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Supreme Court of India 2022-09-05 allowed

Ahmednagar Mahanagar Palika vs Ahmednagar Mahanagar Palika Kamgar Union

Bench: 2 — M.R. Shah, B.V. Nagarathna

In Brief

The Supreme Court set aside orders from the Industrial Court and High Court directing Ahmednagar Mahanagar Palika to appoint heirs of employees upon those employees' superannuation or retirement. The Court held that such appointments are unsustainable because: (1) after conversion to a Municipal Corporation in 2003, employees became governed by State Government rules, which do not permit such appointments; (2) the Industrial Court itself modified the original 1979 award in 2005, eliminating the superannuation clause as no longer reasonable and misused; and (3) permitting such appointments violates Article 14 and 15 by denying opportunities to qualified external candidates. Compassionate appointment is not automatic and is subject to strict scrutiny—it cannot be extended to heirs upon superannuation even if termed 'varas hakka' (hereditary right).

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Industrial Law Labour Law Employment Compassionate Appointment Constitutional Law Administrative Law Municipal Law

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