Supreme Court of India

STATE FISHERY OFFICERS' ASSOCIATION, WEST BENGAL AND ANR.versusSTATE OF WEST BENGAL AND ANR.

Citation: 1997 INSC 310
Decided: 21 March 1997
Disposal: Dismissed
Bench: K RAMASWAMYK T THOMAS

Holding

The government is not bound to grant monetary benefits retroactively, and the Tribunal cannot direct the government to do so; the policy decision is not arbitrary.

Summary

The State Fishery Officers' Association entered into a tripartite agreement with the West Bengal government in 1961 to improve service conditions for fishery department officers. While the government issued orders granting all benefits except monetary ones for the period 1961‑1981, the association sought tribunal direction to award monetary benefits retroactively from 1961. The West Bengal Administrative Tribunal held that the Finance Department was not a party to the agreement, no formal order existed, and it would be improper to grant monetary benefits for the earlier period when other actions took effect only from 1981. The tribunal concluded that the government’s policy decision was not arbitrary and that it could not be compelled to grant the monetary benefits contrary to its executive policy. The special leave petition filed against the tribunal’s order was dismissed.

Issues considered

Whether the West Bengal government is bound by the 1961 tripartite agreement to grant monetary benefits retroactively to fishery officers.
Whether the Administrative Tribunal can direct the government to provide such monetary benefits despite the absence of Finance Department concurrence.
Whether the government's policy decision to grant benefits from 1981 onward is arbitrary or lawful.

Subjects

service conditionsgovernment policymonetary benefitsadministrative tribunaltripartite agreementexecutive discretion

Judgment

A               STATE FISHERY OFFICERS' ASSOCIATION,
                       WEST BENGAL AND ANR.                                            ..
                                 v.
                  STATE OF WEST BENGAL AND ANR.

                                  MARCH 21, 1997
B
                  [K. RAMASWAMY AND K.T. THOMAS, JJ.]

          Service Law :

C          Se1vice conditions-Government of West Bengal-Fishery Depart-
    ment-Agreement between the Govemment and the Officers' Association to
    improve se1vice conditions of employees-Govemment issued orders giving
    all benefits except monetmy benefits from 1961 to 1981-Employees' U!iion
    approaching Tlibunal for direction to Govemment to give monetmy benefit
    from 1961-Tlibunal held that since all actions were taken by Govemment
D   from 1981, it would not be proper to e.xtend financial benefits from
     1961-Held, in view of the finding of the Tlibunal and in view of the policy
    decision taken by the Govemment it cannot be said that the decision of the
    Govemment is arbitrmy--No directio11 can be given to the Govemment to
    grant the monetary benefits co11tra1y to its policy which falls within the realm
E   of executive policy decision.

          CIVIL APPELLATE JURISDICTION : Special Leave Petition (C)
    No. 5388 of 1997.

          From the Judgment and Order dated 12.12.96 of the West Bengal
F Administrative Tribunal, Calcutta in T.A. N?. 268 of 1996.
          B.K. Satija, S. Bhowmick and Ms. Sarla Chandra for the Petitioners.

          The following Order of the Court was delivered :

          This special leave petition arises from the order of the Administrative
G Tribunal, Calcutta, made on December 12, 1996 in Case No. TA-268/96.
    The petitioners had a dialogue with the Government of West Bengal to
    revise the service conditions of the employees in the Fishery Department,
    namely Assistant Fishery Officers, Fishery Extension Officers etc. w.e.f.
    April 1, 1961. There was an agreement reached between the Government
H   and the Union of the first petitioner. Subsequently, the Government have
                                         322
I

l
                  STATE FISHERY OFFICER'S ASSN. v. STATE                       323

    issued orders giving all the benefits except the monetary benefits from           A
    April 1, 1961 to April 1, 1981 prospectively. The petitioners have filed the
    petition in the Tribunal seeking direction for payment of arrears on the
    premise that it was a tripartite agreement and, therefore, the Government
    is bound by the undertaking given in the agreement. The Tribunal has
    perused the record and stated thus :
                                                                                      B
             "It appears from the documents on record that the Finance Depart-
             ment was not a Party to such decisions. Nor does it appear that
             subsequently concurrence of the Finance Department was ob-
             tained in this connection. Besides, it does not appear that the
             decision were translated into any formal Government order. Be            C
             that as it may, it will not proper to grant such financial benefits in
             favour of Assistant Fishery Officers, Fishery Extension Officers,
             etc. with effect from l.4.1961 while other actions of the Govern-
             ment were to take effect only from 1.4.1981."

          In view of the above finding and in view of the policy decision taken       D
    by the Government, it cannot be said that the decision of the Government
    is arbitrary. No direction can be given to the Government to grant the
    monetary benefits contrary to its policy which falls within the realm of the
    executive policy decision.

           The special leave petition is accordingly dismissed.                       E
    R.P.                                                       Petition dismissed.

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