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CCS Pension Rules | Pension Can't Be Arbitrarily Denied To Employees Under Old Scheme Who Were Transferred Without Break In Service: HP High Court
Mehak Aggarwal
5 July 2025 8:05 PM IST
The Himachal Pradesh High Court has held that an employee can't be arbitrarily denied pension under old scheme when he was transferred through the proper channels and without any break in service.Justice Satyen Vaidya: “In the facts of the case in hand, petitioner also qualified other condition as he had been transferred to the borrowing employer through proper channel w.e.f. 15.11.2002...
The Himachal Pradesh High Court has held that an employee can't be arbitrarily denied pension under old scheme when he was transferred through the proper channels and without any break in service.
Justice Satyen Vaidya: “In the facts of the case in hand, petitioner also qualified other condition as he had been transferred to the borrowing employer through proper channel w.e.f. 15.11.2002 when the 1999 Scheme was still in force. His absorption was without any break in service and as such, all the requirements of technical resignation were met.”
Background Facts:
The petitioner, Parneet Kumar was initially appointed as a helper in 1985 in a Government of Himachal Pradesh organisation. In November 2002, he was transferred to the State Social Women Welfare Department, where he joined as a Junior Assistant. In February 2013, he was permanently absorbed in the department and retired as Junior Assistant from the office of Child Development Officer, on May, 2015.
Upon retirement, he was issued a Pension Payment Order of ₹8,845 per month. His gratuity was sanctioned at ₹5,36,940. However, in May 2018, his pension was stopped, and he was paid only ₹2,35,500 as gratuity instead of the full sanctioned amount.
Aggrieved, the petitioner filed a writ petition before the High Court, claiming entitlement to pension under Central Civil Service (Pension) Rules, 1972, and payment of the remaining gratuity.
The State contended that the petitioner was permanently absorbed in the department in 2013, he was governed by the Himachal Pradesh Civil Services Contributory Pension Rules, 2006, which apply to employees appointed after May 15, 2003. Therefore, the State argued that he could not claim benefits under the old pension scheme.
Findings:
The Court observed that the petitioner had opted for the Himachal Pradesh Corporate Sector Employees (Pension, Family Pension, Commutation of Pension and Gratuity) Scheme, 1999, which was notified by the State Government on October 29,1999, and made effective from April 1, 1999.
Under this scheme, the pension benefits were to be determined under the Central Civil Services (Pension) Rules, 1972. The Court observed that although the 1999 Scheme was repealed on December 2, 2004, and the petitioner was transferred on November 15, 2002, when the scheme was still applicable.
The Court noted that his transfer took place through the proper channel and his absorption was without any break in his service. It held that this fulfilled all the conditions of technical resignation, a principle which allows uninterrupted counting of past service when an employee shifts between government departments.
Crucially, the Court noted that the petitioner's absorption letter itself stated that employees appointed on or before May 14, 2003 and who were governed by the Central Civil Services (Pension) Rules, 1972, in their parent organisation would continue to be governed by those Rules for pension benefits after absorption.
Thus, the Court held that the petitioner is entitled to pension as per the Central Civil Services (Pension) Rules, 1972, as he had been transferred through the proper channel, also, his absorption was without any break in service and all the requirements of technical resignation were met out.
Case Name: Parneet Kumar v/s State of H.P. & Ors.
Case No.: CWPOA No. 6190 of 2020
Date of Decision: 02.07.2025
For the Petitioner: Mr. Vinay Sharma, Advocate.
For the Respondents: Mr. Hemant K. Verma, Dy. A.G., for respondents No. 1 and 2/ State.Ms. Ruchika Khachi, Advocate, vice Mr. C.D. Negi, Advocate,for respondent No.3. Mr. Lokender Paul Thakur, Senior Panel Counsel, for respondent No.4.