RTC: Kerala told to mull raising retirement age
Kochi: Kerala High Court on Thursday quashed the government ban on enhancing the retirement age of the KSRTC staff from 56 to 58.
“It is time for the government to open its eyes, especially in the wake of the request put in by the KSRTC,” Justice V. Chitambaresh observed and directed the government to consider the issue afresh. KSRTC MD Antony Chacko refused to comment on the issue.
The court allowed a batch of petitions filed by the KSRTC employees and retired employees seeking to enhance their retirement age. “It is open to the government to confer the benefit of enhancement of the retirement age retrospectively. This is because the petitioners have retired subject to the result of the petitions and many other employees would be similarly placed. The decision shall be taken within one month,” the court held.
The board of directors of the KSRTC on February 23 had decided to re-fix the age of retirement of its employees at 58. The decision was taken after a long deliberation taking note of the financial position and future commitments of the KSRTC. It forwarded the decision to the government for its consideration as per the Road Transport Corporation Act. The government refused to accept the same and rejected the proposal on April 8.
The court observed that the government had turned a blind eye to the points canvassed by the KSRTC in turning down its request. “There is a total non- application of mind on the part of the government in declining the plea. Hence, the court quashed the decision of the government,” the court held. The KSRTC argued before the court that that if the age of superannuation is increased from 56 to 58, it can save Rs 400 crore. The state-owned companies do not have uniformity in age of superannuation, the KSRTC informed.
The court pointed out that the retirement age of government employees is 56 only in the state and Jharkhand. The retirement age is 58 years in Tamil Nadu and 60 in Karnataka and Andhra Pradesh. Money can be saved by declaring a retirement holiday of two years in the KSRTC. The money so saved could be profitably utilised for the revival of the KSRTC is a valid reason mooted,” the court observed.