High CourtDivision BenchAppeal allowed.

T.N. ELECTRICITY BOARD & ANR. v. TN. ELECTRICITY BOARD THOZHILALAR AYKKIYA SANGAM

Case / Petition Number:Civil Appeal No. 1279 of 2008
Neutral Citation:[2008] 2 S.C.R. 945

Case Details & Bench

Court
High Court
Hon'ble Judges
  • A.K. Mathur
  • Aftab Alam
Judgment Date
2008-02-14
Court Decision / Holding
Appeal allowed. The Court set aside the High Court’s and Division Bench’s orders, holding that Note 3 is a valid policy decision and not ultra vires; the Board’s channel of promotion to technical posts is permissible and remains intact. No order as to costs.
Final Disposition
Appeal allowed.

Parties to the Case

Appellants / Petitioners

  • T.N. Electricity Board & Anr.

Respondents

  • Tamil Nadu Electricity Board Thozhilalar Aykkkiya Sangam

Legal Representation & Advocates

Counsels for Petitioners

  • • P. H. Parekh
  • • E. R. Kumar
  • • Shakun Sharma
  • • Arjun Garg (for Mis Parekh And Co.)

Counsels for Respondents

  • • V. Shekhar
  • • Gulnar
  • • G. Umapathy
  • • Rohit Singh
  • • Rakesh B K. Sharma

Case Synopsis & Summary

This Special Leave Petition concerns the Tamil Nadu Electricity Board’s Note 3 of the Tamil Nadu Electricity Board Service Regulations, 1967, which provides that National Trade Certificate/National Apprenticeship Certificate candidates recruited as Helpers shall not be eligible for internal selection to the posts of Junior Assistants and Typists, including Steno-Typists. The Tamil Nadu Electricity Board Thozhilalar Aykkiya Sangam challenged Note 3 as violative of Articles 14 and 16 of the Constitution. The Madras High Court’s Division Bench had affirmed the order of the Single Judge striking down Note 3, directing that Helpers could be considered for Junior Assistant posts along with others. The Board contends that Note 3 is a rational policy decision to channel promotions for technical staff and that it is a prerogative of the Board to decide the channel of promotion, which aligns with administrative needs. The Sangam argues that the classification lacks intelligible differentia, deprives candidates of equal opportunity, and violates equality. The Supreme Court, after hearing, held that the Board’s policy is a rational decision and not ultra vires Articles 14, 16 and 19(1)(g); it emphasized the Board’s prerogative to frame promotion channels and that rules governing service can be amended over time, citing P.U. Joshi. Accordingly, the appeal is allowed, and the lower court orders are set aside, with no order as to costs.

Provisions of Law Cited

Constitution of India: Articles 14, 16 and 19(1)(g)Tamil Nadu Electricity Board Service Regulations, 1967 – Note 3

Legal Doctrines & Maxims

  • There is no right in any employee of the State to claim that rules governing conditions of his service should be forever the same.
  • Policy decision of administrative authority is binding and not arbitrary.
  • Prerogative of the Board to decide the channel of promotion for technical and non-technical posts.
  • Rational basis for classification and channelisation of promotions to technical posts.

Submissions & Arguments

Contentions of Appellants / Petitioners

The Tamil Nadu Electricity Board contends that Note 3 represents a rational policy decision to channel the promotion of helpers with NT/C/NAC certificates to technical posts rather than administrative posts. It argues that this channel of promotion is a policy choice based on the nature of work and that the Board has the prerogative to decide suitability and promotional pathways for technical versus non-technical staff. The Board relies on the timeless principle that government can amend service rules and that prior practice does not entitle employees to unchanged rules; it cites P.U. Joshi to support the position that changes in rules affecting existing employees are permissible and do not violate fundamental rights where a rational basis exists.

Contentions of Respondents

The Sangam argues that Note 3 creates an intelligible differential that is not tied to a rational objective, depriving eligible candidates of equal opportunity for internal promotion to clerical posts. It contends that the policy is discriminatory and arbitrary, undermining Articles 14, 16, and 19(1)(g). The respondents urge a reinterpretation or removal of Note 3 to allow internal promotion for those with NT/C/NAC qualifications to administrative posts, arguing for equality of opportunity and against exclusion from internal recruitment.

Cited Precedents (1)

Case NameCitationTreatmentExplanation
P.U. Joshi and Ors. v. Accountant General, Ahmedabad and Ors.2003(2) SCC 632PositiveThe Court cited this decision to support the proposition that a government employee has no right to demand unchanged service rules and that governments may amend rules pertaining to existing services; this underpins the Board’s policy decision.

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Extracted Judgment Text

Exact text extracted from official judgment records.

[2008] 2 S.C.R. 945 A a ,,. G l~ ## T.N. ELECTRICITY BOARD & ANR. _v._ # T.N .. ELECTRICITY BOARD THOZHILALAR AYKKIYA SANGAM (Civil Appeal No. 1279 of 2008) - ~ ~ FEBRUARY 14, 2008 (A.K. MATHUR AND AFTAB ALAM, JJ.) ## _Service Law_ _Tamil Nadu Electricity Board Service Regulations, 1967:_[c ] '• _Note-3_ - _Prescribing criteria of N. T._ C. _or N.A._ C. _Certificate for post of Helper_ - _Further laying down that "candidates holding N. TC.IN.A._ C. _recruited_ as _Helper shall not be eligible for internal selection to post of Junior Assistant_ D _and Typist including Steno-typist"_ - _HELD: The TN. Electricity Board has, on_ a _rational basis, decided to lay down_ a _qualification for appointment to the post of Helper i.e. NTCI NAC, and provided_ a _channel of promotion for such persons to the higher post on technical side_ - _Such provision cannot_ E _be said to be ultra vires Articles 14, 16 and 19(1 )(g) of the Constitution_ - _This is_ a _policy decision of Board and it is the Board who has to decide suitability and channel of promotion for such post_ - _It is prerogative of Board to decide that what shall be the channel of promotion for technical and for non technical persons_ - _Constitution of India_ - _Articles 14, 16 and_[F ] _19(1 )(g)_ - _Administrative Law_ - _Policy decision of administrative authority_ _P. U. Joshi and Ors: Vs. Accountant General, Ahmedabad and Ors._ 2003(2) sec 632 - relied on. Civil Appellate Jurisdiction : Civil Appeal No. 1279 of 2008. From the final Judgement and Order dated 20/04/2006 of 945 H 946 SUPREME COURT REPORTS [2008] 2 S.C.R. E 11 , F G H A the High Court of Judicature at Madras in W.A. No. 1692/1999. _k-_ P.H. Parekh, E.R. Kumar, Shakun Sharma,Arjun Garg (for _Mis_ Parekh And Co.) for the Appellants. V. Shekhar, Gulnar, G. Umapathy, Rohit Singh and Rakesh B K. Sharma for the Respondent. The following Order of the Court was delivered ,. "!!-_ We have heard learned counsel for the parties. c Leave granted. This appeal by special leave is directed against the order passed by the Division Bench of the Madras High Court dated 20th April, 2006 whereby the Division Bench has affirmed the order passed by the learned Single Judge where the learned D[Single Judge has struck down Note 3 of the ][Tamil ][Nadu Electricity· ] Board Service Regulation, 1967 (hereinafter referred to as the "Regulations") and directed that all the persons who were appointed Helpers may be considered for the post of Junior Assistant and other administrative posts. Aggrieved against the said order of the Division Bench, the present SpeCial Leave Petition has been filed. For disposal of this appeal, it is necessary to refer a few facts:- Petition No.3314 of 1993 was filed by the Tamil Nadu Electricity Board Thozhilalar Aykkiya Sangam, represented by its General Secretary praying that Note 3 of the Regulation may be declared as ultra vires being violative of Articles 14 and 16 of the Constitution. I'... ..,, \ The grievance of the Sangam was that the classification of candidates, holding l.T.I. Certificates and who have got National Trade Certificate/National Apprenticeship Certificate (NTC)/NAC) and recruited as Helpers in Regular Works Establishment (REW) as a distinct class is not based _I_ on any _--{_ T.N. ELECTRICITY BOARD & ANR. _v._ TN. ELECT. BOARD THOZHILALAR AYKKIYA SANGAM 947 ~ ·~ ...._ ... , ..... intelligible differentia, which has rational nexus to the objective[A ] of selection to the post of Junior Assistant/Assessors, etc. It is also their grievance that in view of the above mentioned Note 3, the members of their Association are debarred from applying for the post of Junior Assistant along with other similarly placed candidates, possessing lesser qualification. B It was· also alleged by Electricity Board that the nature of work and channel of promotions to the Helpers in Regular Works Establishment is entirely different from that of Junior Assistant/ Typist/Assessors. According to them, the Helpers are utilized c for field work of technical nature and their channel of promotion is Wireman, Lineman, Foreman and Junior Engineer whereas, Junior Assistants are posted for clerical works in office in Administrative and Accounts Cadre and their channel of promotion is Assistant, Administrative/Accounts Supervisor and Assistant Administrative Officer/Assistant Accounts Officer. D Therefore, channels of promotions for these Helpers was in technical side. It was submitted that this was a policy decision taken by the Board in pursuance of the office order dated 23rd May, 1986 on recommendations of Government. Henceforth the E post of Helper i.e. Fitter, Turner, Machinist etc. will be recruited out of the persons who possess N.T.C. or N.A.C. certificates awarded by the National Council for Training and Vocational Trade. Consequent to this resolution of the Board the T.N. Service Reg_ulations were amended and Note 3 was inserted in those F regulations. Therefore, after the insertion of Note 3 the criteria for selection for the post of Helper is that the incumbent should have the N.T.C. or N.A.C. certificate issued by the National Council for Training and Vocational Trade and it was also clearly stipulated in the resolution of the Board dated 23rd May, 1986 that "the candidates holding N.T.C./N.A.C. recruited as Helper[G ] shall not be eligible for internal selection to the post of Junior Assistant and Typist including Steno-Typists". This resolution of the Board was incorporated in the regulation in the same terms. Note 3 reads as under:- H '}- SUPREME COURT REPORTS [2008f 2 S.C.R. 948 A B c "National Trade Certificate/National Apprenticeship Certificate candidates recruited as Helpers shall not be eligible for internal selection to the post of Junior Assistants and Typists including Steno-Typists." Therefore, this is a matter of policy decision taken by the Board that henceforth the persons holding N.T.C./N.A.C. appointed as Helpers will have the channel of promotion to the technical post and not to the administrative post. It is true that prior to 1986 the persons who were appointed as Helpers were also appointed as Junior Assistants and Technicians in the office. After the decision taken by the Board Helpers have been appointed who only possess the N.T.C./N.A.C. certificate. The Board has now channelised the promotions of these persons in the category of technical posts and not in the administrative posts. .lo- ~ -- :1 D This is a policy decision taken by the Board and it has been incorporated in service regulation. Therefore, the candidates were recruited on the post of Helper possessing this qualification, their channel of promotion is only to technical E[post and there cannot be any doubt about it. This was a ] categorical policy decision taken by the Board and therefore,· the channel of promotion of these persons now will be only to the technical post and not to the administrative post. Therefore, this provision which has been made in the service condition cannot be said to be discriminatory or arbitrary or violative under F Article 19(1 )(g) in any manner. This is a policy decision of the Board and it is the Board who has to decide that who will be suitable for the post and what should be the channel of promotion for such post. It is not for the incumbent serving as a Helper to insist that the Board should amend the Regulation which suits G him. It is the prerogative of the Board to decide that what shall be the channel of promotion for technical and for non technical persons. In this case the Board has decided on a rational basis that the· channel of promotion of technical persons will be on technical side and not on the administrative side. ).. ' _-f'_ _v·_ \ l H 949 T.N. ELECTRICITY BOARD & ANR. _v._ T.N. ELECT. BOARD THOZHILALAR AYKKIYA SANGAM -- .... \ ~ In this connection, our attention was invited to the decision A of this Court in the case of P.U. Joshi and others versus Accountant General, Ahmadabad and others reported in 2003(2) SCC 632 ~nd this Court has very categorically stated that "There is no right in any employee of the State to claim that rules governing conditions of his service should be forever the B same as the one when he entered service for all purposes and except for ensuring or safeguarding rights or benefits already earned, acquired or accrued at a particular point of time, a government servant has no right to challenge the authority of the State to amend, alter and bring into force new rules relating c to even an existing service." . Therefore, in this view of the matter that the Board has decided to lay down a qualification for appointment to the post of Helper i.e. NTC/NAC and provided a channel of promotion for such persons to the higher post on technical side, such provision cannot be said to be ultra vires of Articles 14, 16 and 19(1)(g). D Consequently, we allow this appeal, set aside the order of the learned Single Judge and also the order of the Division Bench. E of the High Court. No order as to costs. )~ R.P. Appeal allowed. F