Retired Gujarat government employees, who have been fighting for an increase in pay, heaved a sigh of relief after Gujarat High Court ordered the state government to pay benefits and arrears to the concerned retired employees within six months.

Over 32,000 retired employees are set to receive the benefit after a division bench of Justices A S Supehia and Nisha M Thakore ordered the state government to pay the retired employees one increment and arrears within six months, as per a Supreme Court judgment. 

Gujarat High Court finally disposed of many contempt petitions filed by retired employees. This order comes as a great relief to a long-standing legal dispute concerning one increment and its arrears of government employees.

Following the Supreme Court’s order dated February 20, 2025, the high court had clearly instructed the state government to pay these benefits according to the categories determined by the Supreme Court and to ensure compliance.

Representing the state government, Gursharan Singh Virk said that the Supreme Court has decided to give the benefit of an increment and arrears to the respective retired employees in three categories.

According to the category determined by the Supreme Court, those retired employees who have not gone to court or filed a case will receive the benefit of one increment from May 1, 2023, or thereafter. However, in cases where retired government employees have filed court cases, they will benefit from the increment from the date they filed the case, as of February 20, 2025.

The Gujarat HC also clarified in its order that only employees who have retired from statutory authorities and to whom the pension scheme is applicable, will get the benefit of one increment.

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