Magadh Gramin Bank Officers Association v. Chairman, Magadh Gramin Bank
2002-12-17
NARAYAN ROY
body2002
DigiLaw.ai
Judgment 1. Heard counsel for the parties. 2. Both these writ applications have been filed for common cause and they have been heard together and are being disposed of by this common order. 3. In both these writ applications substantially a prayer has been made on behalf of the petitioners for issuance of a direction upon the respondents Gramin Bank to give them the benefits of pay increase on account of computerisation and automatic switch over from Grade 2 to 3. 4. Dr. Sadanand Jha, learned counsel for the petitioners submitted that the question involved in these writ applications are no more res integra and the same have been decided by the Apex Court in the case of South Malabar Gramin Bank V/s. Coordination Committee and Ors. Reported in 2001 Volume-4 S.C.C. page 101, and subsequently, the same view as in the case of South Malabar Gramin Bank (supra), has been expressed by the Apex Court in the case of All India Regional Rural Bank Officers Federation and Ors. V/s. Government of India and Ors. reported in 2002 (Vol. 3) S.C.C. Page 554. It is further submitted that the Apex Court interpreted the procedure of Section 17(1) of Regional Rural Banks Act, 1976 (hereinafter referred to as the Act) and issued direction in the following terms : "In view of the aforesaid conclusions of ours on the different contentions raised and in view of the fact that the Union of India and its interlocutory applications had already indicated that the employees of the RRBs will be granted the new scales w.e.f. 1.4.2000 in line with scales granted to commercial bank employees of equivalent level, we direct that the said determination be a determination under the second proviso to sub-section 1 of Section 17 of the RRB Act and as such the salary of the employees of the Regional Rural Bank w.e.f. 1.4.2000 be determined accordingly. We also further direct that for maintaining the parity between the employees of the Commercial Banks and the employees of the Regional Rural Banks, the said Union Government shall decide the question as to what would be the salary of the employees of the RRBs subsequent to the 6th Bipartite Settlement having been given effect to, in case of employees of the Commercial Banks and with effect from what date the benefit following from such decision be given to the RRB employees.
The decision in question shall be taken within a period of six months from today." 5. It is also submitted that pursuant to the direction of the Apex Court, the Government of India. Ministry of Finance, Department of Economic Affairs (Banking division) issued directions as contained in Annexure 17 dated 17th April, 2002 revising the payscale of Regional Rural Banks. Clause 5 of Annexure 17 stated that all other allowances should be immediately revised if not already revised pursuant to order dated 11.4.2001 by respective sponsor banks after negotiations with RRB employees. Learned counsel further submitted that after issuance of Annexure 17, the same dispute was raised before Orissa High Court in Original Jurisdiction Case No. 14817 of 2001 and a Bench that court after hearing the parties directed as under: "Considering the submission of the counsel for the parties, we dispose of this application with the direction to opposite party no. 2 to grant computer increment, automatic switch over benefits from Scale I to Scale II and Scale II to Scale III and other residual benefits as mentioned in the Government of India letter dated 17.4.2002 (Annexure 16) by the end of February, 2003." 6. Dr. Jha, therefore, submitted that in view of the decision taken by the Central Government revising the payscale and allowance of the employees of Regional Rural Banks, the concerned Gramin Banks were required to give such benefits to its employees and till date the same has not been given effect to. It is also urged by Dr. Jha that on earlier occasions such benefits were given to the petitioners but the same has been withdrawn and directions have been issued to make necessary recovery from their pay which has been stayed by this court in these writ applications. 7. Mr. Sunii Kumar Singh, learned counsel appearing on behalf of the respondent banks submitted that except the computer increment and automatic switch over, the other revised benefits have been extended to the employees and so far the computer increment and automatic switch over is concerned, the same is still in process of implementation as necessary clarifications have been sought for from the Central Government which would be evident from Annexures B and C of the supplementary counter affidavit of respondents Gramin Banks.
Learned counsel further submitted that unless a clear direction is issued by the Central Government in this regard, the respondent banks will not be in a position to give the revised allowance and automatic switch over. From reading of Annexure 17 and particularly clause 5 thereof, it appears that all other allowance mentioned in Clause 5 of Annexure 17 must be given an extended meaning including all sorts of allowances payable to the employees of the bank. Necessarily, therefore, bank authorities were required to make it available to the employees of the bank after due negotiation. 8. Per se, it appears from materials on record that the respondent Gramin banks have not taken a decision in terms of Annexure 17 and consequently thereof, a grievance has been made by the writ petitioners in these writ applications contending therein that the computer increment is being given to the employees of the sponsor bank and therefore, they are also entitled to get the same in terms of Section 17(1) of the Act. 9. Learned counsel for the Union of India in both the cases, however, is not disputing the existence of Annexure 17. 10. Considering the facts and circumstances of the case and also in view of the legal propositions as noticed above, respondent Gramin banks are directed to act upon the decision taken by the Government of India, Ministry of Finance, Department of Economic Affairs (Banking division) dated 17.4.2002 as contained in Annexure 17 in its true term and spirit and thereafter they will pay the necessary admissible benefits to its employees in accordance with law forthwith. Till a decision is taken by the authorities, they will not realise the alleged excess payments made to the employees. 11. With the aforementioned observation/direction, this application is disposed of.