SC Commission Cannot Order Promotion Or Posting Of A Person At A Particular Place Or Cadre: Madras High Court

The Madras High Court recently observed that while the National Commission for Scheduled Castes can exercise the powers of the civil court for the purpose of conducting an adjudication in an effective manner, it cannot direct the authorities to grant promotion to a person or post her at a particular station or place.

"More specifically, National Commission is not empowered to issue any direction to transfer an employee in a particular post or place. Promotion is also a condition of service and all promotions are to be granted strictly in accordance with the Service rules in force," said Justice SM Subramaniam.

Observing that in service matters, the employers have got the prerogative powers to regulate their own administration, the court said if the Commission issues directions to transfer an employee, it may result in infringement of rights of other employees, who are otherwise eligible for promotion in accordance with rules.

"Thus, in the event of identifying violation of right of a member of a Scheduled Caste Community, the Commission may ensure that the employer rectifies the mistakes or violations in the manner contemplated under the Rules, but the Commission may not issue any straight direction to transfer an employee or to promote an employee, which may result in infringement of the rights of all other employees, who all are otherwise eligible for promotion in accordance with the rules."

Justice Subramaniam said the Commission has to exercise restraint in service matters, more specifically, in the matters of promotion, transfer and postings.

"The National Commission is not expected to interfere with the routine administrative affairs of the Departments or the Corporation. If at all there is any irregularity, illegality or violation of service rules are identified, then the Commission may issue suitable recommendations to rectify the same," the bench said.

The scope of Article 338 of the Constitution of India cannot be expanded for the purpose of interfering with the routine administrative affairs of the employer, which all are governed under the Service Rules in force, said the court.

"While considering the complaint, if at all any violation of Service rules are identified or traced out by the Commission, the Commission may issue necessary recommendations to rectify the mistakes by following the rules in force, but would not issue any straight direction to post a person or promote a person in a particular place or cadre," it added.

The court made the observations in its decision on a petition filed by Life Insurance Corporation of India challenging an order passed by the Commission wherein the statutory body had directed it to give promotion to a particular employee and post her in Chennai itself. The woman, who had joined as an Assistant in 2011 in the LIC in a city branch office, was promoted to the cadre of Higher Grade Assistant in 2017 but she was offered a posting at one Mofussil branch. However, she insisted that she be given posting within Chennai city.

Since this request was found "unreasonable", the management refused to accept this request. Against the refusal, the employee, who belonged to the SC community, approached the Commission alleging that she was discriminated against on the basis of her caste. The commission in July 2018 directed the LIC to promote the petitioner and post her in Chennai city itself.

The LIC contended before the court that the Commission had no jurisdiction to issue directions in the matter of promotions and postings, as the same is the administrative prerogative of the Corporation.

The court noted that promotion is a condition of service and all promotions are to be granted strictly in accordance with the Service rules in force. If such directions were issued based on a complaint of a particular person, it would deny promotional opportunity to other candidates, the court observed.

"In the event of issuing any such direction to promote the employee based on a complaint, then the same would result in denial of promotional opportunity to all other eligible employees, who all are waiting for promotion including the other Scheduled Caste employees, who may be senior to the complainant in a particular case."

Thus, the court quashed the communication issued by the Commission and allowed the petition filed by the corporation.

Case Title: Life Insurance Corporation of India v. The National Commission for Scheduled Caste and another

Citation: 2022 LiveLaw (Mad) 455

Case No: WP No. 27385 of 2018

Counsel for Petitioner: Mr CK Chandrasekkar 

Counsel for the Respondent: Mr.T.K.Thirumalaisamy Central Government Standing Counsel (R1), Mr.G.Alex Bengigar (R2)