2022 Supreme(Online)(KER) 33306
HIGH COURT OF KERALA
V. G. Arun, J
Abhilash Kumar R. – Appellant
Versus
Kerala Books and Publication Society – Respondent
WP(C) NO. 11306 OF 2015 | WP(C) NO. 19570 OF 2016 | WP(C) NO. 22445 OF 2017 | WP(C) NO. 10438 OF 2020 | WP(C) NO. 29160 OF 2020 | WP(C) NO. 20801 OF 2021 | CON.CASE(C) NO. 1719 OF 2021
For the Appellants/Petitioners: Sri.Sherry J. Thomas, Sri.K.Anand (Sr.), Smt.Latha Krishnan, Sri.N.N.Sugunapalan, Sri.T.M.Raman Kartha, Smt.Syama Mohan, Shri.Sreehari Indukaladharan, Sri.P.Ramakrishnan, Sri.Kaleeswaram Raj, Kum.A.Aruna, Sri.Varun C.Vijay, Smt.Latha Anand
For the Respondents: V.Venugopal
Pension rights of employees under Kerala Books and Publications Society enforceable as property rights under Article 300A of the Constitution; non-payment based on financial strains is unlawful.
Headnote:(A) Employees Provident Fund and Miscellaneous Provisions Act, 1952 - Kerala Service Rules - Pension Regulations, 2014 - The case revolves around the eligibility of retired employees of Kerala Books and Publications Society for pension under regulations issued in 2014. The court addressed the validity of non-payment of pension based on financial constraints faced by the Society, emphasizing that pension is a right, not a bounty granted at the discretion of the employer (Paragraphs 11-13).
(B) Court emphasizes that pension rights are akin to property rights under Article 300A of the Constitution and cannot be withheld without legal authority.
(C) Petitioners are entitled to full pension with effect from 01.10.2022 based on the Pension Regulations. The controversy concerning the lawfulness of shifting employees from the Employees Provident Fund scheme affirmed their entitlement based on the legal provisions.
(D) Result declared the pension rights enforceable, with directions for dispersal of withheld amounts in structured stages (Paragraphs 10, 12-14).
| Table of Content |
|---|
| 1. nature of pension regulations and employee entitlements. (Para 1 , 2 , 3) |
| 2. legal framework surrounding pension entitlements and employer's obligations. (Para 4 , 5) |
| 3. arguments concerning fund availability and legal entitlements. (Para 6 , 7 , 8) |
| 4. judicial positions on pension as property rights and relevant laws. (Para 9 , 10 , 11 , 12 , 13) |
JUDGMENT
Dated this the 05th day of August, 2022
(W.P.(C) Nos.11306/2015, 19570/2016, 22445/2017, 10438, 29160/2020, 20801/2021 & Cont. Case No.1719/2021)
Petitioners are retired employees of the Kerala Books and Publications Society (KBPS). The KBPS is a Society registered under the Travancore-Cochin Literary Scientific and Charitable Societies Registration Act, 1955, wholly owned by the Government of Kerala. The main object of the Society is to print and supply textbooks to the Education Department, its allied institutions and other prescribed authorities for the advancement of general and technical education and reading habits among the general public. The society's employees were brought under the Employees Provident Fund and Miscellaneous Provisions Act , 1952, from 01.04.1981. The Employees Pension Scheme was also made applicable, after it was launched in the year 1995. While so, the labour unions demanded that the provisions of the Kerala Service Rules should be made applicable to the employees of the Society, as regards their salary and pension. The Government referred the dispute to the Labour Court and an award was passed on 15.03.2005, directing the management of the Society to consider the demand for making the Kerala Service Rules applicable to the workers of KPBS or to convert KPBS as a Government-run-printing Unit under the Education Department, and to take appropriate decision within four months. This resulted in the KPBS appointing a two-men expert Committee for studying and reporting the possibility of implementing a pension scheme for the employees of the Society. Accordingly, the Committee submitted a report, suggesting service based pension under KSR Part III with budgetary support from the Government. After discussing the suggestion in detail, the Government issued G.O. (MS) No.66/11/G.Edn dated 18.05.2011, permitting the Society to give effect to a contributory pension scheme and family pension scheme. Alleging delay on the part of the Society in implementing the Order, W.P.(C) No.19009 of 2012 was filed by two retired employees. Later, the Government issued G.O.(MS) No.194/13/H.Edn dated 18.05.2013, according sanction for implementing a self sustainable and financially viable pension scheme with effect from 01.04.2011, without any liability to the Government. In view of this development, W.P.(C) No.19009 of 2012 was disposed of directing the respondents to take appropriate steps for implementing the decision in Ext.P3 expeditiously. Thereafter, the Government issued G.O.(P) No.588/2014/H.Edn dated 23.07.2014, according sanction for publishing the Kerala Books and Publications Society Employees Contributory Pension and General Provident Fund Regulations, 2014 ('the Pension Regulations, 2014'). Accordingly, the Pension Regulations, 2014 was notified on 14.08.2014, providing for grant of pension to the employees of the Society. In the meanwhile, the Society, as per it's order dated 07.06.2014, decided to sanction 25% of pension to the pensioners/family pensioners with effect from June, 2014.
2. Even after publication of the Regulations, the eligible pension amount was not disbursed to the retired employees. This resulted in some of the employees filing W.P.(C) No.23055 of 2015, praying for a writ of mandamus, directing respondents 2 to 4 to disburse monthly pension to the retired employees as provided in the Pension Regulations, 2014. In that writ petition, the Society adopted the stand that it does not have the funds for disbursing pension, since the Employees Provident Fund Organisation had refused to refund the contribution remitted to its pension