The Delhi High Court recently clarified that employees of the Central Government who have already been granted a higher Grade Pay are not eligible for benefits under the Modified Assured Career Progression (MACP) Scheme. The Court emphasized that the MACP Scheme was specifically designed to provide financial relief to employees who remain stagnant in the same Grade Pay for extended periods, typically at intervals of 10, 20, or 30 years. The rationale is to ensure that employees who do not receive regular promotions are compensated for their service through periodic upgradation to the next higher Grade Pay.
A division bench comprising Justice Navin Chawla and Justice Madhu Jain addressed cross-petitions arising from orders of the Central Administrative Tribunal (CAT). Several employees had challenged CAT’s decision denying them MACP benefits on the grounds that they had already been placed in a higher Grade Pay. Conversely, the Union Government filed a petition against the CAT’s order, which had initially allowed MACP benefits on the ground that the employees’ placement in HS Grade-I should not be treated as upgradation.
The High Court held that once an employee advances to a higher Grade Pay, the condition of stagnation no longer applies, and thus, the foundational premise of the MACP Scheme is not met. The Court clarified that any advancement to a higher Grade Pay, whether due to promotion, financial upgradation, or restructuring, must be taken into account when considering MACP benefits. Granting MACP benefits in such cases would amount to a double benefit, which is contrary to the scheme’s objective.
The Court concluded that the employees in question had already been advanced to a higher Grade Pay based on seniority following restructuring. Therefore, they were not entitled to additional MACP benefits. This ruling reinforces that the MACP Scheme is intended only for employees who have not received other financial upgradations and cannot be used to provide multiple benefits to the same individual.
0 Comments
Thank you for your response. It will help us to improve in the future.