CCS (Pension) Rules - Service Rendered As Contractual Employee Won't Qualify For Pensionary Benefits : Supreme Court

The Supreme Court has held that as per Central Civil Services (Pension) Rules 1972, period of services rendered as a contractual employee cannot be said to be service rendered on a substantive appointment. Hence, such service as contractual employee will not qualify as service for the purpose of pensionary benefits. 

Holding so, a bench comprising Justices MR Shah and CT Ravikumar allowed an appeal filed by Director General, Doordarshan Prasar Bharti Corporation of India against a judgment of the Gujarat High Court which held that the services of the respondent rendered as contractual staff shall be liable to be counted as temporary service for the purpose of calculating the qualifying service for pensionary/retiral benefits.

The Court noted that as per Rule 13 of the CCS (Pension) Rules, qualifying service of a Government servant shall commence from the date he takes charge of the post to which he is first appointed either substantively or in an officiating or temporary capacity. It further provides that such officiating or temporary service is followed without interruption by substantive appointment in the same or another service or post.

"Therefore, the services rendered on a substantive post or services rendered as officiating or temporary service shall be treated as qualifying service. Service rendered as casual/contractual cannot be said to be officiating or temporary service. Even the services rendered as temporary service can be considered as qualifying service provided that the officiating or temporary service is followed without interruption by substantive appointment in the same or another service or post. Service rendered as casual/contractual cannot be said to be service rendered on a substantive appointment", the Court observed.

The Supreme Court held that the High Court erred in observing that the services in temporary capacity will include the classes of temporary service such as casual or even contractual. 

"The High Court has materially erred in observing that the contractual service would be qualified as service in a temporary capacity. The question is not whether the services rendered by a contractual employee would be qualified as service in a temporary capacity. The question is, whether, in fact, such contractual employee rendered the services as temporary or not".

The bench noted that it is an admitted position that for the period between 1985 till 31.03.1995 the respondent served as a casual/contractual employee and her services came to be regularised as per the Scheme w.e.f. 31.03.1995

The Court further held that merely because in other departments, the services of contractual staff are counted for pension, the respondent cannot claim a right.

"The appellant – Doordarshan Prasar Bharti Corporation of India is an autonomous independent department/body. As observed hereinabove, neither the rule nor the regularisation scheme provide that services rendered as casual/contractual shall be treated as temporary service and/or the same shall be counted for the purposes of pensionary/service benefits", the bench observed, setting aside the High Court judgment.

Case Title : Director General, Doordarshan Prasar Bharti Corporation vs Smt.Magi H Desai

Citation : 2023 LiveLaw (SC) 248

Central Civil Services (Pension) Rules 1972 - Rule 13-Service rendered as casual/contractual cannot be said to be service rendered on a substantive appointment- Can't be counted towards qualifying services for pensionary benefits-The High Court has materially erred in observing that the contractual service would be qualified as service in a temporary capacity.

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