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VIDYAVARDHAKA SANGHA (R) v. SMT K MEERA BAI

Karnataka High Court
Nov 14, 2016
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Structured Summary of the Opinion

Factual and Procedural Background

The petitioners are Vidya Vardhaka Sangha (a society) and Vidya Vardhaka Law College. They challenged the legality of an order dated 28.04.2016 passed by the Principal Secretary, Government Law Department, which allowed a revision petition filed by respondent No.1, Smt. Meera Bai, under Section 131 of the Karnataka Education Act.

Relevant facts and procedural history set out in the opinion:

  • The Society was established in 1949 to provide low-cost education; the Law College was established in 1974-75 and introduced a five-year course in 1984-85 with an intake of eighty students. The Law College came under Grant-in-aid from 25.08.2015.
  • The Law College is not financially self-sufficient and depends on funds from other affiliated institutions or donations.
  • Smt. Meera Bai was appointed on 10.07.1993 as a part-time Lecturer in Kannada on a consolidated, contractual salary.
  • The College sought the Government's inclusion of Smt. Meera Bai in the Grant-in-aid post but the Government rejected the proposal.
  • Several employees obtained relief from the Principal Secretary by order dated 08.11.2005; the Society filed W.P.No.6025/2006 and later W.A.No.1647/2006. During pendency of the appeal the parties agreed on a payment scheme (notional pay from 1992; regular pay from 01.06.2007; 50% of notional salaries for 13.06.1992–30.05.2007 in two installments). The appeal was disposed of on 17.09.2007 pursuant to that understanding.
  • Relying on that context, Smt. Meera Bai filed a revision petition before the Principal Secretary seeking the same pay as counterparts in Government Educational Institutions. The Society objected, but the Principal Secretary allowed the revision petition by the impugned order dated 28.04.2016. The Society challenged that order in this court.
  • The issue of payment of arrears by the Society to the respondent is the subject of a separate writ petition by the respondent, which is pending before the court.

Legal Issues Presented

  1. Whether the Karnataka Private Educational Institutions (Discipline and Control) Rules, 1978 (the "Rules of 1978"), and specifically Rule 5, apply to the aided Law College and to a part-time employee such as respondent No.1.
  2. Whether an employee who is allegedly not qualified (respondent No.1 said to have 52% in M.A. instead of 55% as claimed) is nonetheless entitled to the same pay-scale under Rule 5.
  3. Whether the financial inability of the Society/Management can exempt it from complying with Rule 5 (i.e., whether financial burden is a permissible defence to non-compliance).
  4. Whether the issue of payment of arrears (including any limitation on recovery as relied on in Tarsem Singh) is involved in the impugned order, and if so, whether the principles in Union of India v. Tarsem Singh apply.

Arguments of the Parties

Petitioners' Arguments (learned counsel Mr. Somashekar)

  • Respondent No.1 is a part-time employee and therefore not entitled to the same pay-scale as counterparts in Government Educational Institutions.
  • Relying on Sushmita Basu & Others v. Ballygunge Siksha Samity & Others and Satimbla Sharma & Others v. St. Pauls Senior Secondary School & Others, employees of a private unaided school cannot be equated with employees of aided schools; the Rules of 1978 apply only to aided schools, so Rule 5 cannot be extended to respondent No.1.
  • If the Society is directed to pay the same pay-scale, the resultant financial burden may jeopardize the existence of the Society and the College.
  • Respondent No.1 is not qualified as per the Rules (alleged requirement of 55% in M.A. while respondent has 52%), and therefore not entitled to the Government-equivalent pay-scale.
  • Relying on Union of India & Others v. Tarsem Singh, if arrears were to be payable, the claim for arrears cannot extend beyond three years from the date of filing the petition.

Respondent's Arguments

  • The Rules of 1978 apply to aided private educational institutions; since the Law College is aided, the Rules apply.
  • Rule 5 does not distinguish between part-time and full-time employees; it prohibits paying a lower scale than that of corresponding Government posts, so part-time status is immaterial.
  • The Rules are silent on qualification, so even if respondent No.1 were unqualified, the Rules still apply and she would be entitled to the pay-scale; the petitioners' qualification argument is not a basis to deny the pay-scale under Rule 5.
  • The cited authorities (Sushmita Basu and Satimbla Sharma) are distinguishable on facts and therefore do not support the petitioners' case.
  • Tarsem Singh is inapplicable because the impugned order does not direct payment of arrears, and the respondent has filed a separate writ petition on arrears which is pending.

Table of Precedents Cited

Precedent Rule or Principle Cited For Application by the Court
Sushmita Basu and Others v. Ballygunge Siksha Samity and Others [(2006) 7 SCC 680] That in absence of any statutory provision directing private unaided educational institutions to implement certain recommendations (Third Pay Commission), a High Court was not justified in granting arrears of salary to teachers of private unaided institutions. The court held this case distinguishable on facts because Sushmita Basu concerned private unaided institutions and absence of statutory provision; in the present case, Rule 5 of the Rules of 1978 operates in favour of employees, so the ratio in Sushmita Basu is inapplicable.
Satimbla Sharma and Others v. St. Pauls Senior Secondary School and Others [(2011) 13 SCC 760] That no relief can be given in the absence of statutory provision in favour of teachers in unaided private educational institutions. The court found Satimbla Sharma distinguishable because the present matter is governed by Rule 5 of the Rules of 1978, which is a statutory/regulatory provision favouring employees; thus Satimbla Sharma's ratio does not apply.
Union of India and Others v. Tarsem Singh [(2008) 8 SCC 648] Principles relating to limitation on recovery of arrears (submitted by petitioners that arrears cannot be claimed beyond three years from filing). The court held Tarsem Singh inapplicable to the present petition because the impugned order did not direct payment of arrears and the question of arrears is the subject of a separate, pending writ petition by respondent No.1; reliance on Tarsem Singh was therefore misplaced.

Court's Reasoning and Analysis

The court's analysis proceeds through the following steps, based solely on the opinion text:

  1. The court observes that the Rules of 1978 apply to private educational institutions functioning in Karnataka.
  2. It identifies Rule 5 as dealing with the scale of pay and quotes or summarizes the rule: "The scale of pay of an employee of an institution shall not be lower than the scale of pay of an employee of a corresponding post in the Government Educational Institutions." The court reads Rule 5 as prohibiting a private educational institution from paying a scale lower than the government corresponding post.
  3. The court characterizes Rule 5 as absolute in its terms with no expressed exceptions; it describes the Rule as "essentially a benevolent piece of legislation" intended to prevent exploitation of employees and hence to be applied liberally.
  4. Applying that construction, the court concludes that Rule 5 applies equally to part-time and full-time employees because the rule makes no distinction between them. Consequently, the petitioners' argument that a part-time employee (respondent No.1) cannot be equated with government employees for pay-scale purposes is rejected.
  5. On the qualification point, the court reasons that even if respondent No.1 is unqualified, as long as she is working for the petitioners, Rule 5 entitles her to receive the same pay-scale as counterparts in Government Educational Institutions. The court notes the Rules are silent regarding qualification in relation to pay-scale under Rule 5.
  6. Regarding the claimed financial inability of the Society, the court rejects that defence: Rule 5 does not provide exceptions for management's financial viability, and the law's requirement cannot be avoided by pleading inability to pay.
  7. On the question of arrears, the court examines the impugned order and determines that the order merely directs payment of the same salary under Rule 5; it does not direct payment of arrears. Further, the respondent has separately filed a writ petition on arrears which is pending. Therefore, the court holds that the petitioners' reliance on Tarsem Singh is misplaced in the present challenge because the arrears issue was neither granted nor decided in the impugned order.
  8. The court distinguishes the precedents relied on by the petitioners (Sushmita Basu and Satimbla Sharma) on the factual ground that those cases concerned private unaided institutions and the absence of statutory provisions; by contrast, Rule 5 exists and favors employees in the present case, rendering those authorities inapplicable.
  9. Having rejected the petitioners' core arguments (non-applicability to part-time employees, qualification bar, financial inability, and the precedents relied upon), the court concludes that the writ petitions lack merit.

Holding and Implications

Holding: The court dismissed the writ petitions challenging the impugned order. In the words of the opinion: "For the reasons stated above, this court does not find any merit in the present writ petitions. The petitions are hereby dismissed."

Implications:

  • The impugned order dated 28.04.2016, which directed that respondent No.1 be paid the same salary as per Rule 5 of the Rules of 1978, stands undisturbed as a result of the dismissal.
  • The court affirmed that Rule 5 applies to aided private educational institutions and covers both part-time and full-time employees; qualification and the management's financial inability do not, on the materials before the court, negate entitlement to the same pay-scale under Rule 5.
  • The opinion notes that the question of payment of arrears remains undecided in the impugned order and is the subject of a separate pending writ petition; the court refrained from deciding on arrears in this proceeding.
  • No broader precedent beyond the application of Rule 5 in this factual context was announced; the court distinguished earlier Supreme Court authorities relied upon by the petitioners and found them inapplicable on the facts before it.

End of summary.

Show all summary ...

The petitioners, Vidya Vardhaka Sangha (Regd.) and the Vidya Vardhaka Law College, have challenged the legality of the order dated 28.04.2016, passed by the Principal Secretary to the Government, Law Department, whereby the Principal Secretary has allowed the revision petition filed by the respondent No.1, Smt. Meera Bai, under Section 131 of the Karnataka Education Act.

2. Briefly the facts of the case are that Vidya Vardhaka Sangha (the Society, for short) was established in the year 1949, for imparting education for those who could not afford to have education, at minimum cost, and especially to the members of downtrodden and lower middle class. The Vidya Vardhaka Law College was established in the year 1974-75, and a five year course was further introduced in the academic year 1984-85, with an intake of eighty students. The Law College was not granted any Grant-in-aid till 25.08.2015. The College has come under the Grant-in-aid from 25.08.2015. The petitioners had requested the Government to include the first respondent Smt. K. Meera Bai in the Grant-in-aid post. However, the Government has rejected the said proposal.

3. The Law College is not financially self-sufficient, and depends on finances which are drawn by the Society from its other educational institutions, or the donations made by the law students.

4. On 10.07.1993, Smt. Meera Bai, was appointed as a part-time Lecturer in Kannada on a consolidated salary. The said appointment was purely contractual. However, ever since the Law College has been granted the benefit of Grant- in-Aid, the College has been requesting the Government to give the benefit of Grant-in-Aid to Smt. Meera Bai as well.

5. A few of the employees of the Law College had filed a petition before the Principal Secretary, the respondent No.2, for being granted the same pay scales as the amounts were being granted in the Government Education Institutions. By order dated 08.11.2005, the Principal Secretary had allowed those petitions. Since the Society was aggrieved by the said order, it had filed a writ petition before this court, namely W.P.No.6025/2006. Although this court had granted interim stay in favour of the Society, but subsequently, the said stay was vacated by this court. Therefore, the petitioners filed a writ appeal, namely W.A.No.1647/2006 before this court. During the pendency of the writ appeal, the appellants, therein, and the Management agreed that the appellants would be paid the pay scale notionally from 1992 and would be paid their regular salary on par with the Government Educational Institutions only from 01.06.2007. It was also agreed that for the intervening period, from 13.06.1992 to 30.05.2007, only 50% of the notionally fixed salaries would be paid to them and that, too, in two installments. Upon such an understanding reached between the parties, the writ appeal was finally disposed off on 17.09.2007.

6. Taking advantage of the understanding which was reached between the Management and the appellants, therein, in the aforementioned appeal, Smt. Meera Bai filed a revision petition before the Principal Secretary. In her revision petition, she prayed that she should also be paid the same salary as her counterparts are being paid in the Government Educational Institutions. The Society filed their objections. But, by the impugned order dated 28.04.2016, the revision petition has been allowed on the aforementioned terms. Hence, this petition before this court.

7. Mr. Somashekar, the learned counsel for petitioners has raised the following contentions before this court: Firstly, that the respondent No.1 being a part-time employee, is not entitled to the same pay-scale as is being paid to her counterparts in the Government Educational Institutions. Secondly, relying on the cases of Sushmita Basu and Others v. Ballygunge Siksha Samity and Others [ (2006)

7 SCC 680 ] and Satimbla Sharma and Others v. St. Pauls Senior Secondary School and Others [ (2011) 13 SCC 760], the learned counsel has contended that the employees of a Private Unaided School cannot be kept on par with the employees of the Aided School. The Karnataka Private Educational Institutions (Discipline and control) rules, 1978 (the rules of 1978 for short), applies only to the Aided School. Therefore, the benefit of Rule 5 of the Rules of 1978, cannot be extended to the respondent No.1. Thirdly, in case the Society is directed to pay the same pay scale as is being paid to the teachers in the Government Educational Institutions, a financial burden would be placed on the Society, which may not be able to bear. Hence, the very existence of the Society and especially of the College may be in danger. Fourthly, when the respondent No.1 is not even qualified, as according to the Rules, she is supposed to have 55% in M.A. Degree, whereas, the respondent No.1 has secured merely 52%, she is not entitled to the same pay scale as that of the Government teachers in the Government Educational Institutions. Lastly, relying on the case of Union of India and Others v. Tarsem Singh [ (2008) 8 SCC 648], the learned counsel has pleaded that, in case the arrears has to be paid to the respondent No.1, the same cannot be paid for more than three years from the date of filing of the petition. Therefore, the impugned order deserves to be set aside by this court.

8. On the other hand, the learned counsel for respondents has raised the following contentions: Firstly the Rules of 1978 cover the Aided Schools. Since the petitioner No.2, the Law College, is being aided by the Government, the Rules are applicable to the Law College. Secondly that Rule 5 of the Rules of 1978 does not make a distinction between the part-time and full-time employees. It merely prohibits the Management from paying a scale of lower than the one applicable to the employees of Government Educational Institutions. Hence, it is immaterial if the respondent No.1 happens to be a part-time employee or not. Thirdly, even if she were unqualified, the Rules of 1978 are still applicable to the respondent No.1 as the Rules are silent on the point of qualification. Thus, the learned counsel for petitioner is unjustified in claiming that merely because she is unqualified for the post, she is equally not entitled to the pay scale applicable to the Government teachers in the Government Schools. Fourthly, that the cases of Sushmita Basu and Others (supra) and Satimbla Sharma and Others (supra) are distinguishable on factual matrix. Therefore, neither of these cases support the case of the petitioners. Lastly that even the case of Tarsem Singh (supra) is inapplicable to the present case as the issue with regard to the payment of arrears has neither been raised by the respondent No.1, nor decided by the respondent No.2, in the impugned order.

9. According to the learned counsel, the respondent No.1 has already filed a separate writ petition before this court with regard to the payment of arrears of her salary. The said writ petition is presently pending before this court. Hence, the reliance placed by the learned counsel for petitioner on the case of Tarsem Singh (supra) is highly misplaced.

10. Heard the learned counsel for parties and perused the impugned order.

11. The Rules of 1978 apply to the Private Educational Institutions functioning in the State of Karnataka.

12. Rule 5 of the Rules of 1978, deals with the Scale of Pay. Rule 5 is as under:

5. Scale of Pay The scale of pay of an employee of an institution shall not be lower than the scale of pay of an employee of a corresponding post in the Government Educational Institutions. Rule 5 of the Rules of 1978 really prohibits a Private Educational Institution from paying a scale of pay lower than the scale of pay paid to an employee of corresponding post in the Government Educational Institutions. Thus, the said Rule is applicable to the Private Education Institutions. The said Rule does not create any exception, and is absolute in its term. Since the said Rule is essentially a benevolent piece of legislation, as it tries to get rid of the mischief of exploitation of the employees by the management, it has to be applied as liberally as possible. Since the said Rule does not make any exception, the said provision is applicable to both the part-time and full time employees of the private education institutions. Therefore, the learned counsel for petitioners is unjustified in claiming that the Rules of 1978, in general, and Rule 5 of the Rules of 1978, in particular, are inapplicable to respondent No.1.

13. Even if the respondent No.1 may be unqualified to hold the post, as long as the respondent No.1 is working for the petitioners, under Rule 5 of the Rules of 1978, she would be entitled to receive the same pay-scale, as is being received by her counterparts in Government Educational Institutions.

14. Although the learned counsel for petitioner has claimed that the society would be financially burdened, but even the said argument is unacceptable. For, Rule 5 of the Rules of 1978 does not make any exception with regard to the financial viability of the Management. Once the Law requires that the Management has to pay the same scale as that of the Government Educational Institutions, the Management cannot plead its inability to adhere to the law.

15. The learned counsel for respondents is justified in claiming that the issue of payment of arrears of salary is not even involved in the present petition. For, according to the impugned order, the petitioner Society has been directed merely to pay the same salary to the respondent No.1, as per Rule 5 of the Rules of 1978. The impugned order does not direct the Society to pay the arrears of salary to the respondent No.1. Moreover, the issue, whether the respondent No.1 is entitled to the payment of arrears of salary is still alive, and is still pending before this court, as the respondent No.1 had already filed a writ petition with regard to the said cause of action. Therefore, the reliance placed by the learned counsel for the petitioner on the case of Tarsem Singh (supra), is highly misplaced. Since the issue is still pending, it is not for this court to express any opinion with regard to the said issue.

16. The learned counsel for petitioners has relied on the case of Sushmita Basu and Others (supra), and Satimbla Sharma and Others (supra). However, both these cases are distinguishable on their factual matrix. In the case of Sushmita Basu and Others (supra), the Honble Supreme Court has opined that, in the absence of any statutory provisions directing the Private Unaided Educational Institutions to implement the recommendation of the Third Pay Commission retrospectively, the High Court was not justified in granting the arrears of salary to the Teachers in its writ jurisdiction. The Apex Court has clearly observed that the appellant teachers admitted that there was no statutory provision or even government order directing private unaided educational institutions to implement the recommendations of the Third Pay Commission. Similarly, in the case of Satimbla Sharma and Others (supra), the Honble Supreme Court has opined that, no relief can be given in the absence of statutory provision in favour of the Teachers in Unaided Private Educational Institutions. However, in the present case, Rule 5 of the Rules of 1978 are in favour of the employees, including the Teachers of Private Educational Institutions. Therefore, the ratio of the cases of Sushmita Basu and Others (supra), and Satimbla Sharma and Others (supra) are inapplicable to the present case.

17. For the reasons stated above, this court does not find any merit in the present writ petitions. The petitions are hereby dismissed. Sd/- JUDGE Np/-