Repatriation to the original department before a permanent appointment does not count as absorption: The Supreme Court supports NHAI’s choice to deny an employee’s promotion.
The Supreme Court supported NHAI’s choice to deny an employee a promotion. The Court noted that returning to a parent department before a permanent appointment does not count as absorption. It overturned the decisions of the Central Administrative Tribunal (CAT) and the Madras High Court, which had approved the promotion given to the employee by NHAI. The judges stated that the repatriated Manager (Technical) could not receive promotion benefits for his earlier deputation service. Justice Sudhanshu Dhulia and Justice Ahsanuddin Amanullah explained that the employee later joined NHAI through direct recruitment for the Manager (Technical) position. This meant he entered the service as a new recruit. Since he had returned to his parent department over a year before this permanent appointment, it could not be considered absorption as mentioned in Clause 6. Therefore, he was a new hire for the Manager (Technical) role, unrelated to his past service with NHAI.
AOR Santosh Kumar represented the Appellant, while Advocate Vijay Shankar represented the Respondents. The employee was first appointed as a Manager (Technical) on deputation with NHAI in 2008 and worked there until 2014, when he returned to his original department in Tamil Nadu. In 2015, he was directly hired for the same position at NHAI after passing the required exam. He applied for a promotion to Deputy General Manager (Technical), arguing that his time on deputation should count towards the four years of service needed for eligibility. Citing a 2017 Circular that allowed deputation time to be counted as regular service for promotions, he went to CAT, which ordered NHAI to grant the promotion retroactively. The Madras High Court supported this ruling.
The Supreme Court observed that the employee was permanently absent from the Appellant’s service due to his return to his parent department. The Court looked at Clause 6 of the 2017 Circular, which stated that deputation service could be counted for promotion if it was continuous and without major breaks. The Court noted that the employee’s repatriation in 2014 ended his deputation, making his reappointment in 2015 a new start. The Bench referenced its ruling in Indu Shekhar Singh v State of Uttar Pradesh, (2006), where the Supreme Court stated that past services can only be considered if the Rules allow it or if there is a special situation that justifies the benefit of past service.
The Court decided that the Impugned Order and the CAT’s order are not valid and will be canceled. As a result, the Original Application from respondent no.1 will be dismissed. Respondent no.1 will be eligible for promotions based on the Recruitment Regulations and the Circular, along with the points discussed in this order. All related service benefits, including pension if applicable, will be calculated from the date respondent no.1 started working with the appellant. Therefore, the Supreme Court approved the Appeal.
Cause Title: National Highway Authority Of India v. G Athipathi & Ors. (Neutral Citation: 2024 INSC 943)
Appearance:
Appellant: AOR Santosh Kumar
Respondents: Advocate Vijay Shankar, Balaji Subramanian and Akash Kundu, AOR A. Lakshminarayanan
