High Court of KeralaDivision Bench2023-09-18Writ Appeal allowed; Single Judge’s order set a...

Employees Provident Fund Organisation v. Johnson M.J. and others (WA No.559 of 2021)

Case / Petition Number:WA NO.559 OF 2021

Case Details & Bench

Court: High Court of Kerala
Hon'ble Judges: Anu Sivaraman
C. Jayachandran
Judgment Date: 2023-09-18
Court Decision / Holding: WA 559/2021 allowed; the judgment of the learned Single Judge is set aside. The appellants must consider the issue strictly in accordance with the directions issued by the Supreme Court (as in Sunil Kumar B.) and taking note of any options submitted by the employees; the applicability of circular 25.01.2023 is left open.
Final Disposition: Writ Appeal allowed; Single Judge’s order set aside; matter to be decided strictly per Apex Court directions with employee options considered; circular 25.01.2023 left open.

Parties to the Case

Appellants / Petitioners

Regional Provident Fund Commissioner (EPFO)
Sub Regional Provident Fund Commissioner

Respondents

JOHNSON M.J.
K.K.HASSAINAR
V.N.LINSON
M.VIJAYAKUMAR
SAJI GEORGE
P.A.RIYAS
JOSE PETER
V.P.STEPHEN
K.M.SHAJI
C.H.MUHAMMED SHIFAS
FINU FRANCIS
P.J.TOMY
R.B.AUREO
JOSHI D SILVA
I.V.GIBY
N.SIVADAS
V.A.DARVIN
G.CHANDRA SEKHARA PILLAI
V.V.NIBIN
JOMY JOSE
K.X.ROY
K.M.UMMER
P.RAVEENDRAN PILLAI
P.R.PRAVEEN
S.SIVARAJ
V.P.MOHAMMED
S.SHINU
C.R.SARATH
E.K.ARISH
P.T.OMANA
V.S.ANILKUMAR
M.J.GEORGE
P.S.SASEENDRAN NAIR
A.K.VENUGOPAL
P.A.SAJAN
R.RAVEENDRAN
K.R.NITHINKRISHNA
P.L.SAJU
P.B.BAIJU
C.M.AJMUDHEEN
M.S.AJITH
DELTON DESILVA
P.V.CHERIAN
KURIAKOSE GEORGE
GEORGE VARGHESE
VARGHEESE M.JOSEPH
JITHIN MOHAN
M.M.ABDUL NAZAR
P.G.RAJESH ACHARI
C.A.GEORGE
THE UNION OF INDIA
THE HMT MACHINE TOOLS LTD.
THE CHAIRMAN, PROVIDENT FUND TRUST OF EMPLOYEES FOR HMT TOOLS LTD.

Legal Representation & Advocates

Counsels for Petitioners

• Sajeev Kumar K.Gopal

Counsels for Respondents

• P.K Aboobacker
• M.A. Vinod (CGC)
• Sagi Varghese

Case Synopsis & Summary

This writ appeal, filed by the Employees Provident Fund Organisation (EPFO), challenges a learned Single Judge’s order in WP(C) 20551/2015 directing re-determination of pension payable to respondents 1–50. The appeal references directions from judgments including P. Sasikumar and others v. Union of India and others (ILR 2019 (1) Ker. 614) and ultimately relies on a Supreme Court decision in Employees Provident Fund Organisation v. Sunil Kumar B. and Others (2022 (6) KLT 234 (SC)). The appellants contend that the 22.08.2014 notification remains legal and valid and that the Supreme Court has laid down directions regarding options to be submitted by employees. They submit the issue should be resolved strictly in light of those apex Court directions, with consideration of any employee options, and with the question of circular dated 25.01.2023 left open. The respondents’ counsel, while highlighting relevant precedents, emphasize adherence to settled framework for pension calculation under the EPF scheme. The Division Bench ultimately allows the appeal, sets aside the Single Judge’s order, and directs consideration strictly in accordance with the Supreme Court’s directions, including taking note of employee-submitted options, while leaving open the applicability of circular 25.01.2023.

Submissions & Arguments

Contentions of Appellants / Petitioners

The appellants submit that the issue is now effectively settled by the Supreme Court in Sunil Kumar B. and Others, upholding the 2014 notification and directing further employee options. They contend that the matter must be decided strictly in accordance with the Apex Court’s directions, with due regard to any options submitted by employees, and that the applicability of circular dated 25.01.2023 is to be considered within that framework. The reference to P. Sasikumar and others (ILR 2019 Ker. 614) is noted as part of the prior directive framework, but the controlling authority is the Supreme Court decision, which provides the relevant directions for pension computation and employee options.

Contentions of Respondents

The respondents align with the need to follow established precedents and apex directives. They rely on the judgments cited by the appellant and emphasize adherence to the framework for pension calculation under the EPF scheme, including the directions that flow from the Supreme Court’s Sunil Kumar B. decision and prior Kerala High Court guidance, while recognizing that the apex direction governs the manner of reconsideration of pension arrears and options to be offered to employees.

Cited Precedents (2)

Case Name	Citation	Treatment	Explanation
P. Sasikumar and others v. Union of India and others	ILR 2019 (1) Ker. 614	Positive	Referenced as part of the prior directive framework guiding pension re-determination; the Division Bench relies on directions from this decision in conjunction with Apex Court guidance.
Employees Provident Fund Organisation and Another v. Sunil Kumar B. and Others	2022 (6) KLT 234 (SC)	Positive	Cited as controlling Supreme Court decision upholding the 2014 notification and prescribing directions for employee options; forms the basis for the present resolution.

Diagnostic Tool

Beta

Does this judgment govern your specific facts?

Don't risk relying on a distinguishable precedent. Enter your facts or proposition below. We will test it against Employees Provident Fund Organisation v. Johnson M.J. and others (WA No.559 of 2021) and instantly map out authorities that support, challenge, or govern your position.

Extracted Judgment Text

Exact text extracted from official judgment records.

# **IN THE HIGH COURT OF KERALA AT ERNAKULAM** # **PRESENT** **THE HONOURABLE MRS. JUSTICE ANU SIVARAMAN** **&** **THE HONOURABLE MR.JUSTICE C. JAYACHANDRAN** **MONDAY, THE 18[TH] DAY OF SEPTEMBER 2023 / 27TH BHADRA, 1945** **WA NO.559 OF 2021** **JUDGMENT IN WP(C) 20551/2015 OF HIGH COURT OF KERALA DATED 14.7.2020** **--------------------** ## **- APPELLANTS/RESPONDENT Nos.2 AND 3 IN WPC :** 1 THE REGIONAL PROVIDENT FUND COMMISSIONER EMPLOYEES PROVIDENT FUND ORGANISATION (EPFO), BHAVISHYANIDHI BHAWAN, PATTOM PALACE, THIRUVANANTHAPURAM - 695 004. 2 THE SUB REGIONAL PROVIDENT FUND COMMISSIONER BHAVISHYANIDHI BHAWAN, P.B.NO.1806, ERANJIPALAM, KOZHIKODE - 673 006. BY ADV SAJEEV KUMAR K.GOPAL ## **- RESPONDENTS/WRIT PETITIONERS & RESPONDENTS 1 & 4 IN WPC :** 1 JOHNSON M.J., AGED 49 YEARS HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/4828, PENSION A/C NO.KR/KCH/2357/4828. 2 K.K.HASSAINAR HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/4642, PENSION A/C NO.KR/KCH/2357/4642. 3 V.N.LINSON HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/5078, PENSION A/C NO.KR/KCH/2357/5078. 4 M.VIJAYAKUMAR HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/4461, PENSION A/C NO.KR/KCH/2357/4461. WA NO.559 OF 2021 -: 2 :- 5 SAJI GEORGE HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/5014, PENSION A/C NO.KR/KCH/2357/5014. 6 P.A.RIYAS HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/5074, PENSION A/C NO.KR/KCH/2357/5074. 7 JOSE PETER HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/4832, PENSION A/C NO.KR/KCH/2357/4832. 8 V.P.STEPHEN HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/4323, PENSION A/C NO.KR/KCH/2357/4323. 9 K.M.SHAJI HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/4857, PENSION A/C NO.KR/KCH/2357/4857. 10 C.H.MUHAMMED SHIFAS HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/5099, PENSION A/C NO.KR/KCH/2357/5099. 11 FINU FRANCIS HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/5051, PENSION A/C NO.KR/KCH/2357/5051. 12 P.J.TOMY HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/4828, PENSION A/C NO.KR/KCH/2357/5078. 13 R.B.AUREO HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/4400, PENSION A/C NO.KR/KCH/2357/4400 14 JOSHI D SILVA HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/4853, WA NO.559 OF 2021 -: 3 :- PENSION A/C NO.KR/KCH/2357/4853. 15 I.V.GIBY HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/5115, PENSION A/C NO.KR/KCH/2357/5115. 16 N.SIVADAS HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/4156, PENSION A/C NO.KR/KCH/2357/4156. 17 V.A.DARVIN HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/4847, PENSION A/C NO.KR/KCH/2357/4847. 18 G.CHANDRA SEKHARA PILLAI HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/4854, PENSION A/C NO.KR/KCH/2357/4854. 19 V.V.NIBIN HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/5094, PENSION A/C NO.KR/KCH/2357/5094. 20 JOMY JOSE HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/5063, PENSION A/C NO.KR/KCH/2357/5063. 21 K.X.ROY HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/4833, PENSION A/C NO.KR/KCH/2357/4833. 22 K.M.UMMER HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/4447, PENSION A/C NO.KR/KCH/2357/4447. 23 P.RAVEENDRAN PILLAI HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/4560, PENSION A/C NO.KR/KCH/2357/4560. WA NO.559 OF 2021 -: 4 :- 24 P.R.PRAVEEN HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/5134, PENSION A/C NO.KR/KCH/2357/5134. 25 S.SIVARAJ HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/5056, PENSION A/C NO.KR/KCH/2357/5056. 26 V.P.MOHAMMED HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/4427, PENSION A/C NO.KR/KCH/2357/4427. 27 S.SHINU HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/5052, PENSION A/C NO.KR/KCH/2357/5052. 28 C.R.SARATH HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/5105, PENSION A/C NO.KR/KCH/2357/5105. 29 E.K.ARISH HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/5102, PENSION A/C NO.KR/KCH/2357/5102. 30 P.T.OMANA HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/4805, PENSION A/C NO.KR/KCH/2357/4805. 31 V.S.ANILKUMAR HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/4702, PENSION A/C NO.KR/KCH/2357/4702. 32 M.J.GEORGE HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/4542, PENSION A/C NO.KR/KCH/2357/4542. 33 P.S.SASEENDRAN NAIR HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/4399, WA NO.559 OF 2021 ## -: 5 :- PENSION A/C NO.KR/KCH/2357/4399. 34 A.K.VENUGOPAL HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/4403, PENSION A/C NO.KR/KCH/2357/4403. 35 P.A.SAJAN HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/3971, PENSION A/C NO.KR/KCH/2357/3971. 36 R.RAVEENDRAN HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/4555, PENSION A/C NO.KR/KCH/2357/4555. 37 K.R.NITHINKRISHNA HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/5149, PENSION A/C NO.KR/KCH/2357/5149. 38 P.L.SAJU HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/5143, PENSION A/C NO.KR/KCH/2357/5143. 39 P.B.BAIJU HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/5154, PENSION A/C NO.KR/KCH/2357/5154. 40 C.M.AJMUDHEEN HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/5150, PENSION A/C NO.KR/KCH/2357/5150. 41 M.S.AJITH HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/5155, PENSION A/C NO.KR/KCH/2357/5155. 42 DELTON DESILVA HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/5158, PENSION A/C NO.KR/KCH/2357/5158. WA NO.559 OF 2021 -: 6 :- 43 P.V.CHERIAN HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/5144, PENSION A/C NO.KR/KCH/2357/5144. 44 KURIAKOSE GEORGE HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/5162, PENSION A/C NO.KR/KCH/2357/5162. 45 GEORGE VARGHESE HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/5145, PENSION A/C NO.KR/KCH/2357/5145. 46 VARGHEESE M.JOSEPH HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/5146, PENSION A/C NO.KR/KCH/2357/5146. 47 JITHIN MOHAN HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/5157, PENSION A/C NO.KR/KCH/2357/5157. 48 M.M.ABDUL NAZAR HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/4161, PENSION A/C NO.KR/KCH/2357/4161. 49 P.G.RAJESH ACHARI HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/5053, PENSION A/C NO.KR/KCH/2357/5053. 50 C.A.GEORGE HMT MACHINE TOOLS LTD., HMT COLONY P.O., KALAMASSERY, PIN - 683 503 PF A/C NO.KR/2357/4396, PENSION A/C NO.KR/KCH/2357/4396. 51 THE UNION OF INDIA REPRESENTED BY THE SECRETARY TO GOVT. OF INDIA, MINISTRY OF LABOUR AND DEPARTMENT OF EMPLOYMENT, NEW DELHI - 110 001. 52 THE HMT MACHINE TOOLS LTD. REPRESENTED BY THE GENERAL MANAGER, HMT COLONY P.O., KALAMASSERY, PIN - 683 503. WA NO.559 OF 2021 -: 7 :- 53 THE CHAIRMAN, PROVIDENT FUND TRUST OF EMPLOYEES FOR HMT TOOLS LTD. HMT COLONY P.O., KALAMASSERY, PIN - 683 503. BY ADVS. ADV.P.K ABOOBACKER(B/O) SRI.M.A.VINOD, CGC SRI.SAGI VARGHESE(B/O) THIS WRIT APPEAL HAVING COME UP FOR ADMISSION ON 18.09.2023, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WA NO.559 OF 2021 -: 8 :- ## **JUDGMENT** ## **Dated this the 18th day of September, 2023** ## **Anu Sivaraman, J.** This appeal is preferred by the Employees Provident Fund Organisation challenging the judgment of the learned Single Judge, directing re-determination of the pension payable to the writ petitioners, that is, respondents 1 to 50 in this appeal, in the light of the directions given in the judgments referred to therein including the judgment of a Division Bench of this Court in **P. Sasikumar and others** v. **Union of India and others** [ILR 2019 (1) Ker. 614].. 2. It is submitted by the learned counsel appearing for the parties that the issue now stands covered by the judgment of the Apex Court in **Employees Provident Fund Organization and Another** v. **Sunil Kumar B. and Others** [2022 (6) KLT 234 (SC)]. It is submitted that the Apex Court in Paragraph 44 of the said judgment has upheld the notification dated 22.08.2014 as legal and valid and has also issued further directions with regard to options to be submitted by the employees. It is submitted that the issue will now have to be considered on the basis of the directions of the Apex Court. WA NO.559 OF 2021 -: 9 :- In the above view of the matter and in the light of the judgment of the Apex Court, this writ appeal is allowed. The judgment of the learned Single Judge shall stand set aside and the appellants shall consider the issue strictly in accordance with the directions issued by the Apex Court and taking note of the options, if any submitted by the employee. The contentions raised by the employees who are drawing higher pension and the applicability of circular dated 25.1.2023 is left open. **Sd/ANU SIVARAMAN** **JUDGE** **Sd/C. JAYACHANDRAN JUDGE** Jvt/23.9.2023 WA NO.559 OF 2021 ## -: 10 :- ## **APPENDIX OF WA 559/2021** PETITIONER ANNEXURES :- |ANNEXURE|1|TRUE COPY OF ORDER SLA(C) NO.16721-16722/2019 OF THE| |---|---|---| |||HON'BLE SUPREME COURT DATED 29/01/2021.| |ANNEXURE|2|TRUE COPY OF REFERENCE ORDER IN W.A.NO.811 OF 2020 AND| |||CONNECTED CASES OF DIVISION BENCH OF THE HON'BLE HIGH| |||COURT OF KERALA DATED 21/12/2020.| |ANNEXURE|3|TRUE COPY OF THE ORDER OF HON'BLE SUPREME COURT IN| |||SLP(CIVIL) DIARY NO.11023/19 DATED 12/07/2019.| |ANNEXURE|4|TRUE COPY OF THE ORDER OF HON'BLE SUPREME COURT IN| |||CONTEMPT PETITION (C) NO.1917-1918/2018 IN| |||C.A.NO.10013-10014/2016 DATED 06/02/2020.| |ANNEXURE|5|TRUE COPY OF THE ORDER OF HON'BLE HIGH COURT OF PUNJAB| |||AND HARIYANA IN CWP-19985-2018(O&M) DATED 14/01/2020.| |ANNEXURE|6|TRUE COPY OF THE ORDER OF HON'BLE HIGH COURT OF PUNJAB| |||AND HARIYANA IN CWP 18756/2011(0&M) AND CONNECTED| |||CASES DATED 12/02/2021.| |ANNEXURE|7|TRUE COPY OF THE DAILY ORDER DATED 03/11/2020 IN WPSS| |||929/2019.| |ANNEXURE|8|TRUE COPY OF THE DAILY DATED 03/11/2020 IN WPSS| |||972/2019.| |ANNEXURE|9|TRUE COPY OF THE DAILY ORDER DATED 03/11/2020 IN WPSS| |||1006/2019.| |ANNEXURE|10|TRUE COPY OF THE ACTURIAL REPORT DATED 27/12/2018.| |ANNEXURE|11|TRUE COPY OF THE EXPLANATORY STATEMENT DATED| |||20/06/2019.| |ANNEXURE|12|TRUE COPY OF THE CALCULATION SHOWING DIFFERENCE OF| |||PENSION ON ACTUAL WAGES AND STATUTORY WAGE LIMIT.|