Hyderabad: The Telangana High Court has voiced serious concern regarding the growing number of petitions filed over delays in the disbursement of retirement benefits to government employees.
The court emphasised that payments such as gratuity and other retirement benefits are not acts of charity by the government, but rather the rightful earnings of employees, accumulated through years of disciplined and dedicated service.
The court noted that these funds represent the savings of employees, set aside for essential needs like their children’s education, healthcare, and future security.
Any delay in releasing these amounts after retirement causes undue hardship, and the government’s failure to ensure timely payments risks eroding public trust and fostering dissatisfaction among its workforce, the court remarked.
Govt funds directed towards welfare schemes: Petitioners
During the proceedings, the petitioners argued that while government funds are being redirected towards welfare schemes-such as free electricity, water, transportation, agricultural loan waivers, and other subsidies, actions are increasing the financial burden on the state treasury.
However, the court clarified that decisions regarding such welfare measures fall under legislative policy and are generally beyond the scope of judicial review.
The Supreme Court, too, has been reluctant to intervene in these matters, though it has expressed concern about political parties announcing schemes without clear financial backing, which could undermine the nation’s economic welfare.
Time for society to reconsider approach towards freebies: HC
The High Court observed that, given the current situation, it is time for society to reconsider the approach towards freebies, especially when they come at the cost of essential obligations like retirement benefits.
The case in question involved Assistant Engineer A. Narender Reddy, who filed a petition after six months of retirement, citing that despite all bills being approved and a token issued, his retirement benefits had not yet been released.
His counsel argued that, under Section 3 of the Gratuity Act, any delay in gratuity payment should attract interest.
Shortage of funds causing delays: Govt
The government’s counsel responded that while the payment process had begun, a shortage of funds was causing delays, and payments were being released in serial order as funds became available.
After hearing both sides, Justice Nagesh Bhimapaka directed the authorities to ensure all retirement benefits due to the petitioner are paid within two and a half months.
The court closed the petition but remarked that the increasing number of such cases was alarming and reflected deeper issues in the state’s financial management.
The judge highlighted that government employees, through their tireless work, contribute significantly to the economy and society, often sacrificing personal happiness for the well-being of their families and the nation.
When their hard-earned savings are not released on time, it leads to unnecessary distress and could foster widespread dissatisfaction among employees, the judge remarked.
The court concluded by reiterating the need for the timely payment of retirement benefits and called for a broader societal debate on the sustainability of welfare schemes that strain the state’s finances at the expense of fundamental obligations to employees.