In Brief
The Himachal Road Transport Corporation introduced a new Pension Scheme effective 05.06.1995, replacing the Contributory Provident Fund for eligible employees. Retired employees who had already received CPF benefits before that date sought retroactive coverage, claiming the cut-off date was discriminatory. The High Court agreed and quashed it. The Supreme Court reversed, holding that retirees under the old scheme and employees still in service are not similarly situated. Fixing a cut-off date matching Cabinet approval is neither arbitrary nor violative of equality rights. Employers may introduce new prospective benefits without extending them retroactively to those already paid under prior schemes.
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