Supreme Court Rules Casual Labourers Eligible for Pension Without Formal Regularisation

Cause Title: BHIKHANI DEVI AND ETC. VERSUS UNION OF INDIA AND OTHERS

Background

The Supreme Court of India has delivered a landmark judgment in favour of long-serving casual workers, holding that employees who have performed work of a permanent and continuous nature for the government over extended periods are entitled to pensionary benefits even in the absence of formal regularisation.

The case arose from claims made by casual labourers and night guards in the Department of Posts who had worked for several decades. Although they were granted temporary status under the Casual Labourers (Grant of Temporary Status and Regularisation) Scheme, 1991, their requests for pension were rejected on the ground that they had never been formally regularised as Group-D employees.

Court's Observation

The Court held that though the casual workers do not attain the 'status' of a temporary government servant upon performing similar nature of works for extended years, they would be entitled to the same service benefits, received by the temporary government employee, by virtue of CCS (Temporary Service) Rules, 1965 read with the CCS (Pension) Rules, 1972.

A bench of Justice Sanjay Karol and Justice Augustine George Masih observed that a temporary status casual labourer would be entitled to pensionary benefits on superannuation even in the absence of regularisation.

Decision

Setting aside the Patna High Court's judgments, the Supreme Court rejected the Union government's stand, holding that upon completion of the qualifying period of service under the scheme, the Appellants-employees are entitled to pensionary benefits irrespective of whether a formal order of regularisation had been issued.

The Court noted that since the Appellants had rendered uninterrupted service for decades, after the grant of temporary status and extension of Group-D benefits, the nature of their employment substantially changed and could not continue to be viewed through the narrow lens of their original casual engagement.

Key Points

• Casual workers who have performed work of a permanent and continuous nature for the government over extended periods are entitled to pensionary benefits even in the absence of formal regularisation.
• The CCS (Temporary Service) Rules, 1965 and the CCS (Pension) Rules, 1972 provide for pensionary benefits to temporary government servants.
• Casual workers who have been granted temporary status under the Casual Labourers (Grant of Temporary Status and Regularisation) Scheme, 1991 are entitled to benefits equivalent to temporary government servants.

Significance

The judgment has significant implications for casual workers in the government sector who have been denied pensionary benefits due to the lack of formal regularisation. The Court's decision recognizes the rights of casual workers to pensionary benefits, providing them with financial security and dignity in their old age.