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Bombay High Court

RENUKADAS UTTAMRAO DEO AND OTHERSversusTHE STATE OF MAHARASHTRA AND OTHERS

Disposal
DISPOSED OFF

Holding

Employees are entitled to the benefits of the 7th Pay Commission from 01‑01‑2016, and the earlier corporate resolutions prevail over the later Government resolution.

Summary

The petitioners, employees of Maharashtra State Seeds Corporation Ltd. and Maharashtra State Co‑operative Marketing Federation Ltd., challenged the Government’s resolution dated 04‑08‑2021 which made the 7th Pay Commission benefits applicable from 01‑07‑2021, arguing that their respective corporations had already resolved to apply the recommendations from 01‑01‑2016. The State contended that the Government’s later resolution should prevail. The Court noted that both corporations, being profit‑making entities, had already adopted the earlier date without imposing any financial burden on the State. Consequently, the Court held that the earlier corporate resolutions stand and the employees are entitled to the 7th Pay Commission benefits from 01‑01‑2016. It ordered the payment of salary arrears reflecting the difference, to be completed within three months, and disposed of both writ petitions.

Issues considered

  • Whether the Government’s 2021 resolution supersedes the corporations’ earlier 2016 resolution on the applicability date of the 7th Pay Commission recommendations.
  • Whether the employees are entitled to receive benefits under the 7th Pay Commission from 01‑01‑2016.

Legislation cited

Subjects

  • 7th Pay Commission
  • salary arrears
  • government resolution
  • corporate law
  • cooperative societies
  • employee benefits
  • writ petition

Judgment

2026:BHC-AUG:34695-DB




                                               (1)                     wp1092.22+


                    IN THE HIGH COURT OF JUDICATURE AT BOMBAY
                               BENCH AT AURANGABAD

                          913 WRIT PETITION NO. 1092 OF 2022

                          RENUKADAS UTTAMRAO DEO AND OTHERS
                                         VERSUS
                          THE STATE OF MAHARASHTRA AND OTHERS

                                             WITH

                             WRIT PETITION NO. 9959 OF 2022

                        GANGADHAR RAIBHAN VIRALE AND OTHERS
                                      VERSUS
             THE STATE OF MAHARASHTRA THROUGH THE CHIEF SECRETARY AND
                                      OTHERS


           Mr. V.D. Hon, Sr. Advocate i/b. Mr. A.V. Hon, Advocate for the petitioner in
           WP No. 1092 of 2022.
           Mr. A.B. Gaikwad, Advocate for the petitioner in WP No. 9959 of 2022.
           Mr. R.S. Wani and Mr. S.R. Yadav-Lonikar, AGP for the resapondent-State.
           Ms. Shital S. Karle h/f. Mr. Anjali Dube, Advocate for respondent nos. 3
           and 4 in WP No. 1092 of 2022.
           Mr. D.N. Suryawanshi, Advocate for respondent No.4.


                                          CORAM : KISHORE C. SANT &
                                                  AJIT B. KADETHANKAR, JJ.
                                          DATE  : 06.08.2026

           PC :-


           01.          In both these petitions, a common question is raised as

           regards applicability of 7th Pay Commission to the employees of the

           respondents.    In Writ Petition No. 1092 of 2022 the respondent is
                                    (2)                      wp1092.22+


Maharashtra State Seeds Corporation Ltd., which is a body corporate

established under the Companies Act. In Writ Petition No. 9959 of 2022,

the respondent is Maharashtra State Co-operative Marketing Federation

Ltd., which is governed under the Cooperative Societies Act.           It is

grievance of the petitioners that though the Corporation and the Society

have made provisions for making 7 th Pay Commission applicable from

01.01.2016, it is the Government which has made it applicable from

01.07.2021. The grievance is therefore only about the date of making

recommendations of the pay commission applicable.



02.          Learned Sr. Counsel Mr. Hon for the petitioners relies upon

two orders of this Court i.e. Writ Petition No. 6770 of 2023 and Writ

Petitiion No. 12221 of 2024.



03.          The only justification offered by the State through AGP is that

the Government passed resolution making 7 th Pay Commissioner benefits

applicable   to the Government undertakings, Corporations          etc.   by

resolution dated 04.08.2021, in which the benefits are made applicable

from 01.07.2021. He submits that though benefits are applicable to the

Corporations, the Corporations can give benefits subject to approval/prior

sanction of the Government. He thus submits that when there is specific
                                  (3)                       wp1092.22+


date given in the Government Resolution, it is that date which would

prevail upon.



04.        This Court heard the parties.      There is no dispute that the

recommendations of 7th Pay Commission are made applicable from

01.01.2016.     In the case of said Corporations, said Corporation has

clearly passed a resolution on 20.02.2019 making recommendations

applicable to its employees on 01.01.2016.           It is thereafter the

Government by decision dated 22.10.2021 in the case of Seed

Corporation made recommendations applicable from 01.07.2021.         It is

pointed out that the Seed Corporation as well as Marketing Federation

both are running in profit. They have already made provision to make

benefits applicable to its employees.   No financial burden is coming on

the State Government.    Under such circumstances, we do not find any

logic for not making the benefits applicable from 01.01.2016.



05.        We, therefore, allow present petitions holding that the

petitioners – employees in both the petitions are entitled to get all the

benefits as per 7th Pay Commission recommendations from 01.01.2016.

We expect that the arrears of difference in salary be paid to the

petitioners within three months from today.
                                          (4)                      wp1092.22+




06.                Both the Writ Petitions accordingly stand disposed off.




[AJIT B. KADETHANKAR, J.]                             [KISHORE C. SANT, J.]


snk/2026/Aug26/wp1092.22+


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