Facts
The petitioners were former employees of the Mandya District Co-operative Milk Producers Societies Union Ltd. who retired before 1 September 2014.
Source reference: para. 2They alleged that provident-fund contributions had been made on their actual or higher salaries, but their pensions were calculated subject to the statutory wage ceiling; they further alleged that the higher-pension benefit was subsequently withdrawn.
Source reference: para. 2They sought restoration or payment of pension calculated on the higher salary based on their joint options.
Source reference: para. 1The Court recorded that no respondents appeared on either of the two hearing dates.
Source reference: para. 4Issues
Whether the petitioners were entitled to restoration or payment of higher pension calculated on actual/higher salary, based on contributions made on that salary.
Source reference: paras. 1–2, 5Whether any arrears of the difference in pension were payable, and whether interest should follow in the event of delayed payment.
Source reference: para. 5Law Applied
The Court applied the Employees’ Pension Scheme, 1995, in the context of contributions made on actual/higher salary and joint options for higher pension.
Source reference: para. 2It followed the reasoning in its earlier decision in W.P. No. 27440/2024 and connected matters, which held that where higher contributions had reached the fund while the employees were members of the Scheme, the timing of the option—during service or after retirement—did not alter the entitlement in the circumstances considered; the earlier decision also relied on R.C. Gupta and Sunil Kumar B.
Source reference: para. 3Reasoning
The petitioners’ pleaded circumstances—contributions on actual/higher salary and claims concerning joint options and higher pension—were treated as materially similar to those considered in W.P. No. 27440/2024 and connected matters.
Source reference: paras. 2–3Following that decision, and with no submissions from the respondents, the Court directed restoration and payment of higher pension based on the actual/higher-salary contributions.
Source reference: paras. 4–5Holding
The Court allowed both writ petitions and directed the contesting respondents to restore and pay higher pension to the petitioners based on contributions made on actual/higher salary.
Any arrears of the difference in pension are to be paid within three months; arrears unpaid within that period will carry interest at 6% per annum from the date of the order until payment.
Source reference: para. 5No order as to costs.
Source reference: para. 5Original Court PDF
K M RADHAKRISHNAvsUNION OF INDIA
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