CAT - ['Allahabad']
Employment and Labour LawAdministrative and Public Law

Prior promotions and financial upgradations may preclude further MACP benefits despite completion of 30 years’ service.

Smt Manorama Sinha vs Gm Dlw Varanasi

CAT - ['Allahabad']JUDGMENT: August 10, 20263 MIN READSOURCE JUDGMENT
Prior promotions and financial upgradations may preclude further MACP benefits despite completion of 30 years’ service.. Smt Manorama Sinha vs Gm Dlw Varanasi. CAT - ['Allahabad']. LawLens
THE ORIGINAL LAWLENS SUMMARY
01

Facts

The applicant was initially appointed as a Junior Clerk on 7 October 1980 and was subsequently posted in the IT/EDP cadre as Machine Room Operator Grade-II. She was promoted through various posts and pay scales, including Machine Room Operator Grade-I, Senior Data Entry Operator, Console Operator, Senior Console Operator and Section Engineer/IT.

Source reference: p. 3; pp. 4–5, para. 8

Following implementation of the Sixth Central Pay Commission, she was placed in Grade Pay of Rs. 4,600 and was granted a third financial upgradation under the MACP Scheme in Grade Pay of Rs. 4,800 with effect from 30 April 2009.

Source reference: p. 3; pp. 4–5, para. 8

The applicant contended that her redesignation and cadre reorganisation should not have been treated as promotions and that, after completing 30 years of service, she was entitled to Grade Pay of Rs. 5,400 under the third MACP.

Source reference: p. 2, para. 3

The respondents maintained that the applicant had already received more than three promotions before 1 January 2006 and that, after the relevant pay-scale mergers, she had correctly been granted Grade Pay of Rs. 4,800 as the third financial upgradation.

Source reference: pp. 3–5, paras. 4, 7–8

Her claim was rejected by orders dated 17 July 2018 and 1 April 2019.

Source reference: pp. 3–5, paras. 4, 7–8
02

Issues

Whether the applicant was entitled to Grade Pay of Rs. 5,400 as the third financial upgradation under the MACP Scheme with effect from 30 April 2009, notwithstanding her earlier promotions and placement in Grade Pay of Rs. 4,600?

Source reference: pp. 5–6, paras. 7–9

Whether the respondents’ grant of Grade Pay of Rs. 4,800, instead of Rs. 5,400, was arbitrary or discriminatory in view of the benefit granted to Respondent No. 5?

Source reference: p. 6, para. 10
03

Law Applied

The Tribunal applied the MACP Scheme, under which eligible employees receive financial upgradations upon completion of 10, 20 and 30 years of regular service, subject to counting promotions and prior financial upgradations obtained in the promotional hierarchy.

Source reference: p. 5, para. 9

The Tribunal also considered the Railway Board’s pay-scale and cadre-reorganisation instructions, including Railway Board Authority No. 42/2004 and the Railway Board letter dated 29 December 2011, under which the entitlement to a third financial upgradation depends upon the employee’s individual service profile, prior promotions, and the applicable pay-scale mergers.

Source reference: pp. 3–4, para. 4.1

Acceptance of an undisputed pay fixation in Grade Pay of Rs. 4,600 was treated as relevant to determining the next admissible financial upgradation.

Source reference: p. 6, para. 9
04

Reasoning

The Tribunal found that the applicant had received several promotions before 1 January 2006, including promotions to Console Operator, Senior Console Operator and Section Engineer/IT.

Source reference: pp. 4–6, paras. 8–9

On account of the Sixth Pay Commission’s merger and replacement of certain pay scales, her service history was treated as comprising the requisite prior promotions and financial upgradations.

Source reference: pp. 4–6, paras. 8–9

Since her pay had been fixed in Grade Pay of Rs. 4,600 with effect from 1 January 2006, the respondents correctly granted the next admissible financial upgradation in Grade Pay of Rs. 4,800 on 30 April 2009.

Source reference: pp. 4–6, paras. 8–9

The Tribunal further held that the applicant had not challenged the fixation in Grade Pay of Rs. 4,600 and had already received the maximum financial upgradations admissible under the MACP Scheme.

Source reference: p. 6, para. 9

The comparison with Respondent No. 5 was rejected because his appointment was approximately ten years later and his entitlement arose from a different promotional and service history.

Source reference: p. 6, para. 10

The Tribunal held that MACP entitlement must be assessed individually and cannot be determined merely by comparing the Grade Pay granted to another employee.

Source reference: p. 6, para. 10
05

Holding

The Tribunal answered both issues against the applicant.

It held that she was not entitled to Grade Pay of Rs. 5,400 as the third MACP and that the grant of Grade Pay of Rs. 4,800 with effect from 30 April 2009 was proper.

Source reference: p. 7, paras. 11–12

The impugned orders dated 17 July 2018 and 1 April 2019 were therefore not interfered with.

Source reference: p. 7, paras. 11–12

The Original Application was dismissed, with no order as to costs; any interim order was discharged and the connected miscellaneous applications were disposed of.

Source reference: p. 7, paras. 11–12
CAT - ['Allahabad']

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Smt Manorama SinhavsGm Dlw Varanasi

CAT - ['Allahabad'] · August 10, 2026

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