Srinagar: “Retirement benefits are the principal source of sustenance to an employee after his retirement,” the J&K High Court said on Friday while directing the government to release retirement benefits, with interest, to an employee who had been denied them.
The court was hearing the plea of Abdul Rashid Makroo, who retired from Power Development Department in 2014 but since then was not paid pension and other dues.
Justice Ali Mohammad Magrey while hearing the parties in the case recorded that it is a well settled position of law that pensionary/ retirement benefits become the principal source of sustenance to an employee after his retirement, the payment whereof is not a bounty being paid to the employee but given in recognition of the service rendered by the employee.
Justice Magrey said, “The purpose for grant of pensionary/ retirement benefits is to ensure that after retirement of an employee, the said employee is in a position to sustain himself. Besides, any delay in settlement and disbursement of pension has to be visited with the penalty of payment of interest at the current market rates till actual payment is made.”
He further said, “The plea of the petitioner is allowed and, by a ‘Writ of Mandamus’, the respondents are directed to release the pensionary/ retirement benefits, including gratuity etc, alongwith arrears thereof with interest @ 6 percent per annum which shall commence at the expiry of two months from the date of retirement of the petitioner, in favour of the petitioner in accordance with the rules which are applicable to the employees of the Government of Jammu and Kashmir.”
“The respondents shall pass orders, in this behalf, within a period of two months from the date copy of this order is served on them,” the court ordered.