Once allowed to opt for VRS, employee cannot be held back — SC

NEW DELHI, SEPT 4: The Supreme Court has held that Ifan employee under rules is eligible to opt for Voluntary Retirement Scheme (VRS), his retirement cannot be held back indefinitely.

Criticising the Assam Industrial Development Corporation (ASIDC) Managing Director for holding back the acceptance of VRS opted by one Manjushree Pathak, the Court said: “The MD of the corporation has failed to act reasonably and fairly. “He abdicated his duty by not exercising discretion at all in the light of the facts and circumstances of the case,” a division bench comprising Justice S. Rajendra Babu and Justice Shivraj V. Patil said in a recent order.

Pathak, working as deputy manager (law) in ASIDC, opted for VRS after working for nearly 23 years at the age of 43. Though the recommending authority forwarded Pathak’s VRS application for approval on December 7, 1995, it was not accepted by the MD till February 15, 1996.

When Pathak demanded payment of retirement benefits, they issued him a show cause notice saying she was participating in political activities of BJP which amounted to misconduct.