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

The petitioners, employees of Sri Vidyaganapathi High School, sought parity with employees of government institutions and service and pensionary benefits, including recognition of service rendered before their posts were admitted to grant-in-aid.

They initially sought to set aside Act 7 of 2014, but at the hearing asked the Court to direct consideration of their claims in light of the Division Bench’s observations in W.A. No. 2476/2015 and connected matters.

The State submitted that the relief available was governed by paragraph 61 of the appellate judgment.

1. Whether service rendered during the non-grant period should be reckoned for pay fixation and consequential service and pensionary benefits

2. Whether the petitioners were entitled to salary arrears or other monetary benefits from the State for the period before their posts were admitted to grant-in-aid

The Court applied the clarification in paragraph 61 of the Division Bench’s judgment in W.A. No. 2476/2015 and connected matters, dated 24 July 2026.

Under that clarification, service during the non-grant period may be counted for notional pay fixation as of the date the post is admitted to grant-in-aid and for consequential benefits, including pension and other service benefits.

The State is not liable for salary or other monetary benefits for the pre-grant period; responsibility for salary and benefits during that period rests with the institution’s management, as reflected in Annexure I to the Rules, 1999.

The Court treated the Division Bench’s clarification as controlling the extent of the petitioners’ entitlement.

It therefore distinguished recognition of pre-grant service for notional fixation and consequential benefits from a claim for salary arrears payable by the State.

Applying that distinction, it directed the authorities to reckon the petitioners’ service from their respective appointment dates, including pre-grant service, but only for the benefits permitted by paragraph 61.

Respondents 1 and 2 were directed to reckon the petitioners’ service from their appointment dates for the benefits specified in paragraph 61 of the appellate judgment and to complete consideration and pass appropriate orders within six months.

The relief does not extend to State-paid salary arrears or other monetary benefits for the pre-grant period.