DEVARAJAN Vs. UNION OF INDIA

JUDGEMENT

(1.) These original petitions are at the instance of the members of the managerial staff of Fertilisers and Chemicals Travancore Limited, a Central Public Sector Enterprise. The challenge is against the decisions of the Board of Directors of FACT to lower the retirement age of managerial employees from 60 to 58.

(2.) Pursuant to an order, dated 15th June 1971 the retirement age of employees belonging to the managerial or supervisory category, whose salary per month exceeded Rs. 750 was fixed at 58 years and in the case of persons whose salary did not exceed Rs. 750 per month the superannuation age was 60. In 1978 under an agreement there was further change in the age of retirement. It was decided that those employees on the rolls of the company as on January / February 1978 would automatically retire from the service of the company on their attaining the age of 60 and employees who joined the company after 23rd January 1978 will retire on their attaining the age of 58. Thereafter pursuant to Ext. P1 office memorandum issued by the Government of India, Ministry of Industry, Department of Public Enterprise, the age of retirement was enhanced to 60. Exhibits are referred as they are marked in O. P. No. 11028/2000 and counter affidavits filed therein. The amendment regarding age of retirement of the managerial personnel was effected by making necessary modification in the superannuation rules as is evident from Ext. P - 3 with effect from 30th May 1998. In the case of employees who are workmen, the change was brought in by way of a settlement as evidenced by Ext. P - 4 with effect from 16th June, 1998.

(3.) Petitioners' complaint is against the decision taken by the Board of Directors of FACT on 28th February 2000 to reduce the retirement age of the managerial employees from 60 to 58. They would contend that such decision is against the policy of the Central Government which was reflected in Ext. P - 1 namely a direction to enhance the age of retirement from 58 to 60. Therefore, they seek to quash Ext. P - 8 decision taken by the Board of Directors to the extent it reduced the retirement age of all the managerial staff.