Karnataka High Court
Employment and Labour LawSocial Security and Pensions

Pre-grant-in-aid service counts for notional pay fixation and pensionary benefits, but not salary arrears.

SRI MANJUNATHA G vs THE STATE OF KARNATAKA

Karnataka High CourtJUDGMENT: October 05, 20262 MIN READSOURCE JUDGMENT
Pre-grant-in-aid service counts for notional pay fixation and pensionary benefits, but not salary arrears.. SRI MANJUNATHA  G vs THE STATE OF KARNATAKA. Karnataka High Court. LawLens
THE ORIGINAL LAWLENS SUMMARY
01

Facts

The petitioners, teaching and non-teaching employees of aided educational institutions, sought a direction to count their service from their respective appointment dates, including service before their posts were admitted to grant-in-aid, for pay fixation and consequential service benefits.

Source reference: para. 3; p. 13

They relied on the decision in W.A. No. 2476/2015 and connected matters, dated 24 July 2026.

Source reference: para. 4; p. 13

The State submitted that the relief available was confined by the appellate judgment’s clarification in paragraph 61.

Source reference: paras. 6–7; pp. 14–15
02

Issues

Whether service rendered before a post’s admission to grant-in-aid must be counted for notional pay fixation and consequential service benefits.

Source reference: paras. 3, 7; pp. 13–15

Whether employees may claim salary arrears or other monetary benefits from the State for the pre-grant period.

Source reference: para. 7; pp. 14–15
03

Law Applied

The Court applied the clarification in paragraph 61 of the judgment in W.A. No. 2476/2015 and connected matters.

Source reference: para. 7; pp. 14–15

Under that clarification, service during the non-grant period is to be counted for notional pay fixation as at the date the post enters grant-in-aid, and for consequential benefits such as pension and other service benefits; it does not entitle employees to salary arrears or other monetary benefits from the State for that period.

Source reference: para. 7; pp. 14–15

The clarification relied on Annexure-I of the Rules, 1999, which places responsibility for salary and other benefits until admission to grant-in-aid on the institution’s management.

Source reference: para. 7; p. 15
04

Reasoning

The Court accepted the State’s submission that the scope of relief was governed by paragraph 61 of the appellate judgment.

Source reference: paras. 6–8; pp. 14–16

It therefore distinguished recognition of pre-grant service for notional and consequential benefits from any claim against the State for salary or monetary arrears during that period.

Source reference: paras. 6–8; pp. 14–16

Applying that distinction, it directed the relevant authorities to reckon the petitioners’ service from their appointment dates for notional pay fixation and calculation of pension and other service benefits.

Source reference: paras. 6–8; pp. 14–16
05

Holding

The petition was allowed and disposed of.

Respondents 1, 2 and 4 to 10 were directed to reckon the petitioners’ pre-grant service for notional pay fixation and calculation of pension and other service benefits, consistently with paragraph 61 of the appellate judgment.

Source reference: para. 8; pp. 15–16

The authorities were to complete that exercise within six months.

Source reference: para. 8; pp. 15–16
Karnataka High Court

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SRI MANJUNATHA GvsTHE STATE OF KARNATAKA

Karnataka High Court · October 05, 2026

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