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Lakhs of Retired Employees Denied Justice: EPS Committee Seeks Urgent Intervention from CJI Bhushan Gavai

Introduction

In a move that could impact lakhs of pensioners across India, the Employees' Pension Scheme (EPS-1995) Coordination Committee has written to the Chief Justice of India, Hon’ble Justice Bhushan Gavai, urging immediate and empathetic intervention. This request follows a recent Supreme Court decision that dismissed the petition of retired Powergrid Corporation employees, adversely affecting pension entitlements for those who retired before 1st September 2014.

Background: A Longstanding Battle for Equitable Pension

The dispute centers around the Employees’ Pension Scheme (EPS), 1995, particularly concerning the method of calculating pension benefits. Retired employees have long advocated for pensions to be based on their actual last drawn salary rather than a statutorily capped wage limit.

Judicial support for the pensioners had initially been strong. In 2018, the Kerala High Court struck down certain restrictive amendments to the scheme, ruling in favor of pension calculations based on real earnings. This judgment was subsequently upheld by the Supreme Court in April 2019, providing substantial relief and hope to thousands of retirees.

You can also read the blog of Kesavananda Bharati v. State of Kerala

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However, since 2019, the trend in judicial decisions has seemingly reversed. The Employees' Provident Fund Organisation (EPFO), whose earlier special leave petitions (SLPs) were consistently dismissed, began seeing favorable outcomes, leaving pensioners increasingly sidelined.

May 2025 Verdict: A Disheartening Turn

The latest setback came when the Supreme Court bench rejected the plea of Powergrid Corporation retirees seeking pension on the basis of their actual salaries. These employees, who retired before September 1, 2014, have now been excluded from the benefit of enhanced pension. The EPS Committee criticized the judgment, calling it “arbitrary” and asserting that it failed to address the central legal and humanitarian issues involved.

In a letter dated May 20, 2025, the Committee’s National General Secretary Prakash Pathak and Legal Advisor Dada Tukaram Zode alleged that the court did not fully appreciate the arguments presented, resulting in what they described as a grave injustice to senior citizens dependent on pension for survival.

Legal and Humanitarian Concerns

The Committee’s appeal is grounded in both legal precedent and humanitarian principles. Citing the 2019 Supreme Court ruling which upheld the Kerala High Court’s verdict, the Committee emphasized the need for consistency and fairness under Article 14 of the Constitution. They argue that denying enhanced pension to pre-2014 retirees constitutes discrimination and violates the principle of equality before law.

Prakash Pathak expressed his concern, stating, “Since 2004, we had faith in the top court. For the first time, we feel that justice has eluded us.” He highlighted that while 10 SLPs filed by EPFO were dismissed till 2016, a reversal of stance post-2019 has left pensioners in despair.

Constitutional Duty and the Call for Relief

This issue goes beyond legal interpretation; it strikes at the core of the right to live with dignity under Article 21 of the Constitution. With inflation eroding the value of pensions and healthcare costs rising, it is essential that retirees receive fair and adequate financial support.

The Committee has thus called upon the CJI to take suo motu cognizance or constitute a larger bench to revisit the matter, in light of the socio-economic consequences of the judgment.

Conclusion: Justice Must Reflect Compassion

The plea from the EPS-1995 Coordination Committee is more than a legal submission—it is a heartfelt request for compassionate justice. With lakhs of senior citizens affected, the need for timely and empathetic judicial action cannot be overstated.

The apex court, as the ultimate guardian of constitutional values, must ensure that its decisions do not result in hardship for those who spent a lifetime in service to the nation. It is hoped that the Hon’ble Chief Justice will respond to this earnest appeal and restore fairness in pension entitlements for all affected retirees.

 

29 May 2025
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