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Madras High CourtWP(MD)/5227/2025allowed

N.Rengaraj v. The Tamilnadu State Transport Corporation (Kumbakonam) Limited

2025-02-27Honourable Mr. Justice Battu Devanand7 pages

BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT DATED : 27.02.2025

CORAM

THE HONOURABLE MR.JUSTICE BATTU DEVANAND N.Rengaraj ... Petitioner Vs.

1.The Tamil Nadu State Transport Corporation (Kumbakonam) Limited, Represented by its Managing Director, Kumbakonam.

2.The General Manager, The Tamil Nadu State Transport Corporation (Kumbakonam) Limited, Karaikudi Region, Karaikudi.

3.The Administrator, The Tamil Nadu Transport Corporation Employees Pension Fund Trust, Thiruvalluvar Illam, Pallavan Salai, Chennai - 02.

... Respondents PRAYER: Writ Petition filed under Article 226 of the Constitution of India for issuance of Writ of Mandamus, directing the respondents to pay the difference amounts in gratuity, leave salary and difference in pension with arrears from 30.06.2017 to till date along with dearness allowance on par with serving employees of Transport Corporation based on such revised wages payable to the 1/7

petitioner as on the date of his retirement that is 30.06.2017 in terms of the wage revision settlement under Section 12(3) of I.D Act dated 04.01.2018 along with interest at the rate of 6% per annum within a time frame as may be fixed by this Court.

For Petitioner : Mr.A.Rahul For R1 & R2 : Mr.K.Ramaiah Standing Counsel For R3 : Mr.S.C.Herold Singh Standing Counsel

O R D E R

Heard the learned counsel for the petitioner and the learned Standing Counsel for the respondent.

2. The petitioner was appointed as Clerk in the respondent Corporation on 14.03.1997. After completion of 20 years of service, he retired from service as Record Clerk on 30.06.2017. At the verge of his service, the respondents entered into the agreement with the union for new wage settlement. Before new wage settlement, the petitioner retired from service. The 13th wage settlement entered on 04.01.2018 between the management of State Transport Corporation and the union. The wage settlement dated 04.01.2018 was given effect from 2/7

01.09.2016. But the benefits of arrears of wages payable was restricted from 01.09.2017. The stand of the petitioner is that though he was retired from service before the settlement, he is entitled to get the benefits of the same in view of the fact that the settlement was given retrospective effect. But the benefits of the settlement dated 04.01.2018 has not been extended to the petitioner. Requesting to extend the benefits of the wage settlement, dated 04.01.2018, the petitioner submitted a representation on 16.08.2024 to the respondents, but the respondents did not consider the same. Against the inaction of the respondents in considering the representation, the petitioner has filed the present writ petition.

3. In fact, the issue raised in the present writ petition is no longer res-integra. While dealing with the identical matters with respect to the 14th wage settlement, dated 24.08.2022, this Court passed several orders directing the respondents to extend the benefits of the wage settlement to the employees retrospectively.

4. While dealing with the identical issue, this Court in W.P(MD)No.8910 of 2024 etc., batch held that the employees are entitled for the benefits of the 3/7

wage settlement retrospectively. The relevant portion of the said order is extracted herein under:

"8. Once a particular decision for revising the wages is taken and evolved into an agreement between the parties including the State, as such granting the benefits retrospectively, then at the time of implementing the same, it cannot make any partial denial by passing orders to restrict the benefits. A Government letter cannot over rule the extant rules, when the rules say that the employees are entitled to the benefits immediately after retirement. Hence, without any doubt and in view of the settled legal position, the employees who worked in the Transport Corporation and have retired between 01.09.2019 and 31.07.2022 are entitled to receive the revised monetary benefits from the date on which the revised monetary benefits were agreed under the 14th wage revision settlement.

9. As the pension has also been revised under the terms of the 14th wage revision settlement and Rule 15 of the Tamil Nadu State Transport Corporation Employees Pension Fund Rules, the last drawn basic salary shall be the salary to be taken for calculating pensions. As the last drawn salary has been revised in terms of the 14th wage revision settlement, the impugned letter cannot restrict the benefits. The respondents are directed to revise the 4/7

monetary benefits and the difference in the revised pension which is payable from the date on which the revised monetary benefits were given to the working employees under the 14th wage revision settlement."

5. For the aforesaid reasons, this writ petition is allowed with the following direction:

The respondents are directed to pay the difference amounts of the benefits for which the petitioner is legally entitled to as per the 13th wage revision settlement, dated 04.01.2018 with 6% interest per annum to be computed from the date of petitioner's retirement i.e.,30.06.2017 till the date of actual payment within a period of 6 weeks from the date of receipt of a copy of this order.

6. No costs.

27.02.2025 NCC:yes/no Index:yes/no Internet:yes/no Sn 5/7

To:

1.The Managing Director, Tamil Nadu State Transport Corporation (Kumbakonam) Limited, Kumbakonam.

2.The General Manager, Tamil Nadu State Transport Corporation (Kumbakonam) Limited, Kumbakonam Region, Kumbakonam.

3.The Administrator, Tamil Nadu State Transport Corporation Employees Pension Fund Trust, Thiruvalluvar Illam, Pallavan Salai, Chennai - 02.

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BATTU DEVANAND , J.

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