Non-functional replacement pay scale granted pre-MACP cannot be counted as financial upgradation against MACP benefits, per binding judicial precedent overriding administrative advice; ensures equality for stagnated employees with two promotions after 30 years service.

Hon’ble Mr. Rajinder Kashyap, Member (A):

The applicants are aggrieved by the Letter No. 24/10/2017 EC-III dated 02.04.2018 (Annexure A/1) issued by the respondents vide which they have denied them 3rd Financial Upgradation in Pay Band-3 (Rs.15600–39100) with Grade Pay Rs.7600 under the MACP Scheme. However, according to them, the respondents have wrongly treated their placement in the pay scale of Rs.7500–12000, as a financial upgradation for the purposes of the MACP Scheme. Thus, by filing the present O.A. under Section 19 of the Administrative Tribunals Act, 1985, the applicants are seeking the following reliefs:-

"i. To quash and set aside the impugned letter dated 02.04.2018 and direct the respondents to grant 3rd Financial Upgradation to the applicants in the pay scale of Rs.15600-39100 with grade pay of Rs.7600 from the date of completion of30 years of service as per MACP Scheme dated 19.05.2009.

ii. To declare the action of respondents in not granting the pay scale of Rs. 15600-39100 with grade pay of Rs. 7600 as 3^rdFinancial Upgradation as granted to other similarly placed persons namely Sh Sunil Kumar, Sh. Ram Kumar Singh, Sh. Brijesh Bahadur, Sh. Pramod Kumar Gupta, EE (C) and many others as illegal and direct the respondents to grant the 3rdFinancial Upgradation to the applicants in the pay scale of Rs.15600-39100 with grade pay of Rs.7600 from the date of completion of30 years with all arrears of pay along with interest @12%.

iii. To allow the O.A. with costs.

iv. Any other relief which the Hon'ble Tribunal deem fit and proper may also be granted to the applicants."

FACTS OF THE CASE

2. Brief facts of the case are that the applicants originally entered service as Junior Engineers (JEs) and were subsequently promoted to Assistant Engineers (AEs) between 1993 and 2001. They are filing this O.A. collectively based on a common cause of action and common points of facts and law. Details of applicants’ initial appointment and 1st promotion/Financial Upgradation etc. are given herein below:-

2.1 It is stated by the applicants that, as the acute stagnation was prevailing in most of the departments/autonomous bodies of Govt. of India, therefore, the 5th CPC recommended grant of minimum 2 Financial Upgradation in the pay scale attached to the promotional posts. The said recommendations were accepted and implemented by Govt. of India vide OM dated 09.08.1999 (Annexure A-2), which is known as Assured Career Progress (ACP) Scheme. As per aforesaid Scheme, the Govt. servants who could not get 1/2 promotion on completion of 12/24 years of regular service were made entitled for grant of 2 Financial Upgradation in the pay scale attached to the promotional posts.

2.2 It is also stated that the Fifth Central Pay Commission contained in paras 50.54 and 87.22, recommended two pay scales of the Assistant Engineer in CPWD i.e. Rs. 6500-10500 and Rs.7500- 12000, therefore, the same were introduced and were to be granted to the extent of 50% of the posts in each category according to the cadre strength. As a consequence of the aforesaid, the respondents issued Office Order dated 13.05.1998 for grant of aforesaid scale to the eligible AEs as per the cadre strength. The said placement in the pay scale of Rs. 7500-12000 was illegally counted as Financial. Upgradation as