Supreme Court Grants Notional Promotion to Disabled RBI Employee in Landmark Judgment
The Supreme Court of India recently delivered a significant ruling in Reserve Bank of India & Ors. vs. A.K. Nair & Ors., a case that addressed the right to promotion for persons with disabilities (PwD) in public sector employment. The Court ruled in favor of the respondent, A.K. Nair, who had been denied promotion due to a lack of specific policies accommodating disabled employees.
Background of the Case
A.K. Nair, a person with 50% disability due to post-polio paralysis, had been employed with the Reserve Bank of India (RBI) since September 27, 1990. He sought promotion to the post of Assistant Manager Grade ‘A’ under the provisions of the Persons with Disabilities (Equal Opportunity, Protection of Rights and Full Participation) Act, 1995 (PwD Act, 1995) and relevant government policies.
In 2003, Nair participated in the All India Merit Test for promotion. The required passing mark was 95, but he secured 92, missing qualification by only three marks. While Scheduled Castes (SC) and Scheduled Tribes (ST) candidates were granted grace marks, no such concession was extended to PWD candidates. Nair repeatedly sought relaxation on par with SC/ST candidates but was denied.
After repeated rejections, he filed a writ petition in the Bombay High Court in 2006, seeking:
- Relaxation of qualifying marks for disabled candidates in promotions.
- Implementation of the 3% reservation policy in promotions for PwD employees.
- Inclusion in the promotion panel for the post of Assistant Manager.
Decision of the Bombay High Court
The Bombay High Court ruled in favor of Nair, holding that PwD candidates were entitled to reservation in promotion based on total vacancies rather than only direct recruitment vacancies. The High Court directed the RBI to apply the reservation policy retrospectively from December 29, 2005, and consider Nair’s case for promotion.
RBI and the Union of India challenged this ruling before the Supreme Court.
Key Legal Issues
- Whether the PWD Act, 1995 mandated reservation in promotions.
- Whether the RBI was required to apply relaxation criteria for PwD employees on par with SC/ST candidates.
- Whether the High Court’s directive to apply retrospective reservation in promotion was valid.
Arguments by the Petitioner (RBI and Union of India)
The RBI, represented by Jaideep Gupta, and the Union of India, represented by Madhavi Divan, argued:
- The RBI’s policies only allowed reservation in promotion for Group C and D employees, not for Group A posts.
- There was no provision mandating grace marks or relaxed qualifying standards for disabled employees in promotions.
- The Office Memorandum (OM) dated December 29, 2005, which clarified reservation in promotions for PwD employees, could not be applied retrospectively.
- Nair had chosen not to participate in the 2022 departmental promotion process, which had newly reserved vacancies for disabled candidates.
Arguments by the Respondent (A.K. Nair)
Nair, represented by K. Mohan, countered that:
- The RBI failed to implement the 3% reservation policy for PwD employees in promotions, violating the PWD Act, 1995.
- The Bombay High Court’s ruling aligned with precedents, including National Federation of the Blind v. Union of India (2013) and Rajeev Kumar Gupta v. Union of India (2016), which upheld reservation in promotion for disabled employees.
- The RBI’s refusal to extend grace marks to PwD candidates, while granting them to SC/ST candidates, violated Article 14 of the Constitution (Right to Equality).
Supreme Court’s Observations and Judgment
The Supreme Court, comprising Justices S. Ravindra Bhat and Dipankar Datta, ruled in favor of Nair, upholding the High Court’s decision with modifications. The Court made the following key observations:
1. Reservation in Promotion for PwD Employees
The Court reaffirmed its earlier rulings in Siddaraju v. State of Karnataka (2020) and Leesamma Joseph (2021), which established that PwD employees were entitled to reservation in promotions. The Court stated:
“The PWD Act, 1995, though silent on reservation in promotions, must be interpreted in a manner that furthers its objective of equal opportunity and participation.”
2. Relaxation of Qualifying Standards for PwD Employees
The Court ruled that PwD candidates were entitled to the same relaxation in qualifying marks as SC/ST candidates. The RBI’s refusal to apply such relaxation was discriminatory.
3. Retrospective Application of Reservation Policy
The Court held that reservation in promotion for PwD employees should be applied from September 27, 2006, when Nair filed his writ petition, and his actual promotion should be effective from September 15, 2014.
Final Judgment
- Nair was granted notional promotion as Assistant Manager from September 27, 2006, and actual promotion from September 15, 2014.
- The RBI was directed to compute and release Nair’s monetary benefits within four months.
- His retirement benefits would be calculated based on his promoted post.
Impact of the Judgment
- Affirms reservation in promotions for PwD employees.
- Strengthens the legal framework ensuring equal opportunities in public sector employment.
- Mandates fair application of relaxation policies in promotions.
The ruling reinforces that PwD employees must be treated at par with other reserved categories and that institutions cannot deny them rightful promotions through bureaucratic hurdles.
Petitioner Name: Reserve Bank of India & Ors..Respondent Name: A.K. Nair & Ors..Judgment By: Justice S. Ravindra Bhat, Justice Dipankar Datta.Place Of Incident: Mumbai, Maharashtra.Judgment Date: 03-07-2023.
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