Employee has no automatic right for availing VRS: SC

A government employee cannot derive an automatic right for availing a voluntary retirement scheme (VRS) merely because he was initially given an offer

New Delhi: A government employee cannot derive an automatic right for availing a voluntary retirement scheme (VRS) merely because he was initially given an offer, the Supreme Court has ruled. Setting aside a High Court's order, the apex court said when a scheme for voluntary retirement is floated it constitutes only an offer to the employee but does not imply any obligation on the part of the employer.

"By reason of a mere offer to retire voluntarily, in terms where of employee was to get some more monetary benefits by itself did not confer any legal right on him," a bench of Justices S B Sinha and V S Sirpurkar said while upholding an appeal filed by the National Textile Corporation (NTC).
The court also said that a VRS claim can be made only when an employee is in service and not after his superannuation.

The NTC had filed an appeal after the Madhya Pradesh High Court upheld the claim of its employee M R Jadhav, who retired as Assistant Spinning Master.
Jadhav in response to a VRS scheme introduced by NTC had applied for it on May 16, 2000.

Though administrative clearance was accorded to his plea, the corporation by a letter dated September 26, 2000 expressed it inability to accede his request by citing financial crunch.
Jadhav had attained superannuation by May 31 2001 but he pursued his case for VRS and the Madhya Pradesh High Court directed the NTC to concede his demand, following which his employer appealed in the apex court. (PTI)

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