Justice RN Manjula said although the right claimed by the petitioners is due to a mistake of the respondents, the fact remains that it was not a mistake of a few days or months, but one of several years CPS provided for 10 years, deduction during termination unfair: Madras HCThe petitioners believed that they would get back the amount contributed to their CPS without any deduction, at the time of their termination.

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Tamil Nadu
CPS provided for 10 years, deduction during termination unfair: Madras HC
The petitioners believed that they would get back the amount contributed to their CPS without any deduction, at the time of their termination.

The impugned orders related to the stoppage of deduction of the contribution of the petitioners as well as the state towards CPS.(Express Illustrations)
Express News Service
Updated on: 
09 Sep 2024, 9:13 am
2 min read
MADURAI: The Madurai bench of the Madras High Court directed the state government to disburse the entire amount contributed by the state and the temporary employees of the animal husbandry and veterinary services department to the latter’s Contributory Pension Scheme (CPS) accounts without any deductions.

Justice RN Manjula said although the right claimed by the petitioners is due to a mistake of the respondents, the fact remains that it was not a mistake of a few days or months, but one of several years.

“The petitioners believed that they would get back the amount contributed to their CPS without any deduction, at the time of their termination. This sudden change would largely affect the petitioners’ interest,” the court said.

The court was hearing a batch of petitions filed by the temporary employees, seeking a direction to the state government to cancel the impugned orders and to pay the employers’ subscription contribution. The impugned orders related to the stoppage of deduction of the contribution of the petitioners as well as the state towards CPS. The petitioners’ contribution was refunded but not the employer’s contribution.

The petitioners submitted that they were appointed under rule 10 (a) (i) of the Tamil Nadu State and Subordinate Service Rules as temporary employees and CPS contributions were made by the petitioners and the state for 10 years. However, the employer’s contribution was stopped abruptly.

The additional advocate general said the temporary workers were mistakenly provided CPS and once the mistake was identified, it was rectified.

The counsel for the petitioners submitted that the contributions of the respondents were not refused when a similar incident occurred. Moreover, the petitioners’ services had been utilised for several years, which is why they got Contributory Pension Scheme.