The main legal point established in the judgment is that the approval of the Finance Department for the enhancement of retirement age, along with the organization's ability to bear the financial burden, indicated that there was no impediment to amending the service rules to give the benefit to its employees.

JUDGMENT :

A.K. RATH, J.

In this writ application the petitioner has prayed inter alia for a direction to opposite parties 2 and 3 to implement the policy decision of the State of Odisha taken on 2.8.2014, vide Annexure-1. Ancillary prayer has been made to direct opposite parties 2 and 3 to allow the petitioner to continue in service up to the age of 60 years.

2. Bereft of unnecessary details, the short facts of the case of the petitioner are that the Government of Odisha in the Department of Public Enterprises, opposite party no.1 passed a resolution on 2.8.2014, vide Annexure-1, to enhance the age of retirement on superannuation of the employees of the State Public Sector Undertakings from 58 to 60 years with certain terms and conditions keeping in view the demands of various service associations of the State Public Sector Undertakings as well as significant improvement in average of life expectancy in recent years. The resolution was passed consequent upon enhancement of age of superannuation of the State Government employees from 58 to 60 years with the following conditions:-

“1. The Public Sector Undertaking must justify its need to retain the present experienced manpower for utilization of their services in achievement of the objectives of the Corporation.

2. The entity does not have compelling reasons to reduce cost by downsizing manpower.

3. The PSU must not have defaulted in payment of salary, statutory dues of the employees such as Provident Fund and ESI etc. in past three years.

4. The PSU must not have availed any additional budgetary support during the last three years for payment of salary and other employees dues (expecting the usual level of budgetary support availed by the PSU, if any).

5. The PSU must not have defaulted in payment of loan to any financial institution or State Government. The PSU must be update in payment of guarantee fee/royalty/dividend to the State Government, whichever is applicable.

6. The entity is and will be able to discharge the salary burden out of its own resources and not depend on additional budgetary grant (excepting any usual budgetary allocation)”.

3. The opposite party no.1 issued a direction to the Public Sector Undertakings to prepare a detailed proposal for approval of the Board of Directors of the Public Sector Undertakings concerned. It was intimated that the proposal approved by Board shall be concurred by the Administrative Department and the latter shall obtain approval of the Government before giving effect to the enhancement proposal.

4. Pursuant to the policy decision of the State of Odisha, Odisha Renewable Development Agency, which is fully controlled and governed by the State of Odisha (hereinafter referred to as ‘OREDA’), considered the matter and sent a letter on 5.11.2015, vide Annexure-2, to the Additional Secretary to Government, Science and Technology Department, Government of Odisha, Bhubaneswar enclosing therein the receipt and expenditure statement from 2010-11 to 2014-2015 and financial implication statement from 2015-2016 to 2019-20 requesting the latter to enhance the age of superannuation of OREDA employees for two years more. On 1.1.2016, the Chief Executive, OREDA sent a letter to the Additional Secretary to Government, Science and Technology Department, vide Annexure-3, stating therein that OREDA would be able to meet the additional requirement of fund from its own source and undertook to shoulder the liability without any Government assistance in the event of enhancement of the age of superannuation from 58 to 60 years. By letter dated 24.2.2014, vide Annexure-4, the Chief Executive, OREDA requested the Additional Secretary to Government to place the proposal before the Government for consideration of enhancement of superannuation from the age of 58 to 60 years. With this factual scenario, the writ application has been filed.

5. Pursuant to issuance of notice, a counter affidavit has been filed by opposite party no.3. The sum and substance of the case of opp