G.S. KAUSHIK AND ANR. versus UNION OF INDIA AND ORS.

Citation: [1996] SUPP. 1 S.C.R. 189 · Decided: 12-04-1996 · Supreme Court of India · Bench: S.C. AGRAWAL · Disposal: Disposed off
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Judgment (excerpt)

G.S. KAUSHIK AND ANR. 
v. 
UNION OF INDIA AND ORS. 
APRIL 12, 1996 
[S.C. AGRAWAL AND G.T. NANA VAT!, JJ.] 
Labour Law : 
Indust1ial Disputes Act, 1947-S.2(s) : 
Awarcf-Employees of Regional Rural Banks and Nationalised Com-
mercial Bank-Paiity in emoluments between-Passed by National Jndus/lial 
Tiibunal-Directions issued for its implemc11tatiolt-Co11stitutio11 of India 
1950, A1t. 32. 
The petitioners, All India Regional Rural Bank Employees Associa-
tion and All India Gramin Bank Workers Organisation representing the 
employees of the Regional Rural Banks (RRBs.) filed writ petitions in this 
Court seeking parity in emoluments between the employees of the Regional 
Rural Banks inter seas well as the employees of the Nationalised Commer-
cial Banks. In Accordance with the directions by this Court giving in the 
said u·rit petitions, the Central Government constituted a National In-
dustrial Tribunal to decide the question relating to pay, salary, and other 
benefits payable to the employees of RRBs. 
A 
B 
c 
D 
E 
The Tribunal gave its award holding that upto August 31, 1987 the F 
employees of RRBs should be extended the pay scale and allowances as are 
adnaissible to the State Govern1nent einployces in comparable posts and 
status and that with effect from September l, 1987 the said employees shall 
be entitled to the pay scales, allowances and other benefits on par with the 
employees of comparable levels in corresponding posts of respective spon-
G 
sor banks. With regard to equation of posts, the Tribunal had held that 
the Central Government might decide the same in consultation with such 
authorities as it might consider necessary. The Central Government ap-
pointed an E!1uation Committee whose report had been accepted by the 
Central Government whereby RRBs employees had been brought into the 
sponsor bank scales of pay with effect from September 1, 1987. 
H 
225 
A 
B 
226 
SUPREME COURT REPORTS [1996] SUPP.1 S.C.R. 
The petitioners filed the present applications in this Conrt seeking 
directions regarding implementation of the directions given by the 
Tribunal in the award. The main grievance of the applicants was regarding 
non-payment of arrears payable to the employees of RRBs in terms of the 
award of the Tribunal. This Court directed the respondents to prepare a 
scheme in consultation with the Employees' Association with regard to the 
discharge of the said liability of payment of arrears. In pursuance of the 
said directions the Central Government constituted the 'Basu Committee', 
to prepare a scheme with regard to payment of arrears to all the employees 
of RRBs as a consequence of the implementation of the award of the 
Tribunal read with the report of the Equation Committee, which submitted 
C 
its report. 
D 
E 
Disposing of the applications, this Court directed 
1. The award of the National Industrial Tribunal shall be treated as 
an award of a tribunal under the Industrial Disputes Act, 1947 and it will 
be open to the employees of Regional Rural Banks, irrespective of the fact 
whether they fall within the ambit of the expression 'workman' as defined 
in Section 2(s) of the Industrial Disputes Act or not, seek their remedies 
for implementation of the award in respect of those matters before the 
appropriate forum under the Industrial Disputes Act. [233-D-E] 
2. The liability for payment ol arrears payable to the employees of 
the RRBs for the period upto December 30, 1990 in terms of the award of 
the Tribunal shall be discharged by the respondents in the following 
manner : [232-B-C] 
F 
(a) 53 RRBs, which are in profit, shall make payment as per the 
scheme suggested by Basu Committee and will be operative from February 
20, 1996. [232-C) 
(b) The RRBs which are being identified for restructuringlrevamp-
G ing will make payment as per the scheme suggested by Basu Committee 
and will be operative with effect from August 20, 1996. [232-D) 
(c) As regards remaining RRBs the scheme as suggested by Basu 
Committee would apply subject to the modification that the amount of 
arrears shall be paid in four instalments instead of three instalments as 
H suggested by Basu Commitee and instalment will be for 25% of the amount 
• 
G.S. KAUSHIK v. u.o.r. 
227 
of arrears. The first instalment would be payable by August 20, 1997 and A 
other instalments would be payable after yearly intervals. [232-E-F] 
(d) The employees falling in categories (b) and (c), as mentioned at 
page No. 7 4 of the Report o
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