordingly, the petitioners were granted two additional increments which is 3% of their revised basic salary. It was given with effect from 07.05.2010 and 26.08.2010. It is sought to be taken away without notice, without hearing and recovery is also sought to be effected on the ground that excess payment has been made. The second respondent issued an order dated 30.07.2012, thereby directing to withdraw the two additional increment of 3% basic pay and instead give two increments at the rate of Rs.180/-. However, it was not implemented so far. The third respondent issued

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