CAT - Hyderabad

Compassionate appointment is for immediate financial relief and cannot be granted after an unreasonable lapse of time.

S LAXMI vs EMPLOYEES PROVIDEND FUND ORGANISATION (EPFO)

CAT - HyderabadJUDGMENT: March 13, 20263 MIN READSOURCE JUDGMENT
THE ORIGINAL LAWLENS SUMMARY
01

Facts

The 1st Applicant’s husband, S. Narasimha, while serving as Multi-Tasking Staff (MTS) at the Employees' Provident Fund Organization (EPFO), went missing in 2004

Source reference: p. 2

Following a 2015 Tribunal order (OA No. 323/2015) regarding pensionary benefits, the 1st Applicant requested compassionate ground appointment (CGA) for her son, the 2nd Applicant, in March 2015; a formal application followed in December 2015

Source reference: p. 2-3, 8

The Respondents initially delayed processing due to discrepancies in family records and later issued circulars in 2020 and 2021 stating that the MTS cadre was over-saturated and that new guidelines would apply prospectively

Source reference: p. 4, 7-9

During the pendency of the current OA, a Central Recommendation Committee (CRC) reviewed the case on 15.07.2025 under the "Compassionate Appointment Policy 2024"

Source reference: p. 11

The CRC found the family had managed for over 20 years, possessed a monthly income of ₹53,770, and the 2nd Applicant did not rank within the top five candidates for MTS vacancies based on the "degree of penury"

Source reference: p. 12-13
02

Issues

1. Whether the 2nd Applicant was entitled to compassionate appointment despite a significant lapse of time between the employee going missing (2004) and the application for CGA (2015)

Source reference: p. 16-17

2. Whether the prospective application of the 2021 revised guidelines and the subsequent 2024 policy was arbitrary or unconstitutional

Source reference: p. 2, 13-14
03

Law Applied

Department of Personnel and Training (DoPT) OM dated 16.01.2013, which stipulates that CGA for missing employees is not a matter of right and requires an "immediate need of assistance" to relieve economic distress

Source reference: p. 18-19

Supreme Court’s ruling in Auditor General of India v. G. Ananta Rajeswara Rao, which held that CGA must be confined to families in immediate need

Source reference: p. 19

Local Administration Department v. M. Selvanayagam, which established that appointments made many years after the death/disappearance of an employee conflict with Articles 14 and 16 of the Constitution

Source reference: p. 20

EPFO "Compassionate Appointment Policy 2024" regarding the comparative assessment of penury

Source reference: p. 11-13
04

Reasoning

The Tribunal found that the essential purpose of CGA—to provide immediate relief to a family in sudden financial crisis—was not met in this case.

Source reference: p. 17, 20

Although the employee went missing in 2004 and was declared untraced in 2011, the applicants waited until 2015 to seek CGA, a delay that remained unsatisfactorily explained

Source reference: p. 17, 20

The Tribunal noted that the family’s survival for over two decades constituted adequate proof of "dependable means of subsistence," negating the claim of "immediate distress"

Source reference: p. 12, 20

The financial assessment conducted by the CRC in 2025 revealed a total family income of approximately ₹53,770, leading the court to agree that the family was not in penurious circumstances warranting an exception to regular recruitment rules

Source reference: p. 12, 14

The court rejected the applicants' contention that there is no time limit for CGA, emphasizing that it is an exceptional measure and not a vested right that can be exercised indefinitely

Source reference: p. 19-20
05

Holding

The Tribunal held that the rejection of the CGA application was valid and legally sustainable.

It concluded that a request made 11 years after the disappearance of the employee (and nearly 4 years after the "untraced" police report) does not satisfy the requirement of "immediate assistance"

Source reference: p. 20

The Tribunal affirmed the CRC's 2025 findings that the 2nd Applicant did not meet the required threshold of penury relative to other applicants

Source reference: p. 13

The Original Application was dismissed

Source reference: p. 20
CAT - Hyderabad

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S LAXMIvsEMPLOYEES PROVIDEND FUND ORGANISATION (EPFO)

CAT - Hyderabad · March 13, 2026

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