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2026 Supreme(Online)(Ker) 6211

IN THE HIGH COURT OF KERALA AT ERNAKULAM
VIJU ABRAHAM, J
SIDCO EMPLOYEES ASSOCIATION (AITUC) – Appellant
Versus
STATE OF KERALA – Respondent
WP(C) NO. 28889 OF 2020



Advocates:
For the Appellants/Petitioners: SMT.MOLLY JACOB, SMT.AYSHA YOUSEFF, SRI.JOBI.A.THAMPI, SMT.M.KABANI DINESH, SRI.C.M.EBRAHIM, SRI.SHOUKATH HUSAIN
For the Respondents: GP – RIYAL DEVASSY, BIJU G., SC, SIDCO, SHRI.P.U.SHAILAJAN

The court affirmed that public sector employees are entitled to parity in pay scales with government employees based on educational qualification, steering clear of arbitrary administrative distinctions.

Headnote:(A) Government of Kerala - Pay Revision Order - Ext.P2 - Writ petition challenging rejection of pay scale rectification for employees of SIDCO - Petitioners, representing a trade union, sought parity with Government pay scales, alleging anomalies - Court found SIDCO was to follow Government scales of pay and deemed similar to KTDC in this respect. (Paras 2, 12, 14)

(B) Equal Pay - Principle of equal pay for equal work - Court affirmed that demands of employees based on educational qualifications and job responsibilities must be addressed fairly. (Paras 10, 12)

(C) Administrative Discretion - Court held that rejection of pay revision requests due to perceived differences in job responsibilities and qualifications was not sustainable. (Paras 10, 12)

Facts of the case:
Petitioners were employees of SIDCO, part of a trade union challenging a government order which denied rectification of pay scales previously established in accordance with government standards. They contended that the scales were below those allowed for comparable posts, particularly when compared to government counterparts.

Findings of Court:
The court found that the previous government orders established SIDCO must follow state pay scales and that inequities should be addressed. The disparities seen between SIDCO and another public sector unit (KTDC) were scrutinized, ruling that the petitioners were entitled to rectification of their pay scales as justified.

Issues: Whether SIDCO employees should be entitled to the same pay scales as government employees based on their roles and educational requirements.

Ratio Decidendi: The court decided that the requests for pay scale adjustments were valid, citing that the reasoning used by the state to deny adjustments was inconsistent with past practices and the parallel drawn with KTDC.

Result: Writ petition allowed; orders for rectification of salary scales issued.

Table of Content
1. sidco's pay scales follow government patterns. (Para 2 , 3)
2. petitioners argue for parity with government payscales. (Para 4 , 5)
3. past corrections in ktdc support petitioners' claims. (Para 6)
4. petitioners demand continuation of previous payscales. (Para 8 , 10)
5. court insists no basis to reject sidco's claim. (Para 12 , 13)
6. court directs government to rectify pay anomalies. (Para 14)

JUDGMENT

Dated this the 28th day of January, 2026 Petitioners have approached this Court challenging Ext.P11 which rejected the request of the 5th respondent in Exts.P6, P7 and P10 to rectify the anomalies in the scale of pay of LD Clerk, LD Accountant, LD Typist, UD Clerk, UD Accountant, UD Typist and equated posts. Petitioners have also sought for other consequential reliefs.

2. Brief facts necessary for disposal of the writ petition are as follows:-

1st petitioner is a trade union of the employees of SIDCO who is the 4th respondent herein. 2nd petitioner is working as a Junior Accountant in raw material division of the 4th respondent Corporation, and 3rd petitioner is working as UD Clerk in the marketing division of the 4th respondent Corporation. The 4th respondent SIDCO has been following the Government pattern of pay scales and dearness allowances etc., to its employees since its inception. The pay scale of the employees are also revised based on the pay revision orders issued by the 3rd respondent with approval of the Government. The 3rd respondent sanctioned the revision of pay and allowances to State Government employees with effect from 01.07.2009 as per Ext.P2 Government order dated 26.02.2011. It is specified in Clause 40 of Ext.P2 Government order that Public Sector Undertakings, Statutory Corporations etc. where State scales of pay are allotted to the employees, formal approval/sanction of Government will have to be obtained for extending the new scale to them. Pursuant to Ext.P2 the Board of Directors of the 2nd respondent Corporation vide resolution No.8/245 dated 30.05.2011 approved the proposal to implement the revision of pay ordered as per Ext.P2 pay revision order. Accordingly the Managing Director of the 4th respondent Company addressed the 2nd respondent as per Ext.P3 letter requesting to accord sanction to implement the pay revision to the employees of SIDCO with effect from 01.07.2009 in the same manner as sanctioned by the Government to the Government employees as per Ext.P2. Along with this letter, a statement showing the various categories of posts in SIDCO with existing scales of pay and revised scales of pay as per Ext.P2 Government order was also incorporated.

3. Petitioners would submit that in the statement enclosed along with Ext.P3 request the 5th respondent committed a mistake in showing the corresponding revised scales with regard to the aforesaid categories. Petitioners would submit that as per Annexure 12 in Ext.P2 schedule of posts and scales of pay (common category) the existing scales of pay and revised scales of UD Clerk, LD Clerk and their equated posts are as follows:-

The 6th respondent as requested in Ext.P3 accorded sanction as per Ext.P5 order for implementing the pay revision 2009 to the employees of the 4th respondent Corporation. But the revision was incorporated in the revised scales of pay which are mistakenly shown in the statement enclosed along with Ext.P3, whereas the scale of pay ought to have been revised based on the schedule of posts and scales of pay in common category in Annexure 12 in Ext.P2 pay revision order. Realizing the mistake the 5th respondent submitted Ext.P6 request in this regard. In Ext.P6 the mistake which has occurred while preparing the statement produced along with Ext.P3 was clearly explained. Petitioners also contended that the scale of pay earlier sanctioned by the Government in the SIDCO was in consonance with scale of pay in corresponding posts as per the pay revision order of 2006.

4. Petitioners would contend that in Ext.P4 it is specificall

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