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RAJASTHAN STATE ELECTRICITY BOARD AND ORS. versus LAXMAN LAL ETC. ETC.

Citation: [1990] SUPP. 2 S.C.R. 277 · Decided: 11-10-1990 · Supreme Court of India · Bench: P.B. SAWANT · Disposal: Appeal(s) allowed

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Judgment (excerpt)

RAJASTHAN STATE ELECTRICITY BOARD AND ORS. 
v. 
LAXMAN LAL ETC. ETC. 
OCTOBER 11, 1990 
[P.B. SAWANT AND N.M. KASLIWAL, JJ.] 
Electricity (Supply) Act, 1948/Rajasthan State Electricity Board 
(Emoluments) Regulation, 1978. Section 79(c) and· (k) Regulation 
79(c)-Meter Reader I/Meter Checker I and Meter Reader 11/Meter 
Checker II-Entitlement to pay scale as per settlement. 
A settlement was arrived at on 22.2.1972 between the Rajastban 
State Electricity Board and the Union representing its employees. In 
pursuance of this settlement, notification dated 22.3.1972 was issued 
revising the pay-scales of various categories of posts, effective from 1st 
April, 1969. As per the settlement, Meter Reader/Meter Checker was 
mentioned under scale No. 3. 
On December 2, 1972 a Second Settlement was entered into bet-
ween the parties with a view to removing certain ambiguities in the 
earlier settlement. In this second Settlement, notified on 6.12.1972, it 
was agreed to have two categories of Meter Readers, that .,, Meter 
Reader I/Meter Checker I and Meter Reader II/Meler Checker II. This 
settlement was made effective w .e.f. 1.4.1968. 
Some employees appointed before 6.12.1972 challenged the notifi-
cation dated 6.12.1972. The learned Single Judge of the High Court 
allowed the writ petitions and quashed the notification mainly on the 
ground that. the Second Settlement could not have been. made as no 
conciliation proceedings were pending before the second settlement. 
The Division Hench dismissed the appeal f'ded by the Board. Accord-
ingly, the Board implemented the judgment of the High Court and issued 
orders to provide scale No. 3 to all the Meter Readers appointed upto 
6.12.1972. 
Brijlal v. Rajasthan State Electricity Board, [1979] WLN (UC) 221, 
referred to. 
A 
B 
c 
D 
E 
F 
G 
During this period, the State Electricity Board in exercise of the 
powers conferred by section 79, sub-section (c) and (k) of the Electricity 
(Supply) Act, 1948 made regulations which are called Rajasthan State 
H 
277 
A 
B 
c 
278 
SUPREME COURT REPORTS 
[1990] Supp. 2 S.C.R. 
Electricity Board Employees (Emoluments) Regulations, 1978. These 
Regulations were made applicable retrospectively from 1st April, 1974. 
Under these regulations, post of Meter Reader II/Meter Checker II was 
mentioned in scale No. 2. 
In 1979, an arbitration award was given between the Board and 
the onion under which two categories of Meter ReadersjMeter Checkers 
were again made. 
Subsequently, 35 employees appointed between the period 1972-
79 filed the present writ petitions in the High Court. The stand taken by 
these employees was that the Notification dated 6.12.1972 had already 
been ·quashed by the High Court and as such they were to be governed 
by the First Settlement dated February 22, 1972 in which there was only 
one category of Meter Reader/Meter Checker to whom pay-scale No. 3 
had been given and as such they were also entitled to pay-scale No. 3. 
The High Court allowed the writ petitions and granted pay-scale No. 3 
to all the petitioners. The Division.Bench dismissed the special appeal of 
D the Board. The Board has now -come before this Court against such 
employees who were appointed after 1.4.1974. 
The contentions of the Board before this Court were that (i) even 
if for arguments' sake the earlier decision given by the .High Court may 
be considered as final, that was in respect of the employees who were 
E 
appointed before 6th December, 1972; (ii) as regards the present emp-
loyees no benefit could be granted in their case as the First Settlement 
itself was to remain in force upto 31st March, 1974; (iii) in any case in 
the appointment orders of the respondents it was clearly mentioned that 
they were appointed as Meter Reader/Meter Checkers Gr. II in the 
pay-scale No. 2; and (iv) under the Rajasthan State Electricity Emp-
F 
loyees (Emoluments) Regulations 1978, which were made applicable 
from Isl April, 1974 Meter Reader-II/Meter Checker TI have been placed in 
pay scale No. 2 and Meter-Reader I/Meter Checker I have been placed 
in pay-scale No. 3. 
On behalf of the employees-respondents it was conended that (i) 
G 
though according to Clause IX of the First Settlement dated 22.2.1972 
the settlement was to remain in force till 31st March, 1974 yet the same 
would remain in operation until the expiry of two months from the date 
on which a notice in writing of an intention to terminate the settlement 
was given by one of the par

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