Employee Retiring Before Next Increment Date Not Entitled To Notional Increment Without Full Qualifying Service: Meghalaya HC
Namdev Singh
20 Aug 2026 9:20 AM IST
A Division Bench of the Meghalaya High Court comprising Justice Revati Mohite Dere and Chief Justice W. Diengdoh held that an employee is entitled to an annual increment only after completing 12 months of qualifying service, and no increment is admissible if the date of next increment falls after the date of retirement.
Background Facts
The respondent was appointed as Store Clerk in the Geological Survey of India (GSI) on 01.07.1997. He was subsequently promoted to Assistant Store Keeper (Technical) w.e.f. 12.01.2005. Further he was promoted to Store Keeper w.e.f. 04.02.2008. He superannuated from service on 31.12.2023. He sought entitlement to increment on 01.01.2024. Therefore, he approached the Central Administrative Tribunal (CAT), vide Original Application, seeking direction to confer the benefit and for re-fixation of pension.
The Tribunal directed that the petitioners should be granted one notional increment falling due on 01.01.2024. The Tribunal further directed to issue revised PPOs within four months. Aggrieved by the Tribunal's order, the Union of India filed the writ petition before the High Court of Meghalaya.
It was argued by the petitioner that the CAT passed the order on a wrong premise. The CAT was made to understand that the respondent, who was retiring on 31.12.2023, was entitled to notional increment on 01.01.2024. However, based on the option exercised by the respondent through his letter dated 16.02.2023, his date of next increment fell on 1st July of the next year, i.e., 01.07.2024 and not 01.01.2024.
It was further argued that the Government of India vide Office Memorandum dated 31.07.2018 had clarified that the next increment is available only after a period of 12 months. The corresponding orders had been passed clearly indicating the respondent's next date of increment as 01.07.2024.
On the other hand, it was argued by the respondent that the annual increment does not arise only on the Date of Next Increment (DNI), but it would accrue from the very next date on which the employee has earned his previous increment. The respondent served for about six months more after his last increment on 01.07.2023.
Findings and Observations of the Court
It was observed by the Division Bench that the Tribunal had come to an opinion that since the respondent retired on 31.12.2023, his DNI was in January of the next year, i.e., 01.01.2024, however, it was 01.07.2024. it was further observed that the Government of India vide Office Memorandum dated 31.07.2018 had clarified that the next increment is available only after a period of 12 months.
It was noted that the OM provided that in case of promotion on 1st January or 1st July, the first increment shall accrue on the following 1st July or 1st January, as the case may be, provided a period of 6 months' qualifying service is strictly fulfilled. The next increment thereafter shall accrue only after completion of one year.
It was held by the Division Bench that the CAT failed to consider the factual aspect of the case and came to a wrong conclusion on the DNI.
With the aforesaid observations, the order of the Central Administrative Tribunal was quashed and set aside by the Division Bench. Consequently, the petition filed by the Union of India was disposed of by the Division Bench.
Case Name : Union of India Vs. Shri Rafique Uddin Barbhuiya
Case No. : WP(C) No. 371 of 2025
Counsel for the Petitioners : N. Mozika, DSGI with K. Gurung, Adv.
Counsel for the Respondent : A.R. Tabildar, Adv.
