Grant of notional increment (as due on 1st Jan/ 1st July) to the officers/ employees superannuated on 31st Dec/ 30th June and revision of pensionary benefits.

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Grant of Notional Increment: A Landmark Decision for Retired CPWD Officials (File no, 2/3/2023-EC-IV(SC)/190-E)

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In a significant development for retired officials of the Central Public Works Department (CPWD), the Ministry of Communications, Department of Posts, has issued an Office Memorandum announcing the implementation of a crucial judgment regarding the grant of notional increment. The memorandum, dated February 20, 2024, highlights the culmination of a legal battle initiated by retired CPWD officials seeking pensionary benefits in line with their entitlements.


Background: Retired CPWD officials, superannuated on June 30th and December 31st, approached the Central Administrative Tribunal (CAT) seeking the benefits of a notional increment. Their contention was that their pensions should have been fixed by considering the increment due immediately following their respective dates of superannuation.


Judicial Pronouncement: The Hon’ble CAT (PB) New Delhi ruled in favor of the applicants, citing similar judgments and legal precedents. Despite challenges, including a writ petition filed in the Delhi High Court, the judicial journey culminated in a directive in favor of the retired officials.


Supreme Court's Verdict: The Supreme Court of India, in Civil Appeal No. 2471 of 2023, upheld the rights of the retired officials to receive one annual increment earned on the last day of their service. This landmark judgment affirmed the principles of fairness and equity in pensionary benefits.


Government's Response: Following the directives of the judiciary, the Ministry of Housing and Urban Affairs (MoHUA), as the competent authority, approved the implementation of the CAT judgment. This decision underscores the government's commitment to upholding the rights and welfare of its retired employees.


Implementation Process: The CPWD has been directed to implement the judgment of the CAT for all retired officials who were party to the legal proceedings. This includes verifying the records of the petitioners and ensuring prompt action in compliance with the court's orders.


The implementation of this judgment holds profound significance for retired CPWD officials, ensuring that they receive their rightful pensionary benefits in accordance with established legal principles. It reflects the government's commitment to justice and fairness in its dealings with its employees, even after their retirement.


This Office Memorandum serves as a testament to the resilience and perseverance of retired CPWD officials in their pursuit of justice. By upholding their rights through legal avenues, they have not only secured their own welfare but also set a precedent for future cases concerning pensionary benefits in the public sector.

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