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

The petitioners, teaching and other staff of aided educational institutions, sought consideration of their representation dated 28 August 2026 for financial service benefits calculated by reckoning service from their dates of appointment, including periods before their posts were admitted to grant-in-aid.

They relied on earlier proceedings in W.P. No. 21216 of 2014 and connected writ appeals. The State submitted that the applicable relief was governed by paragraph 61 of the appellate judgment in W.A. No. 2476 of 2015 and connected matters.

1. Whether service rendered before a post is admitted to grant-in-aid must be reckoned for notional pay fixation and consequential service benefits

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

The Court applied the clarification in paragraph 61 of the judgment in W.A. No. 2476 of 2015 and connected matters, which confines the issue to reckoning non-grant service for pay fixation and consequential benefits.

Under that clarification, Annexure-I to the Karnataka Grant-in-Aid Rules, 1999 places responsibility for salary and other benefits up to the date of admission of a post to grant-in-aid on the institution’s management.

Pre-grant service may nevertheless be counted for notional pay fixation as of the date of admission to grant-in-aid and for consequential benefits, including pension and other service benefits; it does not entitle employees to salary arrears or other monetary benefits from the State for the pre-grant period.

The petitioners’ requested relief fell within the scope of the appellate court’s clarification.

The High Court therefore directed that their service be reckoned from their respective appointment dates for notional pay fixation, including service rendered before grant-in-aid, and for calculating consequential benefits.

Consistent with paragraph 61, this direction did not impose on the State liability for salary arrears or other monetary benefits for the pre-grant period.

Respondents 1–3 were directed to reckon the petitioners’ service from their dates of appointment for notional pay fixation and calculation of pension and other service benefits, and to complete that consideration within six months.

The relief is subject to the limitation that no pre-grant salary arrears or other monetary benefits are payable by the State.