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T. I. JOSE AND ORS. versus MANAGING DIRECTOR, KERALA WATER AUTHORITY AND ANR.

Citation: [2019] 4 S.C.R. 610 · Decided: 13-02-2019 · Supreme Court of India · Bench: D.Y. CHANDRACHUD · Disposal: Dismissed

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Judgment (excerpt)

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SUPREME COURT REPORTS
[2019] 4 S.C.R.
T. I. JOSE AND ORS.
v.
MANAGING DIRECTOR, KERALA WATER
AUTHORITY AND ANR.
(Civil Appeal No. 4676 of 2012)
FEBRUARY 13, 2019
[DR. DHANANJAYA Y. CHANDRACHUD AND
HEMANT GUPTA, JJ.]
Service Law:
Pay scale  – Of the post of Head Operators in the respondent
department  – In the line of promotional posts viz. ‘Operator’, ‘Head
Operator’ and ‘Mechanical Superintendent’, a post of ‘Senior
Operator’ was inserted between the posts of ‘Operator’ and ‘Head
Operator’ by an administrative order  – Decision of creation of the
intermediate post was set aside by High Court – Pursuant to the
order of High Court, State deleted the post of ‘Senior Operator’
and refixed the scales of pay corresponding to the existing pre-
revised scales of pay – Review petition by the respondent-Authority
dismissed – Writ appeals allowed by Division Bench of High Court
– In review High Court held that there shall be no recovery of
amounts already disbursed to the employees or pensioners of the
respondent- Authority – On appeal, held: The higher pay scale which
was given to Head Operators was occasioned by creation of an
intermediate post of Senior Operators – Once the intermediate post
was abolished since it was found to be ultra vires by the High Court,
the pay scale of Head Operators was restored to the exactly
corresponding pay scale under the revised scales of pay – This
action was consistent with law.
Dismissing the appeal, the Court
HELD: On the analysis of the pay revision, it has emerged
before the Court that Head Operators were drawing a pre-revised
scale of Rs 1455-2440.  The equivalent revised scale of pay under
the third pay revision was Rs 4710-7710.  Since an intermediate
post of Senior Operator was created by an administrative decision,
the scale of pay for that post was fixed at the pay scale allowable
   [2019] 4 S.C.R. 610
   610
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to the next higher post of Head Operator.  Consequently, the pay
scale for the post of Head Operator was made equivalent to that
which was drawn in the next higher post of Mechanical
Superintendent.  The High Court held that an intermediate post
could not have been created by an administrative order and would
require an amendment to the statutory rules.  Following this, the
State Government in its GO dated 18 March 2004 abolished the
intermediate post.  Upon the abolition of the intermediate post,
all that was done by the GO dated 18 March 2004 was to clarify
that Operators, Head Operators and Mechanical Superintendents
would be entitled to draw equivalent revised scales of pay
corresponding to their pre-revised pay scales.  The higher pay
scale which was given to Head Operators under note 13 was
occasioned by the creation of an intermediate post of Senior
Operators.  Once the intermediate post was abolished since it
was found to be ultra vires by the High Court, the pay scale of
Head Operators was restored to the exactly corresponding pay
scale under the revised scales of pay.   This action was consistent
with law.  The High Court has fairly issued a direction that no
recoveries shall be made. [Paras 13,14,15] [615-C-H; 616-C]
CIVIL APPELLATE JURISDICTION:  Civil Appeal No. 4676
of 2012.
From the Judgment and Order dated 16.11.2004 of the  High Court
of  Kerala at Ernakulam in W.A. No. 1465 of 2004 and dated 15.12.2005
in R.P. No. 200 of 2005.
A. Raghunath,  Adv. for the Appellants.
Nishe Rajen Shonker,  Anu K. Joy, Alim Anvar,  P. S. Sudheer,
Jogy Scaria,, Advs. for the Respondents.
The Judgment of the Court was delivered by
DR DHANANJAYA Y CHANDRACHUD, J.
1. This appeal arises from a judgment of a Division Bench of the
High Court of Kerala dated 16 November 2004.
2. The appellants were working at the material time as Head
Operators and Operators under the Kerala Water Authority1, a statutory
1KWA
T. I. JOSE  v. MANAGING DIRECTOR, KERALA WATER
AUTHORITY
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body established by the State of Kerala on 1 April 1984.  KWA
implemented three pay revisions:
(i)  The first pay revision was on 13 February 1990, with effect
from 1 July 1988;
(ii)  The second pay revision was on and with effect from 24 April
1995; and
(iii) The third pay revision was on 19 August 1999, with effect
from 1 March 1997.
3. Qualified operators were entitled to three grade promotions on
the completion of 10, 18 and 25 years of service.  Under the pay revision
of 1999, the period of service for the third grade prom

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