Supreme Court Directs States To Immediately Pay Salaries And Perquisites To Consumer Forum Members As Per Existing Rules

The Supreme Court has directed all state governments to immediately pay the salary and perquisites of the Chairpersons and Members of the State and District Consumer Dispute Resolution Commissions as per existing Rules.

A bench of Justice Abhay Oka and Justice N Kotiswar Singh passed this order while hearing a batch of cases related to the salaries and service conditions of Consumer Forum members. The Court noted the grievance of some petitioners that in some states, the salary and perquisites of Consumer Forum members were not being paid even as per the prevailing Rules.

“We direct all the state governments to ensure that without prejudice to various contentions raised in this group of cases, salary and perquisites as per existing Rules shall be immediately paid to the Presidents/Members. In the event compliance is not made by some of the state governments, the concerned parties are free to submit a note to that effect to the learned amicus so that the court can pass appropriate orders”, the Court ordered.

The Court was informed that the Government of India was holding consultations on the issue based on the Court's earlier order dated January 7, 2025, which directed the Centre to take a decision on suggestions submitted by the Amicus Curiae.

The Court stressed the seriousness of the matter and stated that if the government did not find a solution, it would consider using its power under Article 142 of the Constitution.

“Considering the seriousness of the issue, unless some solution is found out by the Government of India, we will have to consider of exercising power under Article 142 of the Constitution of India. Matter to be listed on 8th April at 2:00 p.m. By that time if there is no decision forthcoming from the Government of India, we will consider of exercising our power under Article 142 of the Constitution of India”, the Court stated.

Background

On January 7, 2025, the Court directed the Union of India to take action on suggestions for minimum salaries, annual increments, and payment of arrears for Consumer Forum Presidents and Members. Senior Advocate Gopal Sankaranarayanan gave the suggestions in a suo moto case dealing with the demand for salary parity between Consumer Forum members and District Judges.

Sankaranarayanan, appointed as Amicus Curiae, has suggested changes to the Consumer Protection (Salary, Allowances, and Conditions of Service of President and Members of the State Commission and District Commission) Model Rules, 2020. His proposals included a minimum salary equal to the last drawn pay for retired or serving District Judges and Government Officers, an annual increment of 3 percent, and payment of arrears from August 18, 2018, for those who served before the 2020 Model Rules were implemented. The Supreme Court has directed the Union of India to consider these suggestions and take appropriate action.

Earlier, the Court had indicated that it may make it mandatory for all states to implement the Model Rules if they are amended by the Centre, till the states make their own Rules. Justice Oka also mentioned that the Court could use its power under Article 142 to issue necessary directions. The Additional Solicitor General KM Nataraj had assured the Court that the Union Government would consult stakeholders before making a decision.

The issue began with multiple petitions, including one filed by a retired District Judge, seeking salary parity between Consumer Forum members and District Judges. The Supreme Court, on February 2, 2023, issued notice to all states regarding the issue.

Subsequently, on November 5, 2024, the Supreme Court observed the need to sort out the issues regarding pay and allowances of consumer forum members so that the Consumer Protection Act, 2019 can work efficiently. The Court highlighted that certain members were receiving salaries as low as five figures and requested the Solicitor General of India Tushar Mehta to provide assistance in this matter.

Case no. – WP(C) No. 1144/2021

Case Title – In Re Pay Allowance of the Members of The UP State Consumer Disputes Redressal Commission 

Click Here To Read/Download Order