Reduction in Pensionary Benefits Due to Withdrawal of Special Increments Upholds – P&H HC

07 May 2024 8:19 AM

By: Admin

In a recent judgment dated 3rd October 2023, the Punjab and Haryana High Court ruled on a case filed by Bhajan Singh against the State of Punjab and others. The petitioner had challenged the withdrawal of certain increments, which had a direct impact on his pensionary benefits.

The High Court observed, "The increments which had been granted to the petitioner at the time of his promotion were in the nature of special increments." This observation played a crucial role in the decision.

Bhajan Singh, who had retired from service in 2006, claimed that the increments he received in 1992 and 1995, more than ten years before his retirement, were wrongfully withdrawn without prior notice. He argued that these increments were granted based on his exceptional hard work and the hazardous conditions he worked under.

The State contended that these increments were special in nature, not promotional, and pointed to the judgment in Tarlok Chand's case, which limited the protection of such increments to a maximum of four.

The High Court, while acknowledging the dispute over the nature of the increments, upheld the withdrawal of nine out of thirteen special increments, in line with the Tarlok Chand case. It stated, "The petitioner apart from annual increments could have been given a maximum of four special increments only in view of the ratio of Tarlok Chand’s case."

The Court further addressed the delay in refixation of pay, asserting that the matter was raised only after the petitioner's retirement in 2006. It dismissed the petition, finding no grounds to issue directions.

This judgment serves as a precedent, reaffirming the legal distinction between promotional and special increments and their applicability to pension calculations. It underscores the importance of timely addressing such matters to avoid future disputes over pensionary benefits.

Bhajan Singh was represented by Mr. R.K. Arora and Ms. Saguna Arora, Advocates, while Mr. Aman Dhir served as the Deputy Advocate General for Punjab during the proceedings.

Date of Decision: 3.10.2023

Bhajan Singh vs State of Punjab and others