JUDGEMENT
-
(1.) By these writ petitions, the petitioners, former employees of
respondent State Farm Corporation of India Limited, a Govt. of India
undertaking, have approached this Court for seeking directions to the
respondent Corporation to give them the benefit of ex-gratia amount
in terms of the Voluntary Retirement Scheme announced by the
respondent vide Annex.2 dated 10/3/2000.
(2.) The petitioners have mainly contended by these writ petitions
filed in the year 2009 that similarly situated employees approached
this Court for the same purpose and their writ petitions came to be
allowed by this Court on 4/8/2008, copy of one such judgment of
coordinate bench of this Court in SBCWP No. 3005/2002- Hakam
Ali vs. State Farm Corporation of India Ltd. & anr. has been placed
on record. The relevant extract of the said order is reproduced
hereunder for ready reference:-
"The Voluntary Retirement Scheme provides for
ex-gratia payment equal to emoluments determined for
each completed year of service. The term ex-gratia in
the scheme concern nowhere refers the Payment of
Gratuity Act, 1972. In general terms, ex-gratia is
something that has been done voluntarily out of
kindness or grace. In the instance matter, the State
Farms Corporation, while introducing a Voluntary
Retirement Scheme, offered ex-gratia to the employees
seeking voluntary retirement prior to the actual date of
actual term of service. The stand of the respondents
that ex-gratia is required to be determined as per the
provisions of the Payment of Gratuity Act is not at all
supported by the Voluntary Retirement Scheme. The
Payment of Gratuity Act, 1972 also nowhere refers the
term "ex-gratia". The respondent no.3, therefore, were
required to determine ex-gratia payment under the
Voluntary Retirement Scheme by taking into
consideration monthly emoluments (Pay + DA) last
drawn by the petitioner. The bifurcation of the term of
service into the regular service and the service
rendered as daily wager is perfectly unknown or
stranger with the Voluntary Retirement Scheme
extended under the Circular dated 10.03.2000 and as
amended subsequently. The determination of ex-gratia
by bifurcation of the service, therefore, is illegal.
Accordingly, the petition for writ is allowed and
the petitioner is declared entitled to get ex-gratia under
the applicable Voluntary Retirement Scheme by taking
into consideration the emoluments last drawn by him.
The respondents, therefore, are directed to determine
the ex-gratia payment relating to the petitioner by
taking into consideration the last wages drawn by him
and further to make payment of the same within a
period of two months from today. Th respondents shall
also make payment of interest on the arrears of the exgratia payment @ 6.5 % per annum.
Sd/-
(GOVIND MATHUR), J."
(3.) The matter was taken up before the Division Bench and even
Apex Court but the respondent Corporation lost the legal battle and
copy of the order of Apex Court dated 6/3/2009 dismissing the SLP
of respondent Corporation, namely; SLP (Civil) No. 4829/2009 dated
6/3/2009 is placed on record as Annex.R/2. Thus, those employees
who litigated the matter got the benefit of due ex-gratia amount as per
the said Voluntary Retirement Scheme as the litigation terminated in
their favour.;
Click here to view full judgement.
Copyright © Regent Computronics Pvt.Ltd.