The Bombay High Court on Friday said it was ‘unacceptable’ that the majority of retired employees of Brihanmumbai Electric Supply and Transport (BEST) are still waiting for their retirement dues, adding that the payment of dues was not a charity but right of ex-employees. In observing so, the court directed the BEST Undertaking to pay 30% of dues (nearly Rs 180 crore of Rs 600 crore) of each retired employee within three months.
The court said it was open for BEST Undertaking to seek financial assistance from the Brihanmumbai Municipal Corporation (BMC) with which it is ‘intrinsically connected’ and it was upto civic body to consider the request. “These two Authorities will keep in mind that the retirement dues are not a charity and are a right of the employees and that both these Authorities will have to act as model employers,” the bench noted.
A division bench of Justices Nitin M Jamdar and M M Sathaye passed an order on Friday in a batch of pleas by ex-employees of BEST Undertaking ‘in representative capacity’ raising grievances that their gratuity and other terminal benefits are not being paid.
The court noted that while the meeting took place between the employees’ representatives and the General Manager of the BEST Undertaking, as on date, it did not have any commitment as to how much time the entire dues will be paid.
The bench was informed that a substantial part of the Rs 200 crore amount that BMC had given to BEST Undertaking has already been spent on other commitments.
The BEST Undertaking informed the court that total dues of retired employees are to the tune of Rs 600 crore and only 2 crores can be distributed at the moment. The BEST Undertaking reasoned that it is in financial difficulties and is unable to meet even its daily requirements.
“It is highly regrettable that despite our order, neither the BEST Undertaking nor the Municipal Corporation have taken the matter seriously. The BEST Undertaking is not showing any commitment towards resolving the legitimate grievances of their retired employees, which poses a severe hardship for them. We cannot overlook the hardship and will have to direct necessary action to be taken to address the situation,” the bench noted in its order.
The court ‘time limit’ of three months on the BEST undertaking to pay at least part of retirement dues and based on its conduct, it will consider as to whether further time can be extended to BMC or one-time direction can be issued.
The court posted further hearing to August 9 for reporting compliance of its order. It said the further directions regarding time limit for payment of remaining 70% dues will be passed on the said date.
