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Supreme Court of India 2019-07-31 allowed

Central Bank of India & Ors vs Tara Chand

Bench: 2 — Ashok Bhushan

In Brief

A bank employee who opts for voluntary retirement at age 40 with 11 years of service seeks pro-rata pension under a voluntary retirement scheme. The Supreme Court held that an employee seeking voluntary retirement under the Central Bank of India Employees Voluntary Retirement Scheme 2001 is entitled to pension only if eligible under the Pension Regulations 1995, which requires a minimum of 15 years of qualifying service for voluntary retirement. The employee's eligibility to apply for retirement (40 years or 15 years service) does not automatically entitle them to pension. Since the employee had not completed 15 years of service, no pension was due, regardless of delay or individual hardship. The Court emphasized strict adherence to statutory regimes.

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Banking Law Employee Benefits Pension Voluntary Retirement Scheme Service Regulations Social Security

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