Punjab Power Corporation Challenges Court Order on Dearness Allowance Payments
PSPCL moves HC against deadline to pay DA to employees, pensioners
Hindustan Times
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The Punjab State Power Corporation Limited (PSPCL) has filed a petition against a Punjab and Haryana High Court order requiring the state to pay pending dearness allowance (DA) to employees and pensioners by June 30. The order mandates payment rates similar to those for All India Services officers, with potential liabilities estimated between ₹10,000 crore and ₹14,000 crore.
- 01PSPCL challenges a court order on dearness allowance payments.
- 02The High Court mandated payment by June 30, aligning with All India Services rates.
- 03Estimated liabilities for the state range from ₹10,000 crore to ₹14,000 crore.
- 04Political leaders criticize the AAP government for its legal challenge.
- 05A caveat has been filed by employees and pensioners to ensure their voices are heard.
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The Punjab State Power Corporation Limited (PSPCL) has approached the Punjab and Haryana High Court to contest an order that mandates the state to pay pending dearness allowance (DA) to employees and pensioners by June 30. This order aligns the DA with the rates paid to All India Services officers, which could result in a financial liability for the government estimated between ₹10,000 crore (roughly $1.2 billion USD) and ₹14,000 crore (approximately $1.7 billion USD). The High Court's ruling, issued on April 8 and made public on April 19, emphasized that the government cannot deny these benefits based on its financial constraints. PSPCL's grounds for challenging the order remain unclear, but the petition is expected to be heard next week. Meanwhile, employees and pensioners have filed a caveat to ensure they are heard before any interim orders are made. Political leaders, including Punjab Congress president Amarinder Singh Raja Warring and opposition leader Partap Singh Bajwa, have condemned the Aam Aadmi Party (AAP) government for its decision to challenge the court's ruling, accusing it of hypocrisy given its recent focus on labor issues.
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The outcome of this legal challenge could significantly affect the financial situation of the Punjab government and the livelihoods of approximately 7 lakh employees and pensioners.
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