{"file_name": "2024_10_126_149_EN.pdf", "text": "[2024] 10 S.C.R. 126 : 2024 INSC 748\n\nV. Vincent Velankanni \nv. \nThe Union of India and Others\n\n(Civil Appeal No(s). 8617 of 2013)\n\n30 September 2024\n\n[Sandeep Mehta* and R. Mahadevan, JJ.]\n\nIssue for Consideration\n\nWhether the seniority of the appellant is to be reckoned from the \ndate of induction/initial appointment or as per the date of promotion/\nconfirmation in the skilled grade.\n\nHeadnotes†\n\nService Law – Promotion – Seniority – Date of induction – \nDate of promotion – The GO dated 24.12.2002 issued by the \nOrdinance Factory Board placed on record clarifies the position \nregarding counting of seniority by laying down that seniority \nwill be counted from the date of promotion to skilled grade \nand not from the date of induction/entry/promotion in semi-\nskilled grade – However, the appellant has placed reliance \non GO dated 04.08.2015, the rule position qua the fixation \nof seniority has been restored to be governed by OM dated \n04.11.1992, according to which the relevant date for fixation \nof seniority would be the date of initial appointment and not \nthe date of upgradation/promotion to the skilled grade:\n\nHeld: The clarification issued vide GO dated 04.08.2015 does \nnot operate retrospectively as it is specifically provided in the \nsaid GO that “henceforth”, the seniority in respect of Industrial \nEstablishments will be governed by the relevant clause of OM \ndated 04.11.1992 – It is trite law that an Office Memorandum/\nGovernment Order cannot have a retrospective effect unless and \nuntil there is an express provision to make its effect retrospective \nor that the operation thereof is retrospective by necessary \nimplication – If a Government Order is treated to be in the nature \nof a clarification of an earlier Government Order, it may be \nmade applicable retrospectively  – Conversely, if a subsequent \nGovernment Order is held to be a modification/amendment of the \nearlier Government Order, its application would be prospective \nas retrospective application thereof would result in withdrawal of \n\n* Author\n\n\f[2024] 10 S.C.R. \n\n127\n\nvested rights which is impermissible in law and the same may also \nentail recoveries to be made – In the instant case, the subsequent \nGO dated 04.08.2015 cannot be read simply as a clarification and \ntherefore cannot be made applicable retrospectively  – The said \nGO has substantively modified the position governing seniority \nin the Industrial Establishments by reviving the earlier OM dated \n04.11.1992, and supersedes the orders/circulars dated 24.12.2002 \nand 13.01.2003, which were holding the field over more than a \ndecade – Therefore, giving retrospective effect to the GO dated \n04.08.2015 would have catastrophic effect on the seniority of the \nentire cadre – As much water has flown under the bridge and \nretrospective application of the GO issued in 2015 would open \nfloodgates of litigation and would disturb the seniority of many \nemployees causing them grave prejudice and heartburn as it would \ndisturb the crystallized rights regarding seniority, rank and promotion \nwhich would have accrued to them during the intervening period – \nThis Court is of the view that applicability of the Government Order \ndated 04.08.2015 cannot enure to the benefit of the appellant as \nits operation is clearly prospective. [Paras 41, 42, 43, 50, 51]\n\nCase Law Cited\n\nPawan Pratap Singh and Others v. Reevan Singh and Others [2011] \n2 SCR 831 : (2011) 3 SCC 267; Sonia v. Oriental Insurance Co. \nLtd. and Others [2007] 8 SCR 883 : (2007) 10 SCC 627; Sree \nSankaracharya University of Sanskrit and Others v. Dr. Manu and \nAnother [2023] 7 SCR 366 : 2023 SCC OnLine SC 640; Malcom \nLawrence Cecil D’Souza v. Union of India and Others (1976) 1 SCC \n599; R.S. Makashi and Others v. I.M. Menon and Others [1982] \n2 SCR 69 : (1982) 1 SCC 379; K.R. Mudgal and Others v. R.P. \nSingh and Others [1986] 3 SCR 993 : (1986) 4 SCC 531; B.S. \nBajwa and Another v. State of Punjab and Others [1997] Supp. \n6 SCR 451 : (1998) 2 SCC 523 – relied on.\n\nBSNL v. R. Santhakumari Velusamy [2011] 14 SCR 502 : (2011) \n9 SCC 510; Direct Recruit Class II Engg. Officers’ Assn. v. State \nof Maharashtra [1990] 2 SCR 900 : (1990) 2 SCC 715; Suresh \nChandra Jha v. State of Bihar and Others [2006] Supp. 8 SCR \n831 : (2007) 1 SCC 405; L. Chandrakishore Singh v. State of \nManipur and Others [1999] Supp. 3 SCR 323 : (1999) 8 SCC \n287; Ajit Kumar Rath v. State of Orissa and Others [1999] Supp. \n4 SCR 302 : (1999) 9 SCC 596; L. Chandrakishore Singh v. State \nof Haryana, AIR 1975 SC 613 – referred to.\n\nV. Vincent Velankanni v. The Union of India and Others\f128 \n\n[2024] 10 S.C.R.\n\nList of Keywords\n\nService Law; Promotion; Date of induction; Date of promotion; \nSeniority; GO dated 04.08.2015; GO dated 24.12.2002 issued by \nOrdinance Factory Board; Industrial establishment; Skilled grade; \nSemi-skilled grade; Retrospective effect; Prospective operation.\n\nCase Arising From\n\nCIVIL APPELLATE JURISDICTION : Civil Appeal No. 8617 of 2013\n\nFrom the Judgment and Order dated 10.10.2011 of the High Court of \nMadras in WP No. 583 of 2011\n\nWith\n\nCivil Appeal Nos. 10944 - 10946 of 2024\n\nAppearances for Parties\n\nR Nedumaran, Vijay Kumar, Prashant Bhushan, Anurag Tiwary, \nAdvs. for the Appellant.\n\nVikramjeet Banerjee, ASG, Rupesh Kumar, Sr. Adv., Abid Ali Beeran \nP, Saswat Adhyapak, Sarath S Janardanan, Joydip Bhattacharya, \nMrs. Anil Katiyar, Nachiketa Joshi, Ms. Priya Mishra, Rajesh Kumar \nSingh, Advs. for the Respondents.\n\nJudgment / Order of the Supreme Court\n\nJudgment\n\nMehta, J.\n\nCivil Appeal No(s). 8617 of 2013\n\n1. The instant appeal by special leave takes exception to the judgment \ndated 10th October, 2011 passed by the High Court of Judicature \nat Madras in Writ Petition,1 whereby the Division Bench of the High \nCourt accepted the writ petition2 preferred by the private respondents \nherein3 and reversed the judgment dated 24th December, 2010 passed \nby the Central Administrative Tribunal, Madras Bench4 in Original \n\n1 Writ Petition No. 583 of 2011\n\n2 \n\n3 \n\n4 \n\nIbid\n\nRespondent Nos. 3, 4 and 5\n\n‘CAT’, hereafter\n\nDigital Supreme Court Reports\f[2024] 10 S.C.R. \n\n129\n\nApplication5 preferred by the private respondents herein. The CAT \nhad rejected the Original Application,6 challenging the proposed \naction of revision and fixation of their seniority in the Engine Factory, \nAvadi, Chennai.7\n\n2. The brief facts in a nutshell, relevant and essential for the disposal \n\nof the instant appeal are noted hereinbelow.\n\n3. The appellant and the private respondents were engaged on \nsemi-skilled posts such as Fitters and Machinists in respondent \nNo.2-Factory. A common select list of candidates based on merit \nwas issued by the General Manager of respondent No.2-Factory in \nthe year 1995 wherein the appellant herein was placed at a higher \nposition than the private respondents. An appointment order dated \n17th January, 1996 was issued in the favour of the appellant for the \npost of ‘Fitter General(semi-skilled)’ in respondent No.2-Factory. \nHe was initially placed on probation for a period of two years which \nwas further extended for a period of six months w.e.f. 17th January, \n1998. The appellant satisfactorily completed the probation period on \n16th July, 1998. Thereafter, he was promoted to the ‘Skilled’ grade \non 6th January, 1999.\n\n4. A draft seniority list dated 28th July, 2006 was issued by respondent \nNo.2-Factory, whereby the seniority of ‘Fitters’ was fixed as per their \nrespective dates of promotion to the skilled grade and the appellant \nwas placed at a lower position than the private respondents. \n\n5. Aggrieved of the draft seniority list,8 the appellant submitted a \nrepresentation dated 13th November, 2006 to the General Manager \nof respondent No.2-Factory seeking necessary amendments in \nthe draft seniority list and to fix his position appropriately and \nthereafter, to publish a final seniority list. The General Manager \nrejected the aforesaid representation submitted by the appellant vide \ncommunication dated 9th July, 2007, observing that his seniority had \nbeen fixed from the date of holding the skilled grade, and thus the \nposition of the appellant in the seniority list was not liable to be altered.\n\n5 \n\n6 \n\n7 \n\n8 \n\nOriginal Application No. 318 of 2009\n\nIbid\n\n‘respondent No. 2-Factory’, hereafter\nDated 28th July, 2006\n\nV. Vincent Velankanni v. The Union of India and Others\f130 \n\n[2024] 10 S.C.R.\n\n6. Being aggrieved, the appellant preferred Original Application No. \n821 of 2007 before the CAT challenging the draft seniority list dated \n28th July, 2006.\n\n7. Another employee, namely, Mr. P. Kumaresan who was appointed \nas a Mechanist in respondent No.2-Factory in January 1996, also \nfiled Original Application No. 831 of 2007, before the CAT, wherein \nMr. P. Kumaresan also claimed that he had to be placed at the 6th \nposition instead of the 27th position as set out in the draft seniority \nlist. Original Application9 preferred by Mr. P. Kumaresan came to \nbe allowed by the CAT holding that the seniority fixed in the draft \nlist was incorrect. The CAT noted that respondent No.2-Factory had \nallowed the promotion to the juniors of Mr. P. Kumaresan on the \nground that he was still undergoing the extended period of probation. \nThe CAT held that it is settled law that once the extended period \nof probation is completed, the employee should be confirmed in \nservice from the date of initial selection and should be assigned the \noriginal rank in the seniority list. Thus, once the extended period of \nprobation came to an end and the employee was found suitable, \nhe had to be confirmed in service, promoted with seniority and all \nconsequential benefits to the next grade with reference to the date \nof initial appointment.\n\n8. The CAT allowed Original Application No. 821 of 2007 preferred by \nthe appellant herein vide order dated 23rd January, 2009, basing its \ndecision on the order passed in Original Application No. 831 of 2007 \nconsidering the fact that both the workers were identically employed \nin respondent No.2-Factory and directed that the appellant was \nentitled to be considered for his claim of seniority and directed the \nrespondents10 to revise the seniority list accordingly. \n\n9. The private respondents herein filed Original Application No. 318 of \n2009 before CAT against the proposed action of revision of seniority \nlist and promotions in accordance with the order dated 23rd January, \n2009 passed in the Original Application No. 821 of 2007 filed by the \nappellant. The said Original Application11 was dismissed by CAT \nvide order dated 24th December, 2010 while granting the liberty to \n\n9 \n\nOriginal Application No. 831 of 2007\n\n10 Respondent Nos. 1 and 2\n\n11 Original Application No.318 of 2009\n\nDigital Supreme Court Reports\f[2024] 10 S.C.R. \n\n131\n\nthe applicants therein(private respondents herein) to file a review \napplication for assailing the orders passed in Original Application No. \n831 of 2007 and Original Application No. 821 of 2007.\n\n10. However, private respondents herein rather than filing a review \napplication, chose to assail the orders passed by the CAT by preferring \na Writ Petition12 before the Madras High Court which came to be \nallowed vide order dated 10th October, 2011. The Union of India13 and \nrespondent No. 2-Factory were directed by the High Court to restore \nthe seniority of the writ petitioners(private respondents herein), holding \nthat the writ petitioners are senior to the appellant herein, both as \nper the date of initial appointment and also in the promotional post \nof skilled grade. The High Court held that an employee selected in \nthe semi-skilled grade is required to complete the probation period \nsatisfactorily and has to pass the requisite trade test prescribed for the \npost before he can be confirmed and promoted to the skilled grade. \nDue to the extension of the probation period of the respondents in \nthe Writ Petition No.583 of 2011(including the appellant herein), they \nwere required to be placed below the persons who were promoted \nto the skilled grade earlier to them. The High Court held that in the \nskilled grade, the writ petitioners(private respondents herein) were \nsenior to the third respondent(appellant herein). It was also held that \nthe promotions to the skilled grade and the highly skilled grade were \ncarried out in the years 1998 and 2003, respectively but the third \nrespondent (appellant herein) chose to file the Original Application14 \nin the year 2007 and no reason was forthcoming for the gross delay. \nThe relevant extract from the High Court’s judgment dated 10th \nOctober, 2011 is reproduced hereinbelow: -\n\n“7. A mere reading of the counter affidavit would show that \nthe probation of the third respondent in W.P. No. 583 of 2011 \nwas extended by six months and for the third respondent \nin W.P. No. 584 of 2011, it was extended by three months \nby virtue of their failure to complete probation of two years \nand to pass the required trade test prescribed for the \nposts. Accordingly, the third respondent in W.P. No. 583 of \n\n12 Writ Petition No. 583 of 2011\n\n13 Respondent No. 1\n\n14 Original Application No. 821 of 2007\n\nV. Vincent Velankanni v. The Union of India and Others\f132 \n\n[2024] 10 S.C.R.\n\n2011 was placed in the skilled grade only with effect from \n6.1.1999 and third respondent in W.P. No. 584 of 2011 \nwas promoted only with effect from 5.10.1998 whereas \nthe petitioners in both the petitions were promoted to the \nskilled grade on 3.7.1998.\n\n8. It is not in dispute that the Semi-Skilled grade is only \nhas to complete the probation period satisfactorily and \npass the requisite trade tests prescribed for the posts. \nIn the present case, it is clear that due to extension of \nthe probation period, the respondents were placed below \nthe persons who were promoted to Skilled grade earlier \nthan them. Even if the date of appointment is taken into \nconsideration, the petitioners are seniors to the third \nrespondent in these petitions.\n\n9. That apart, the petitioners were promoted to the skilled \ngrade in the year 1998 and to the highly skilled grade in \nthe year 2003. But the third respondent in these petitions \nhave chosen to file the original applications only in the \nyear 2007 and no reason is forthcoming for the delay.\n\n10. In view of the counter affidavit filed by the Department \nwhich is in favour of the petitioners and the fact that the \npetitioners are seniors to the third respondent in these \npetitions both as per the date of initial appointment and \nalso the date of promotion to the skilled grade, we are of \nthe view that revising the seniority list at the instance of \nthe third respondent in the Writ Petitions in the guise of \nimplementing the order of the Tribunal, is illegal. Therefore, \nin our considered opinion, the order of the Tribunal is to \nbe interfered with.\n\n11. For the aforesaid reasons, the writ petitions are allowed \nand the order of the Tribunal is set aside. The respondents 1 \nand 2 are directed to restore the seniority of the petitioners \nconfirming their original date of promotion to the Highly \nSkilled Grade. After revising the seniority, the respondents \nare further directed to consider the case of the petitioners \nfor subsequent promotion on par with their juniors.”\n\n(quoted verbatim from the paper book)\n\nDigital Supreme Court Reports\f[2024] 10 S.C.R. \n\n133\n\nThe judgment dated 10th October, 2011 passed by the Division \nBench of the High Court is the subject matter of challenge in the \ninstant appeal.\n\nSubmissions on behalf of the appellant: \n\n11. Learned counsel appearing for the appellant urged that the High \nCourt premised its findings on a totally erroneous reasoning that the \nchallenge laid by the appellant to the draft seniority list was delayed \nand that the private respondents herein(writ petitioners) were senior \nto the appellant as on the date of initial appointment.\n\n12. Learned counsel contended that the draft seniority list in the \nappellant’s cadre was published in the year 2006 for the first \ntime after the appointment of the appellant as well as the private \nrespondents. Immediately on receiving the draft seniority list, the \nappellant herein made a representation against the same and when \na favourable decision was not forthcoming, he approached the CAT \nfor challenging the validity thereof. He submitted that the finding of \nthe High Court that the private respondents herein(writ petitioners) \nwere senior to the appellant as on the date of initial appointment is \ntotally against the record. \n\n13. He further urged that the extant rules do not provide that the promotion \nfrom Fitter(semi-skilled) to Fitter(skilled) would be dependent on \npassing the trade test. Thus, as soon as the appellant completed \nthe probation period, his services would have to be confirmed and \nreckoned from the date of initial appointment, and by virtue thereof, \nthe appellant would be entitled to be placed above the private \nrespondents in the order of seniority. \n\n14. Learned counsel submitted that the period spent during training/\nprobation has to be reckoned for computation of length of service and \nthe same cannot be excluded while assigning seniority to an employee. \nIn support of his arguments, learned counsel placed reliance on the \njudgment of this Court in the case of L. Chandrakishore Singh v. \nState of Haryana.15 \n\n15. He further submitted that the movement of the employee from semi-\nskilled to skilled grade tantamounts to confirmation/ upgradation and \n\n15 AIR 1975 SC 613\n\nV. Vincent Velankanni v. The Union of India and Others\f134 \n\n[2024] 10 S.C.R.\n\nnot a promotion. In support of this contention, reliance was placed on \nthe judgment of this Court in the case of BSNL v. R. Santhakumari \nVelusamy.16\n\n16. Learned counsel also placed reliance on the Office Memorandum17 \ndated 4th November,1992, issued by the Government of India, \nDepartment of Personnel and Training, which was in force at the \ntime when the appellant and the private respondents were appointed, \nwherein, it is provided: -\n\n“Seniority for Promotion\n\nOrder effective from 4th November, 1992\n\n[Government of India, Department of Personnel and \nTraining, Office Memorandum No. 20011/5/90-Estt. (D), \ndated the 4th November, 1992]\n\nSeniority to be determined by the order of merit indicated \nat the time of initial appointment.- The seniority of \nGovernment servants is determined in accordance with \nthe general principles of seniority contained in M.Η.Α., \nΟ.Μ. No. 9/11155-RPS, dated the 22nd December, 1959 \n(See Section II). One of the basic principles enunciated \nin the said OM is that, seniority follows confirmation and \nconsequently permanent officers in each grade shall rank \nsenior to those who are officiating in that grade.\n\n2. This principle has been coming under judicial scrutiny in \na number of cases in the past; the last important judgment \nbeing the one delivered by the Supreme Court on 2-5-1990, \nin the case of Class II Direct Recruits Engineering Officers’ \nAssociation v. State of Maharashtra. In Para. 47 (A) of the \nsaid judgment, the Supreme Court has held that once an \nincumbent is appointed to a post according to rule, his \nseniority has to be counted from the date of his appointment \nand not-according to the date of his confirmation.\n\n3. The general principle of seniority mentioned above has \nbeen examined in the light of the judicial pronouncement \n\n16 \n\n17 \n\n[2011] 14 SCR 502 : (2011) 9 SCC 510\n\n‘OM’, hereafter\n\nDigital Supreme Court Reports\f[2024] 10 S.C.R. \n\n135\n\nreferred to above and it has been decided that seniority \nmay be delinked from confirmation as per the directive \nof the Supreme Court in Para, 47 (A) of its judgment, \ndated 2-5-1990. Accordingly, in modification of the \nGeneral Principle 3, proviso to General Principle 4 \nand proviso to General Principle 5 (i) contained in \nO.M. No. 9/11155-RPS, dated the 22nd December, \n1959 and Para. 2.3 of O.M., dated the 3rd July, 1986, \nit has been decided that the seniority of a person \nregularly appointed to a post according to rule would \nbe determined by the order of merit indicated at the \ntime of initial appointment and not according to the \ndate of confirmation.\n\n4. These orders shall take effect from the date of issue \nof this Office Memorandum. Seniority already determined \naccording to the existing principles on the date of issue of \nthese orders will not be reopened even if in some cases \nseniority has already been challenged or is in dispute \nand it will continue to be determined on the basis of the \nprinciples already existing prior to the date of issue of \nthese orders.”\n\n(emphasis supplied)\n\nHe thus urged that the seniority of a person regularly appointed would \nhave to be reckoned based on the merit indicated at the time of the \ninitial appointment and not as per the date of confirmation. To support \nthis submission, he also placed reliance on the Constitution Bench \ndecision of this Court in Direct Recruit Class II Engg. Officers’ \nAssn. v. State of Maharashtra.18\n\nHe thus implored the Court to accept the appeal, set aside the \nimpugned judgment rendered by the High Court, and restore the \njudgment of the CAT.\n\nSubmissions on behalf of the respondents: \n\n17. Per contra, learned counsel appearing for respondent Nos. 1 and 2 \nsubmitted that the appellant was appointed as Fitter General(semi-\n\n18 \n\n[1990] 2 SCR 900 : (1990) 2 SCC 715\n\nV. Vincent Velankanni v. The Union of India and Others\f136 \n\n[2024] 10 S.C.R.\n\nskilled) on 17th January, 1996. The semi-skilled grade is only a \ntrainee grade and in order to be confirmed in service and for being \npromoted to the skilled grade, the employee would have to complete \nthe probation period satisfactorily and pass the requisite trade test \nprescribed for promotion to the skilled grade. Only on passing the \ntrade test, the employee would qualify for a permanent status and \npromotion to the skilled grade.\n\n18. He further submitted that it is a settled law that in cases where there \nare no rules governing the field, it is the placement in the initial merit \nlist that will decide the seniority, however, if the rules are in vogue, \nthen the same will prevail. In this regard, he placed reliance on \nSuresh Chandra Jha v. State of Bihar and Others.19\n\n19. Learned counsel for the respondents placed reliance on Statutory \nRegulatory Order20 No. 185 of 1994 dated 1st November, 1994 to \nurge that any appointment in the industrial establishment is done \nagainst the skilled grade and hence, the period spent in the semi-\nskilled grade till completion of probation period and qualifying the \nprescribed trade test for promotion to the skilled grade is considered \nonly as a trainee grade. Resultantly, the seniority/merit position at \nthe time of induction in the trainee grade would have no bearing \non the inter se seniority of the employees which would have to be \nreckoned from the date the employee is confirmed and promoted to \nthe skilled grade upon completing the probation period and clearing \nthe trade test. \n\n20. He further placed reliance upon the Government Order21 dated 24th \nDecember, 2002 issued by the Ordinance Factory Board, Ministry \nof Defence, Government of India, which was issued to clarify the \ncounting of seniority in trades mentioned in SRO No. 185 of 1994 \napplicable to the Industrial Establishments and urged that the said \nGO clarifies beyond the pale of doubt that the semi-skilled grade is \na trainee grade and the seniority will be counted from the date of \npromotion to the skilled grade and not from the date of induction/\nentry in the semi-skilled grade.\n\n19 \n\n20 \n\n21 \n\n[2006] Supp. 8 SCR 831 : (2007) 1 SCC 405\n\n‘SRO’, hereafter\n\n‘GO’, hereafter\n\nDigital Supreme Court Reports\f[2024] 10 S.C.R. \n\n137\n\n21. Learned counsel pointed out that the two years’ probation period \nof the appellant was extended by six months w.e.f. 17th January, \n1998, and the appellant could complete the probation period only on \n16th July, 1998. Subsequently, upon passing the trade test, he was \npromoted to the skilled grade w.e.f. 6th January, 1999. The appellant \nlost the seniority on account of his failure to complete probation in \nthe period of two years and clearing the trade test whereas, the \nprivate respondents herein had completed probation in time and were \nfound to be fit in the trade test and therefore, they were promoted \nto the skilled grade much before the appellant. Consequently, these \nemployees i.e. private respondents herein were placed higher in \nseniority, as per clarification issued by Ordinance Factory Board \nvide GO dated 24th December, 2002. \n\nOn these grounds, learned counsel for the respondents implored \nthe Court to dismiss the appeal and affirm the order passed by the \nHigh Court.\n\n22. Learned counsel for the private respondents herein22 adopted the \nsubmissions advanced by learned counsel for respondent Nos. 1 \nand 2.\n\n23. We have given our thoughtful consideration to the submissions \nadvanced at the bar by learned counsel for the parties and have \ngone through the impugned judgment and the material placed on \nrecord.\n\nDiscussion and Conclusion:\n\n24. The fact that the appellant and private respondents were inducted \nas semi-skilled grade employees in respondent No. 2-Factory in \nthe year 1996 is not in dispute. The common select list dated 22nd \nNovember, 1995 is not placed on record by the parties. However, \nappellant filed an RTI,23 and the reply thereto dated 29th December, \n2011 clearly shows that at the time of initial induction, appellant was \nplaced at the 7th position, whereas the private respondents24 were \nplaced at the 30th, 31st and 32nd positions, respectively in the select \nlist based on merit.\n\n22 Respondent Nos. 3, 4, and 5\n\n23 Right to Information\n\n24 Respondent Nos. 3, 4 and 5\n\nV. Vincent Velankanni v. The Union of India and Others\f138 \n\n[2024] 10 S.C.R.\n\n25. The Division Bench of the High Court in the impugned judgment \ndated 10th October, 2011 has recorded a categoric finding that \neven if the date of appointment is taken into consideration, the writ \npetitioners(private respondents herein) are senior to respondent \nNo.3(appellant herein). This finding seems to be prima facie erroneous \nbecause admittedly, the appellant herein was placed at 7th position \nand the private respondents were placed at the 30th, 31st and 32nd \npositions in the order of merit, as borne out from the record. Further, \nin writ petition25 filed by the private respondents before the High Court \nand the counter affidavit filed by the respondents herein before this \nCourt, there is no averment that these respondents were placed \nabove to the appellant at the time of initial appointment. Rather the \nsole ground taken by the writ petitioners(private respondents herein) \nto oppose the prayer of the appellant was that the appellant was \nnot able to complete his probation period and pass the trade test \non time and thus, he was placed below the private respondents in \nthe draft seniority list.\n\n26. Before we adjudicate upon the issue of inter se seniority amongst the \nlitigating parties, we find it necessary to comment on the appellant’s \napproach towards filing his claim concerning his promotion in the \nhighly skilled grade.\n\n27. The appellant and the private respondents faced a common \nselection process and were appointed in the semi-skilled grade \nin the year 1996. The private respondents herein were promoted \nto the skilled grade on 11th January, 1998 and further promoted to \nthe highly skilled grade on 20th May, 2003. On the other hand, the \nappellant was promoted to the skilled grade on 17th July, 1998(after \ncompleting his extended probation period of 6 months and clearing \nthe mandatory trade test). Considering that the private respondents \nwere promoted to highly skilled grade in May, 2003, the appellant in \nthe normal course should also have been promoted to highly skilled \ngrade by the end of the year 2003. However, as per the factual \nmatrix, he was promoted to the highly skilled grade after around 5 \nyears i.e. on 26th March, 2008. A tabular chart depicting the date of \nappointment and the date of promotion to skilled and highly skilled \ngrade is placed below: - \n\n25 Writ Petition No. 583 of 2011\n\nDigital Supreme Court Reports\f[2024] 10 S.C.R. \n\n139\n\nName\n\nV. Sivaraman \n(Respondent \nNo. 3)\n\nG. Sudhakar \n(Respondent \nNo. 4)\n\nP. Ramesh \n(Respondent \nNo. 5)\n\nV. Vincent \nVelankanni \n(Appellant)\n\nExtension of \nprobation\n\nDate of \nappointment \nin the Semi \nSkilled grade\n\nEffective \ndate of \nsatisfactory \ncompletion of \nprobation\n\nDate of \npromotion \nto Skilled \ngrade\n\nDate of \npromotion \nto the \nHighly \nskilled \ngrade\n\n11.01.1996\n\nNA\n\n11.01.1998\n\n03.07.1998\n\n20.05.2003\n\n11.01.1996\n\nNA\n\n11.01.1998\n\n03.07.1998\n\n20.05.2003\n\n11.01.1996\n\nNA\n\n11.01.1998\n\n03.07.1998\n\n20.05.2003\n\n17.07.1988\n\n06.01.1999\n\n26.03.2008\n\n17.01.1996\n\nBy 6 months \nw.e.f. \n17.1.1998 by \norder dated \n5.2.1998\n\n28. The draft seniority list was published on 28th July, 2006. The appellant \nnever questioned the denial of promotion to the highly skilled grade, \ntill much after the publication of the draft seniority list. Admittedly, \nco-employees who were below the appellant in the select list of \nthe year 1996 were promoted in the intervening period without any \nobjection being raised by the appellant. After the publication of the \ndraft seniority list in the year 2006, he chose to challenge the same \nand to consider his promotion to highly skilled grade with effect from \n20th May, 2003 by filing an Original Application26 before CAT only in \nthe year 2007. Thus, it was the first time in 2007 that the appellant \nclaimed his promotion with retrospective effect. However, this benefit \nof retrospective promotion was neither granted by the CAT nor by the \nHigh Court and thus, there is no need to delve into this aspect further. \n\n29. The primary issue which requires adjudication is as to whether the \nseniority of the appellant is to be reckoned from the date of induction/\ninitial appointment or as per the date of promotion/confirmation in \nthe skilled grade. \n\n30. \n\nIt is a well-settled proposition that once an incumbent is appointed to \na post according to the rules, his seniority has to be reckoned from \n\n26 Original Application No. 821 of 2007\n\nV. Vincent Velankanni v. The Union of India and Others\f140 \n\n31. \n\n[2024] 10 S.C.R.\n\nthe date of the initial appointment and not according to the date of \nconfirmation, unless the rules provide otherwise.\n\nIn the case of L. Chandrakishore Singh v. State of Manipur and \nOthers,27 this Court held that in cases of probationary or officiating \nappointments which are followed by a confirmation, unless a contrary \nrule is shown, the services rendered as the officiating appointment \nor on probation cannot be ignored while reckoning the length of \nservice for determining the position in the seniority list. This view \nhas been reiterated in the case of Ajit Kumar Rath v. State of \nOrissa and Others.28 \n\n32. The Constitution Bench of this Court in Direct Recruit Class II Engg \nOfficers’ Assn.(supra) stated the legal position with regard to inter \nse seniority of direct recruits and promotees and while doing so, \ninter alia, it was held that once an incumbent is appointed to a post \naccording to rules, his seniority has to be counted from the date of \nhis appointment and not according to the date of his confirmation.\n\n33. This Court summarised the legal principles with regard to the \ndetermination of seniority in Pawan Pratap Singh and Others v. \nReevan Singh and Others29 in the following terms: \n\n45.  From the above, the legal position with regard to \ndetermination of seniority in service can be summarised \nas follows:\n\n(i) The effective date of selection has to be understood \nin the context of the service rules under which the \nappointment is made. It may mean the date on which \nthe process of selection starts with the issuance of \nadvertisement or the factum of preparation of the \nselect list, as the case may be.\n\n(ii) \n\nInter se seniority in a particular service has to be \ndetermined as per the service rules. The date of \nentry in a particular service or the date of substantive \nappointment is the safest criterion for fixing seniority \ninter se between one officer or the other or between \n\n27 \n\n28 \n\n29 \n\n[1999] Supp. 3 SCR 323 : (1999) 8 SCC 287\n\n[1999] Supp. 4 SCR 302 : (1999) 9 SCC 596\n\n[2011] 2 SCR 831 : (2011) 3 SCC 267\n\nDigital Supreme Court Reports\f[2024] 10 S.C.R. \n\n141\n\none group of officers and the other recruited from \ndifferent sources. Any departure therefrom in the \nstatutory rules, executive instructions or otherwise \nmust be consistent with the requirements of Articles \n14 and 16 of the Constitution.\n\n(iii) Ordinarily, notional seniority may not be granted from \nthe backdate and if it is done, it must be based on \nobjective considerations and on a valid classification \nand must be traceable to the statutory rules.\n\n(iv) The seniority cannot be reckoned from the date of \noccurrence of the vacancy and cannot be given \nretrospectively unless it is so expressly provided by \nthe relevant service rules. It is so because seniority \ncannot be given on retrospective basis when an \nemployee has not even been borne in the cadre and \nby doing so it may adversely affect the employees \nwho have been appointed validly in the meantime.\n\n34. Thus, it is trite that when an employee completes the probation period \nand is confirmed in service albeit with some delay, the confirmation \nin service shall relate back to the date of the initial appointment. Any \ndeparture from this principle in the form of statutory rules, executive \ninstructions or otherwise must be consistent with the requirements \nof Articles 14 and 16 of the Constitution of India.\n\n35. \n\nIn the backdrop of the above legal and factual background, let us now \nexamine if whether the extant rules/regulations/circulars prevailing \nin the establishment30 contained any stipulation that the completion \nof the probation period and the passing of the trade test is sin qua \nnon for being promoted to the skilled grade and if so, whether the \nseniority of the employees selected on the same date would have \nto be reckoned from the date of confirmation/passing the trade test \nor from the date of initial appointment. \n\n36. A pertinent averment is made in the counter affidavit filed by the \nrespondents emphasizing their stand that the semi-skilled grade is \nonly a trainee grade and in order to place an employee in the skilled \ngrade, he would have to complete the probation period satisfactorily \n\n30 Respondent No. 2-Factory\n\nV. Vincent Velankanni v. The Union of India and Others\f142 \n\n[2024] 10 S.C.R.\n\nand also clear the trade test as laid down in the SRO No. 185 of \n1994. The relevant extract from SRO No. 185 of 1994 dated 1st \nNovember, 1994 is reproduced hereinbelow for the sake of ready \nreference. Note 6 of the said SRO reads as below: -\n\n“Note 6. Wherever “Trade Test” is laid down in Column 12 \nof this Schedule such trade test shall be prescribed by the \nGeneral manager of the factory or the Ordnance Factory \nBoard. The term “Trade Test” will include written, oral and \npractical examination and aptitude test and interview and \nalso statutory qualification test where applicable.”\n\n37. The GO dated 24th December, 2002 issued by the Ordinance Factory \nBoard placed on record clarifies the position regarding counting of \nseniority in the trades of SRO No. 185 of 1994 for the industrial \nestablishments. The language of this GO is considered germane to \nthe controversy and hence, the relevant portion thereof is extracted \nhereinbelow: -\n\n“With a view to overcome doubts in counting of seniority \nin respect of industrial employees who are working in \ntrades listed at Annexure ‘A’ of SRO 185/1994 it has been \ndecided to interpret rules relating to seniority in consonance \nwith existing SRO provisions. Accordingly, the following \nrules for determining seniority may be followed in all OFs \nwith immediate effect.\n\n1) Semi-skilled posts are training post for skilled posts \nof trades listed at Annexure ‘A’ of SRO 185/1994.\n\n2) Educational Qualification/Technical Qualification will \nnot be deciding factor while counting seniority for trades \nlisted at Annexure ‘A’ of SRO 185/1994.\n\nHowever, where passing of trade test/competency test \nor any other statutory certificate is required, the same \nmust be adhered to and cannot be done away with.\n\n3) Seniority will be counted from the date of promotion \nto Skilled grade and not from the date of induction/\nentry/promotion in semi-skilled grade.\n\n4)……\n\nDigital Supreme Court Reports\f[2024] 10 S.C.R. \n\n143\n\n5)……\n\n6) The above orders are in consonance with the existing \nSRO provisions and various court orders on the subject.”\n\n(emphasis supplied)\n\n38. The validity of this GO31 was never assailed by the appellant at any \nstage either before the CAT or the High Court. A conjoint reading \nof SRO No. 185 of 1994 and the GO dated 24th December, 2002, \nwhich indisputably were applicable to the cadre of semi-skilled and \nskilled fitters in the respondent establishment32 at the relevant point of \ntime would make it clear that the seniority in the skilled grade would \nhave to be reckoned from the date of promotion to the skilled grade \nand not from the date of induction/entry in the semi-skilled grade \nand the candidate joining service in the semi-skilled grade would be \nmandatorily required to complete the probation period and also to \nclear the trade test for being promoted to the skilled grade. In the \nevent of either of the two conditions not being met, the employee \nconcerned would not be entitled to be promoted to the skilled grade.\n\n39. The appellant, in support of his plea, has placed reliance on a GO \ndated 4th August, 2015, whereby the GO dated 24th December, 2002 \nhas been superseded and it has been decided by the Competent \nAuthority that “henceforth”, the seniority in respect of Industrial \nEstablishments would be governed by the relevant clause of OM \ndated 4th November, 1992(reproduced supra). The said GO dated \n4th August, 2015 is reproduced hereinbelow for the sake of ready \nreference: -\n\n“No. Per/I/Seniority/2015-16 \n\nDate: 04-08-2015\n\nTo\n\nThe Sr. General Managers/ General Managers\n\nAll Ordnance & Ordnance Equipment Factories\n\nSub: Determination of Seniority in connection with direct \nRecruitment in the Industrial Establishment.\n\nRef: (i) OFB Circular No. 590/OFBOL/A/I dated 24.12.2002\n\n31 Dated 24th December, 2002\n\n32 Engine Factory, Avadi, Chennai\n\nV. Vincent Velankanni v. The Union of India and Others\f144 \n\n[2024] 10 S.C.R.\n\n(ii) OFB Circular No. 590/OFBOL/A/I dated 13.01.2003\n\nIn connection with counting of Seniority in Annexure-A \ntrades of SRO 185/1994 in the Industrial Establishment, \nabove referred OFB Circulars clarified and directed that \nseniority in respect of Industrial Employees will be counted \nfrom the date of up-gradation to Skilled Grade and not \nfrom the date of induction/entry/promotion in the Semi-\nskilled grade.\n\nSeveral references in this regard have been received at \nOFB and after due examination, it has been observed that \nthe OFB Circulars under reference are not in line with the \nprinciples of seniority as laid down by DOPT from time \nto time.\n\nTherefore, the Competent Authority has decided that in \nsupersession of the above referred OFB Circulars dated \n24.12.2002 and 13.01.2003, henceforth, seniority in \nrespect of IEs will be governed by the relevant clause of \nDOPT OM No.20011/5/90-Estt(D) dated 4th November, \n1992 and OM No.22011/7/86-Estt(D) dated 3rd July, 1986. \nAccordingly, promotion from Skilled to Highly Skilled Grade-\nII will be made as per the seniority fixed for Semi-skilled \ngrade (entry grade) which will be arrived at as per merit \nof the select panel, without making any linkage to the date \nof up-gradation to the Skilled Grade.\n\nIt may so happen that a person lower in the merit list of \nrecruitment (in Semi-skilled grade) joins earlier due to early \nclearance of PVR. In such case, the person lower in the \nmerit list will complete his/her qualifying service and be \nup-graded to Skilled Grade on earlier date as compared to \na person higher in the merit list. However, person higher in \nthe merit list will not lose his seniority and will be placed \nabove the person lower in the merit list after getting up-\ngradation to Skilled Grade.\n\n(S. K. Singh) \nDirector/IR \nFor Director General, Ordnance Factories”\n\n(emphasis supplied)\n\nDigital Supreme Court Reports\f[2024] 10 S.C.R. \n\n145\n\n40. By virtue of the above GO,33 the rule position qua the fixation \nof seniority has been restored to be governed by OM dated 4th \nNovember, 1992(reproduced supra), according to which the relevant \ndate for fixation of seniority would be the date of initial appointment \nand not the date of upgradation/promotion to the skilled grade. The \nOM dated 4th August, 2015 further clarifies that the person higher \nin the merit list will not lose his seniority and will be placed above \nthe person lower in the merit list after getting upgradation to the \nskilled grade.\n\n41. However, the clarification issued vide GO dated 4th August, 2015 \ndoes not operate retrospectively as it is specifically provided in the \nsaid GO that “henceforth”, the seniority in respect of Industrial \nEstablishments will be governed by the relevant clause of OM dated \n4th November, 1992. \n\n42. \n\nIt is trite law that an Office Memorandum/Government Order cannot \nhave a retrospective effect unless and until there is an express \nprovision to make its effect retrospective or that the operation thereof \nis retrospective by necessary implication. In this regard, we are \nbenefitted by the observations of this Court in Sonia v. Oriental \nInsurance Co. Ltd. and Others,34 wherein it was held that:\n\n“11. ….In any view of the matter, law is well settled that \nan Office Memorandum cannot have a retrospective effect \nunless and until intention of the authorities to make it as \nsuch is revealed expressly or by necessary implication in \nthe Office Memorandum.”\n\n43. \n\nIf a Government Order is treated to be in the nature of a clarification \nof an earlier Government Order, it may be made applicable \nretrospectively. Conversely, if a subsequent Government Order is \nheld to be a modification/amendment of the earlier Government \nOrder, its application would be prospective as retrospective \napplication thereof would result in withdrawal of vested rights which \nis impermissible in law and the same may also entail recoveries \nto be made. The principles in this regard were culled out by this \nCourt in a recent judgment of Sree Sankaracharya University of \n\n33 Dated 4th August, 2015\n\n34 \n\n[2007] 8 SCR 883 : (2007) 10 SCC 627\n\nV. Vincent Velankanni v. The Union of India and Others\f146 \n\n[2024] 10 S.C.R.\n\nSanskrit and Others v. Dr. Manu and Another,35 in the following \nterms: -\n\n“52. From the aforesaid authorities, the following principles \ncould be culled out:\n\ni) \n\nii) \n\nIf a statute is curative or merely clarificatory of the \nprevious law, retrospective operation thereof may \nbe permitted.\n\nIn order for a subsequent order/provision/amendment \nto be considered as clarificatory of the previous law, \nthe pre-amended law ought to have been vague or \nambiguous. It is only when it would be impossible to \nreasonably interpret a provision unless an amendment \nis read into it, that the amendment is considered to \nbe a clarification or a declaration of the previous law \nand therefore applied retrospectively.\n\niii) An explanation/clarification may not expand or alter \n\nthe scope of the original provision.\n\niv) Merely because a provision is described as a \nclarification/explanation, the Court is not bound by \nthe said statement in the statute itself, but must \nproceed to analyse the nature of the amendment and \nthen conclude whether it is in reality a clarificatory or \ndeclaratory provision or whether it is a substantive \namendment which is intended to change the law and \nwhich would apply prospectively.”\n\n44. Applying these principles to the case at hand, we are of the view \nthat the subsequent GO dated 4th August, 2015 cannot be read \nsimply as a clarification and therefore cannot be made applicable \nretrospectively. The said GO has substantively modified the position \ngoverning seniority in the Industrial Establishments by reviving the \nearlier OM dated 4th November, 1992, and supersedes the orders/\ncirculars dated 24th December, 2002 and 13th January, 2003, which \nwere holding the field over more than a decade. Therefore, giving \nretrospective effect to the GO dated 4th August, 2015 would have \ncatastrophic effect on the seniority of the entire cadre.\n\n35 \n\n[2023] 7 SCR 366 : 2023 SCC OnLine SC 640\n\nDigital Supreme Court Reports\f[2024] 10 S.C.R. \n\n147\n\n45. This Court has time and again dealt with the effect of altering the \nseniority list at a belated stage and how it may adversely affect the \nemployees whose seniority and rank has been determined in the \nmeantime. In this connection, reference may be made to Malcom \nLawrence Cecil D’Souza v. Union of India and Others,36 wherein \nthis Court held that: -\n\n“9.  Although security of service cannot be used as a \nshield against administrative action for lapses of a public \nservant, by and large one of the essential requirements of \ncontentment and efficiency in public services is a feeling of \nsecurity. It is difficult no doubt to guarantee such security \nin all its varied aspects, it should at least be possible to \nensure that matters like one’s position in the seniority list \nafter having been settled for once should not be liable to \nbe reopened after lapse of many years….. Raking up old \nmatters like seniority after a long time is likely to result \nin administrative complications and difficulties. It would, \ntherefore, appear to be in the interest of smoothness and \nefficiency of service that such matters should be given a \nquietus after lapse of some time.”\n\n46. \n\nIn R.S. Makashi and Others v. I.M. Menon and Others,37 this Court \nobserved as follows: -\n\n“33. …. We must administer justice in accordance with \nlaw and principles of equity, justice and good conscience. \nIt would be unjust to deprive the respondents of the rights \nwhich have accrued to them. Each person ought to be \nentitled to sit back and consider that his appointment and \npromotion effected a long time ago would not be set aside \nafter the lapse of a number of years. ….”\n\n47. \n\nIn K.R. Mudgal and Others v. R.P. Singh and Others,38 this Court \nobserved in the following terms: -\n\n“2. … A government servant who is appointed to any post \nordinarily should at least after a period of 3 or 4 years \n\n36 \n\n37 \n\n38 \n\n(1976) 1 SCC 599\n\n[1982] 2 SCR 69 : (1982) 1 SCC 379\n\n[1986] 3 SCR 993 : (1986) 4 SCC 531\n\nV. Vincent Velankanni v. The Union of India and Others\f148 \n\n[2024] 10 S.C.R.\n\nof his appointment be allowed to attend to the duties \nattached to his post peacefully and without any sense \nof insecurity.”\n\n48. \n\nIn B.S. Bajwa and Another v. State of Punjab and Others,39 this \nCourt held that the seniority list should not be reopened after a lapse \nof reasonable period as it would disturb the settled position which \nis unjustifiable. The relevant extract is as follows: -\n\n“7. … It is well settled that in service matters the question \nof seniority should not be reopened in such situations after \nthe lapse of a reasonable period because that results in \ndisturbing the settled position which is not justifiable….”\n\n49. \n\nIt can easily be inferred that in the intervening period, before the GO \ndated 4th August, 2015 came to be issued, seniority of multitudes \nof employees must have been fixed according to the GO dated 24th \nDecember, 2002, which is according to the date of promotion to \nskilled grade and not from the date of induction/entry in semi-skilled \ngrade. As a matter of fact, respondent Nos. 3, 4 and 5 who were \nbelow the appellant in the order of merit at the time of induction in \nthe semi-skilled grade, have been promoted to the skilled grade and \nthe highly skilled grade much before the appellant by application of \nthe GO dated 24th December, 2002. The appellant did not question \ntheir promotions before any Court or Tribunal at any stage. \n\n50. Thus, much water has flown under the bridge and retrospective \napplication of the GO issued in 2015 would open floodgates of litigation \nand would disturb the seniority of many employees causing them \ngrave prejudice and heartburn as it would disturb the crystallized rights \nregarding seniority, rank and promotion which would have accrued to \nthem during the intervening period. To alter a seniority list after such \na long period would be totally unjust to the multitudes of employees \nwho could get caught in the labyrinth of uncertainty for no fault of \ntheirs and may suffer loss of their seniority rights retrospectively. \n\n51. Keeping in mind the afore-stated principles, we are of the view \nthat applicability of the Government Order dated 4th August, 2015 \ncannot enure to the benefit of the appellant as its operation is clearly \nprospective. \n\n39 \n\n[1997] Supp. 6 SCR 451 : (1998) 2 SCC 523\n\nDigital Supreme Court Reports\f[2024] 10 S.C.R. \n\n149\n\n52. \n\nIn wake of the above discussion, we find that the impugned judgment \nof the High Court does not suffer from any infirmity warranting \ninterference.\n\n53. This appeal is dismissed as being devoid of merit. No order as to \n\ncosts.\n\n54. Pending application(s), if any, shall stand disposed of.\n\nCIVIL APPEAL @ SLP(Civil) D. No. 3704-3706 of 2012)\n\n55. Delay condoned.\n\n56. Leave granted.\n\n57. \n\nIn terms of the judgment passed in Civil Appeal No(s). 8617 of 2013, \nthe present appeals are disposed of. No order as to costs.\n\n58. Pending application(s), if any, shall stand disposed of.\n\nResult of the Case: Appeals disposed of.\n\n†Headnotes prepared by: Ankit Gyan\n\nV. Vincent Velankanni v. The Union of India and Others\f"}