tition Nos
8307 11 of 1983 etc
Under Article 32 of the Constitution of India WITH Special Leave Petition No 6823 of 1988
546 From the Judgment and Order dated 2211988 of the Karnataka High Court in Application No 3392 of 1987 NS Hegde Additional Solicitor General RK Garg MC Bhandare Mrs Indra Jaisingh PS Poti NP Govind Mukhoty TS
Krishnamurthy Iyer NP Miss Rani Jethmalani RM Tiwari LP Gour Mohan Katarki DK Garg V Laxmi Narayan PR Ramasheesh M Veerappa NP section Ravindra Bhatt and CS Vaidyanathan for the appearing parties
The Judgment of the Court was delivered by RANGANATH MISRA J
These are five writ petitions under Article 32 of the Constitution by two trade unions a socie ty formed by Law students of the University College and two individuals asking for quashing of the Karnataka Govern ment s Notification of 12th March 1982 and for directions to confirm the daily rated and monthly rated employees as regular government servants and for payment of normal salary at the rates prescribed for the appropriate categories of the Government servants and other service benefits
It has been pleaded that about 50000 such workers are employed in the different Government establishments and though many of them have put in 15 to 20 years of continuous service which is proof of the fact that there is permanent need for the jobs they perform they have not been regularised in their service and are not being paid equal pay for equal work as has been mandated by this Court by way of implementation of the Directive Principles of State Policy
A two Judge Bench of this Court dealing with these writ petitions on 14th July 1988 directed We have heard learned counsel for both the parties only on one of the questions involved in this case viz whether the monthly rated Gangmen who are referred to in Paragraph 1 of the Government s order No PWD 100 PWC 83 Bangalore dated 12th January 1984 and the monthly rated Sowdies etc
re ferred to in the Government s order No PWD 120 PWC 84 dated 4th December 1984 should be paid the same salary as the salary paid to Gangmen and Sowdies respectively who are employed regularly by the State Government
As we are of the view that the principle enunciated by this Court in Para graph 3 of the judgment of this Court in Daily Rated Casual Labour Employed under 547 P  T Department through Bhartiya Dak Tar Mazdoor Manch vs Union of India  Ors is applicable to this case also we direct the Government of Karnataka to pay salary to such workmen at the rates equivalent to the mini mum pay in the pay scales of the regularly employed Gangmen or Sowdies as the case may be but without any increment with effect from 17 1988
The question whether they are entitled to any arrears for the period between the date on which their services were regularised under the State Gov ernment s Orders and 17
1988 will be considered along with the other questions involved in this case at the final hearing
This case shall stand adjourned by three months
In the meanwhile we permit the State Government to frame a more rational scheme for absorbing as many casual workers and monthly rated Gangmen and Sowdies as possible in regular cadres
The case need not be treated as part heard
 Pursuant to the aforesaid directions the State of Karnataka has filed a draft scheme copies of which have been served on the parties their response to the draft scheme has been received and the matter has been heard at length
A three Judge Bench in Randhir Singh vs Union of India  Ors  observed It is true that the principle of equal pay for equal work  is not expressly declared by our Constitution to be a funda mental right
But it certainly is a constitutional goal
Article 39d of the Constitution proclaims equal pay for equal work for both men and women  as a Directive Principle of State Policy Equal pay for equal work for both men and women  means equal pay for equal work for everyone and as between the sexes
Directive Principles as has been pointed out in some of the judgments of this Court have to be read into the fundamental rights as a matter of interpretation
Article 14 of the Constitution enjoins the State not to deny any person equality before the law or the equal protection of the laws and Article 16 declares that there shall be equality of opportunity for all citizens in matters relating to employment or appointment to any office under the State
These equality clauses of the Constitution must mean some thing to everyone
To the vast majority of the 548 people the equality clauses of the Constitution would mean nothing if they are unconcerned with the work they do and the pay they get
To them the equality clauses will have some substance if equal work means equal pay
Whether the special procedure prescribed by a statute for trying alleged robber barons and smuggler kings or for dealing with tax evaders is discriminatory whether a particular governmental policy in the matter of grant of licences or permits confers unfettered discretion on the Executive whether the take over of the empires of industrial tycoons is arbitrary and unconstitutional and other questions of like nature leave the millions to people of this country untouched
Questions concerning wages and the like mundane they may be are yet matters of vital concern to them and it is there if at all that the equality clauses of the Constitution have any significance to them  
Construing Articles 14 and 16 of the Constitution in the light of the Preamble and Article 39d we are of the view that the principle equal pay for equal work  is deducible from those Articles and may be properly applied to cases of unequal scales of pay based on no classification or irrational classification though those drawing the different scales of pay do identical work under the same employer
 That was the case of Delhi Police drivers
In the case of Dhirendra Charnoli  Anr
vs State of UP  the claim for equal pay for equal work arose for con sideration on the complaint of persons who were engaged by the Nehru Yuvak Kendra as casual workers on daily wage basis
While dealing with the problem a two Judge Bench took note of the fact that casual employment was being continued for too long a period and directed the Central Government to accord to these persons who are employed by the Nehru Yuvak Kendras and who are concededly performing the same duties as Class IV employees the same salary and conditions of service as are being received by Class IV employees except regularisation which cannot be done since there are no sanctioned posts
But we hope and trust that posts will be sanctioned by the Central Govern ment in the different Nehru Yuvak Kendras so that these persons can be regularised
It is not at all desirable that any management and particularly the Central Government should continue to employ persons on 549 casual basis in organisations which have been in existence for over 12 years
 Both these aspects namely equal pay for equal work  and continuing casual employment for too long came for consideration of another two Judges Bench of this Court in Surinder Singh  Anr
vs Engineer in Chief CPWD  Ors Chinnappa Reddy J speaking for the Court began his judgment by saying In these two writ petitions the petitioners who are em ployed by the Central Public Works Department on a daily wage basis and who have been so working for several years demand that they should be paid the same wages as permanent employees employed to do identical work
They state that even if it is not possible to employ them on regular and permanent basis for want of a suitable number of posts there is no reason whatsoever why they should be denied equal pay for equal work 
Continuing to deal with the matter the learned Judge pointed out One would have thought that the judgment in the Nehru Yuvak Kendras case concluded further argument on the question
However Shri VC Mahajan learned counsel for the Central Government reiterated the same argument and also contended that the doctrine of equal pay for equal work  was a mere abstract doctrine and that it was not capable of being enforced in a court of law
He referred us to the observa tions of this Court in Kishori Mohanlal Bakshi vs Union of India AIR 1962 SC 1139
We are not a little surprised that such an argument should be advanced on behalf of the Central Government 36 years after the passing of the Constitution and 11 years after the Fortysecond Amendment proclaiming India as a socialist republic
The Central Government like all organs of the State is committed to the Directive Prin ciples of State Policy and Article 39 enshrines the princi ple of equal pay for equal work
In Randhir Singh vs Union of India supra this Court has occasion to explain the observations in Kishori Mohanlal Bakshi vs Union of India and to point out how the principle of equal pay for equal work is not an abstract doctrine and how it is a vital and vigorous doctrine 550 accepted throughout the world particularly by all socialist countries
For the benefit of those who do not seem to be aware of it we may point out that the decision in Randhir Singh case has been followed in any number of cases by this Court and has been affirmed by a Constitution Bench of this Court in DS Nakara vs Union of India  The Central Government the State Governments and likewise all public sector undertakings are expected to function like model and enlightened employers and arguments such as those which were advanced before us that the principle of equal pay for equal work is an abstract doctrine which cannot be enforced in a court of law should ill come from the mouths of the State and the State Undertakings    A little later came the case of RD Gupta  Ors
vs Lt Governor Delhi Admn
 Ors  raising the problem of inequality of pay in a situation where equal work was being rendered
In paragraph 18 of the judgment the ratio of the decision already referred to was reaffirmed
In the case of Bhagwan Dass  Ors
vs State of Haryana  Ors
 1987 4 SCC 634 the same principles were reiterated in the case of Teachers and Supervisors in the education service
Another Division Bench in Jaipal  Ors
vs State of Haryana  Ors
 1988 3 SCC 354 was dealing with the disparity in the conditions of service of Instructors under the Adult and Non formal Education Scheme and regular employees of the State of Haryana
This court stated There is no doubt that instructors and squad teachers are employees of the same employer doing work of similar nature in the same department therefore the appointment on a temporary basis or on regular basis does not affect the doctrine of equal pay for equal work
Article 39d con tained in Part IV of the Constitution ordains the State to direct its policy towards securing equal pay for equal work for both men and women
Though Article 39 is included in the chapter on Directive Principles of State Policy but it is fundamental in nature
The purpose of the Article is to fix certain social and economic goals for avoiding any discrimi nation amongst the people doing similar work in matters relating to pay
The doctrine of equal pay for equal work has been implemented by this Court in Randhir Singh vs Union of India Dhirendra Chamoli vs State of UP and 551 Surinder Singh vs Engineer in Chief CPWD
In view of these authorities it is too late in the day to disregard the doctrine of equal pay for equal work on the ground of the employment being temporary and the other being permanent in nature
A temporary or casual employee performing the same duties and functions is entitled to the same pay as paid to a permanent employee
 In the case of Daily Rated Casual Labour employed under P  T Department vs Union of India  Ors  the twin aspects for consideration before us had arisen for determination
This Court then indicated It may be true that the petitioners have not been regularly recruited but many of them have been working continuously for more than a year in the department and some of them have been engaged as casual labourers for nearly ten years
They are rendering the same kind of service which is being ren dered by the regular employees doing the same type of work
Clause 2 of Article 38 of the Constitution of India which contains one of the Directive Principles of State Policy provides that the State shall in particular strive to minimise the inequalities in income and endeavour to elimi nate inequalities in status facilities and opportunities not only amongst individuals but also amongst groups of people residing in different areas or engaged in different vocations 
Even though the above directive principle may not be enforceable as such by virtue of Article 37 of the Constitution of India it may be relied upon by the peti tioners to show that in the instant case they have been subjected to hostile discrimination
It is urged that the State cannot deny at least the minimum pay in the pay scales of regularly employed workmen even though the government may not be compelled to extend all the benefits enjoyed by regularly recruited employees
We are of the view that such denial amounts to exploitation of labour
The government cannot take advantage of its dominant position and compel any worker to work even as a casual labourer on starvation wages
It may be that the casual labourer has agreed to work on such low wages
That he has done because he has no other choice
It is poverty that has driven him to that state
The government should be a model employer
We are 552 of the view that on the facts and in the circumstances of this case the classification of employees into regularly recruited employees and casual employees for the purpose of paying less than the minimum pay payable to employees in the corresponding regular cadres particularly in the lowest rungs of the department where the pay scales are the lowest is not tenable  
India is a socialist republic
It implies the existence of certain important obligations which the State has to discharge
The right to work the right to free choice of employment the right to just and favourable conditions of work the right to protection against unem ployment
the right of everyone who works to just and fa vourable remuneration ensuring a decent living for himself and his family the right of everyone without discrimination of any kind to equal pay for equal work the right to rest leisure reasonable limitation on working hours and periodic holidays with pay the right to form trade unions and the right to join trade unions of one s choice and the right to security of work are some of the rights which have to be ensured by appropriate legislative and executive measures
It is true that all these rights cannot be extended simulta neously
But they do indicate the socialist goal
The degree of achievement in this direction depends upon the economic resources willingness of the people to produce and more than all the existence of industrial peace throughout the country
Of those rights the question of security of work is of utmost importance
If a person does not have the feeling that he belongs to an organisation engaged in production he will not put forward his best effort to produce more
That sense of belonging arises only when he feels that he will not be turned out of employment the next day at the whim of the management
It is for this reason it is being repeatedly observed by those who are in charge of economic affairs of the countries in different parts of the world that as far as possible security of work should be assured to the employees so that they may contribute to the maximisation of produc tion
It is again for this reason that managements and the governmental agencies in particular should not allow workers to remain as casual labourers or temporary employees for an unreasonably long period of time    Keeping these principles in view this Court in the case of HP Income 553 Tax Department Contingent Paid Staff Welfare Association vs Union of India  Ors  indicated with emphasis We accordingly allow this writ petition and direct the respondents to pay wages to the workmen who are employed as the contingent paidstaff of the Income Tax Department throughout India doing the work of Class IV employees at the rates equivalent to the minimum pay in the pay scale of the regularly employed workers in the corresponding cadres    Then came the case of State of UP  Ors
vs JP Chau rasia  Ors  where a Division Bench of this Court reiterated Equal pay for equal work for both men and women has been accepted as a constitutional goal capable of being achieved through constitutional remedies
 On this occasion the authority of the larger Bench in Kesa vananda Bharati vs State of Kerala 1973 4 SCC 225 where the Court said the dominant objective in view was to amel iorate and improve the lot of the common man and to bring about a socio economic justice  was called in aid for the conclusion of the Court
Reference may also be made to another Division Bench judgment of this Court in the case of Bhagwan Sahai Carpen ter  Ors
vs Union of India  Anr
  where the ratio of the decisions referred to above was given effect to
We have referred to several precedents all rendered within the current decade to emphasise upon the feature that equal pay for equal work and providing security for service by regularising casual employment within a reasona ble period have been unanimously accepted by this Court as a constitutional goal to our socialistic polity
Article 141 of the Constitution provides how the decisions of this Court are to be treated and we do not think there is any need to remind the instrumentalities of the State be it of the Centre or the State or the public sector that the Consti tution makers wanted them to be bound by what this Court said by way of interpreting the law
The question that arises in these matters is indeed not one that has been left wholly to the realm of interpretation and to be described 554 as Judge made law
Parliament has stepped in as early as 1976 by enacting the Equal Remuneration Act 25 of 1976 to take over a part of the question which arises here
That Act is a legislation providing equality to pay for equal work between men and women which certainly is a part of the principle which we are considering
President Roosevelt the American Chief Executive in one of his annual reports about the state of the Nation to the Congress once pointed out The chief law makers in our country may be and often are the Judges because they are the final seat of authority
Every time they interpret contract property vested rights due process of law liberty they necessarily enact into law part of a system of social philosophy and as such interpre tation is fundamental they give direction to all law mak ing
The decisions of the Courts on economic and social questions depend upon their economic and social philosophy and for the peaceful progress of our people during the twentieth century we shall owe most of those Judges to hold to a twentieth century economic and social philosophy and not to a long overgrown philosophy which was itself a product of primitive economic conditions
 We would like to point out that the philosophy of this Court as evolved in the cases we have referred to above is not that of the Court but is ingrained in the Constitution as one of the basic aspects and if there was any doubt on this there is no room for that after the Preamble has been amended and the Forty Second Amendment has declared the Republic to be a socialistic one
The judgments therefore do nothing more than highlight one aspect of the constitu tional philosophy and make an attempt to give the philosophy a reality of flesh and blood
Jawaharlal Nehru the first Prime Minister of this Republic while dreaming of elevating the lot of the common man of this country once stated Our final aim can only be a classless society with equal economic justice and opportunity to all a society organised on a planned basis for the raising of mankind to higher material and cultural level
Everything that comes in the way will have to be removed gently if possible forcibly if 555 necessary and there seems to be little doubt that coercion wilt often be necessary
 These were his prophetic words about three decades back
More than a quarter of century has run out since he left us but there has yet been no percolation in adequate dose of the benefits the constitutional philosophy stands for to the lower strata of society
Tolstoy wrote The abolition of slavery has gone on for a long time
Rome abolished slavery
America abolished it and we did but only the words were abolished not the thing
 Perhaps what Tolstoy wrote about abolition of slavery in a large sense applies to what we have done to the constitutional etches
It has still remained on paper and is contained in the book
The benefits have not yet reached the common man
What Swami Vivekananda wrote in a different context may perhaps help a quicker implementation of the goal to bring about the overdue changes for transforming India in a positive way and in fulfilling the dreams of the Constitution fathers
These were the words of the Swami It is imperative that all this various yogas should be carried out in practice
Mere theories about them wilt not do any good
First we have to hear about them then we have to think about them
We have to reason the thoughts out impress them on our minds and meditate on them realise them until at last they become our whole life
No longer will religion remain a bundle of ideas or theories or an intellectual assent it will enter into our very self
By means of intellectual assent we may today subscribe to many foolish things and change our minds altogether tomorrow
But true religion never changes
Religion is realisation not talk nor doctrine nor theories however beautiful they may be
It is being and becoming not hearing or acknowledg ing
It is the whole soul s becoming changed into what it believes
That is religion
 The relevant constitutional philosophy should be the substitute for religion and it must be allowed to become a part of every man in this country then only would the Constitution reach every one and he or she would be nearer the goals set by it
That perhaps can happen in every field
556 The precedents referred to above have therefore obliged the State of Karnataka respondent before us to regularise the services of the casual employees who are in these cases called daily rated and monthly rated employees and the State of Karnataka is obliged to make them the same payment as regular employees are getting
Mr Hegde appear ing for the State has however pointed out that while on principle it is difficult to play a different tune in reality and as a matter of state craft implementation thereof forthwith is an economic impossibility
He has therefore placed the scheme drawn up by the State for our consideration and has pleaded for balancing the philosophy and the economic constraints of the State for the purpose of resolution of the dispute
We have already pointed out that there are about 50000 employees covered by the classifications who await regulari sation
On 3rd of April 1986 the question of regularisa tion of services of persons working on daily wages in the local bodies under the administrative control of the Urban Wing of the Housing and Urban Development Department came for consideration on the basis of the report of the Commit tee set up on 2611
In the meantime this Court s order dated 17th of January 1986 in a group of writ peti tions laying down the principle of equal pay for equal work had been pronounced
Keeping that in view the State Govern ment on 341986 made the following order Having regard to the recommendations of the Com mittee and after duly taking into account the observation made by the Supreme Court in the case referred to above Government of Karnataka hereby direct that all the employees working on daily wage basis or NMR basis in the local bodies which come under the administrative control of Urban Wing of Housing and Urban Development Department be granted the same pay and allowances as are allowed to regular employees of the respective cadres with effect from 111986 subject to the following conditions 1
No financial assistance shall be available from Government
The additional resources on this account should be raised by the local bodies concerned and 557 3
The local bodies should freeze the recruitment for the next 4 to 5 years or alternatively study the work load and prune the expenditure accordingly
On 2nd of July 1986 a set of rules known as the Karna taka State Civil Services Special Recruitment of the Candi date Rules 1986 came into force
We have been told that ambit of the present dispute before us is in no manner affected by the said decision of the Government nor the Rules that have been referred to above
We do not propose to examine the correctness of this statement while dealing with the scheme of the State Government
The scheme furnished by the State contemplates that all casual daily rated employees appointed on or before 27
1974 shall be treated as monthly rated establishment employ ees on a fixed pay of Rs780 per month without any allowance from 11
They would be eligible for an annual incre ment at the rate of Rs 10 till their services are regula rised
On regularisation they shall be adjusted at the basic payscale applicable to the lowest Group D cadre but would be entitled to all other benefits available to regular employ ees of their class
From amongst the casual and daily rated employees who have completed ten years of service as on 31121989 18600 would be immediately regularised on seniority cum suitability basis with effect from 11 1990
The State Government shall also regularise the serv ices of the remaining casual or daily rated workers who have already completed ten years of service as on 31121989 but could not be included in the limit of 18600 in a phased manner on the basis of seniority cumsuitability on or before 31st of December 1990
The remaining casual or daily rated employees will be absorbed andor regularised in a phased manner on seniority cum suitability basis on or before 31st of December 1997
This revised scheme filed by Mr Hegde for the State has however not been accepted by Mr Bhandare and other counsel appearing on the side of the petitioners in these petitions though on certain aspects there is unanimity
Mr Bhandare in his note by way of response to the scheme of Mr Hegde has emphasised upon the need of regularising all the employees who have completed ten years of service with effect from 11 1990
He has further claimed that all the casual and daily rated workmen who have completed five years of service as on 3112
1989 should be put on monthly rated pay and the balance of casual or daily rated workmen who are not covered by the above two classes should be continued in that capacity and put on the monthly 558 rated establishments as and when they complete five years of service and be regularised on completion of ten years of service from the initial employment as daily rated workmen
It has been contended that a lot of these casual and daily rated workmen have been retrenched in violation of this Court s interim order dated 2571983 and there should be a direction for their reinstatement with the benefit of no break in service
It has been further maintained that some of these employees belong to higher classifications like Groups B and C and therefore they should be given the benefit of the corresponding scales of pay on regularisa tion
One of the further claims in the written note of Mr Bhandare is that when the daily rated workmen are absorbed into monthly rated employment they should be entitled to the minimum basic wage in the corresponding scale of the group of the permanent employees
The response points out that the casual and daily rated workmen to be covered by the scheme should include casual employees and NMR employees progressive farmers gram sahai and anganwadi workers
There is claim for weightage for past service namely for every unit of five years exceeding ten years of service on the date of regularisation an additional increment should be admissible and added to the basic salary and the advantages of the scheme extended to all the employees under the State prior to formation of the Zila Parishads in the Karnataka State and transfer of some of them to the Zila Parishads and Mandal Panchayats
Finally it has been contended that no one who is in employment on casual or daily rated basis on the date of our judgment should be retrenched
We can well realise the anxiety of the petitioners who have waited too long to share the equal benefits mandated by Part IV of the Constitution in respect of their employment
At the same time we cannot overlook the contraints arising out of or connected with availability of State resources
Keeping both in view and reposing our trust in the relevant instrumentalities of the State that may be connected with the implementation of the scheme to act with a sense of fairness anxiety to meet the demands of the human require ments and also anxious to fulfil the constitutional obliga tions of the State the directions which we give below will give a final shape to the scheme thus 1
The casualdaily rated  employees appointed on or before 171984 shall be treated as monthly rated establishment employees at the fixed pay of Rs780 per month without any allowances with effect from 11
They would be enti tled to 559 an annual increment of Rs 15 till their services are regu larised
On regularisation they shall be put in the minimum of the time scale of pay applicable to the lowest Group D cadre under the Government but would be entitled to all other benefits available to regular government servants of the corresponding grade
Those belonging to the B or C Groups upon regularisa tion shall similarly be placed at the minimum of the time scale of pay applicable to their respective groups under government service and shall be entitled to all other benefits available to regular government servants of these grades
From amongst the casual and daily rated employees who have completed ten years of service by 31121989 18600 shall immediately be regularised with effect from 11
1990 on the basis of seniority cum suitability
There shall be no examination but physical infirmity shall mainly be the test of suitability
The remaining monthly rated employees covered by the paragraph 1 who have completed ten years of service as on 3 ist December 1989 shall be regularised before 31st Decem ber 1990 in a phased manner on the basis of seniority cum suitability suitability being understood in the same way as above
The balance of casual or daily rated employees who become entitled to absorption on the basis of completing ten years of service shall be absorbedregularised in a phased manner on the same principle as above on or before December 31 1997
At the point of regularisation credit shall be given for every unit of five years of service in excess of ten years and one additional increment in the time scale of pay shall be allowed by way of weightage
There was a direction that the claims on other heads would be considered at the time of final disposal
We have come to the conclusion that apart from these reliefs no other would be admissible
We are alive to the position that the scheme which we have finalised is not the ideal one but as we have already stated it is the obligation of the Court to individualise justice to suit a given situation 560 in a set of facts that are placed before it
Under the scheme of the Constitution the purse remains in the hands of the Executive
The Legislature of the State controls the Consolidated Fund out of which the expenditure to be in curred in giving effect to the scheme will have to be met
The flow into the Consolidated Fund depends upon the policy of taxation depending perhaps on the capacity of the payer
Therefore unduly burdening the State for implementing the constitutional obligation forthwith would create problems which the State may not be able to stand
We have there fore made our directions with judicious
restraint with the hope and trust that both parties would appreciate and under stand the situation
The instrumentality of the State must realise that it is charged with a big trust
The money that flows into the Consolidated Fund and constitutes the re sources of the State comes from the people and the welfare expenditure that is meted out goes from the same Fund back to the people
May be that in every situation the same tax payer is not the beneficiary
That is an incident of taxa tion and a necessary concomitant of living within a welfare society
Since this is not an adversarial litigation we make no order as to costs
RNJ Petitions allowed


Summary:
Article 371 D brought into the Constitution by Thirty second Amendment Act 1973 with effect from July 1 1974 empowered the President in respect of the State of Andhra Pradesh by an Order 1 to require the State Government to organise any class or classes of posts in a civil service of or any class or classes of civil posts under the State into different local cadres for different parts of the State and allot the persons holding such posts to the local cadres and 2 to specify any part or parts of the State which shall be regarded as the local area for direct re cruitment to posts in any local cadre
In exercise of the power so conferred the President issued the Andhra Pradesh Public Employment Organisation of Local Cadres and Regulation of Direct Recruitment Order 1975 on October 18 1975
Para 31 of the Order empowered the State Government to organise the local cadre within a period of twelve months
The term local cadre  was defined in para 21e to mean any local cadre of posts under the State Government organised in pursuance of para 3 or con stituted otherwise for any part of the State
The proviso added to para 31 subsequently and published through GO Ms No 34 dated January 24 1981 empowered the President notwithstanding the expiration of the period of twelve months to require the State Government whenever he consid ered it expedient so to do to organise local cadres for different parts of the State
Para 37 permitted the State Government to organise or to continue more than one cadre in respect of any category of posts in any department for any part of the State
Para 4 provided mode of allotment of employees to local cadres
Para 562 51 declared that each part of the State for which a local cadre has been organised in respect of any category of posts shall be a separate unit for purposes of recruitment appointment discharge seniority promotion and transfer
In the table in the schedule thereto the State was divided into seven zones and zone V consisted of the revenue dis tricts of Adilabad Karimnagar Warangal and Khammam
In structions were issued for implementation of the Presiden tial Order through GOMs
No 728 dated November 1 1975 in organising the local cadres
In pursuance of para 31 of the Order the State Govern ment in Commercial Taxes Department issued order GOMs
No 581 dated May 24 1976 organising zones and the Warangal Zone consisted of revenue districts of Adilabad Karimnagar Warangal and Khammam which was co terminus with zone V of the Presidential Order
The Junior Assistant in each revenue district in Warangal zone was a separate district post but for the purpose of promotion to the post of Senior Assist ants and Assistant Commercial Taxes Officers which were zonal posts common seniority of the Junior Assistants and Senior Assistants working in all the four revenue districts was being maintained and promotion made in accordance with the rules
Subsequently however the State Government created separate divisions within the zones in the Commercial Taxes Department through GOMs
No 1900 dated December 22 1981 carving out Adilabad and Karimnagar as Adilabad Division and Warangal and Khammam as Warangal Division
Options were called for and the employees allotted in GOMs
No 1648 dated November 22 1982 to the respective divisions
Agrieved by the said order respondent Nos 4 and 5 filed a petition before the State Administrative Tribunal contend ing that for promotion from Senior Assistant to Assistant Commercial Taxes Officer zonal seniority of Warangal local area comprising of Warangal Khammam Karimnagar and Adila bad was the criteria that the Adilabad division consisting of Adilabad and Karimnagar districts of Commercial Taxes Department could not be treated to be a zone and that the divisional seniority prepared by the department was bad in law
The Tribunal held that the zonal seniority was the criteria for purposes of promotion and allowed the peti tion
The State Government in exercise of its power under cl
5 of article 371 D annulled that order
Thereupon respondent Nos 4 and 5 filed a writ petition under article 32 of the Constitution wherein this Court 563 declared cl
5 of article 371 D as ultra vires
Left with no alternative the State filed special leave petition against the original order of the Tribunal which was dismissed
Subsequently the appellants beneficiaries of GOMs No 1648 of 1982 filed representative petition before the Tribunal which was dismissed
In the appeal by special leave it was contended for them that the State Government continues to have its inherent power to organise local cadres to meet the exigencies of administrative needs as there was no prohibition in that regard in the Order and that the phrase or constituted otherwise  engrafted in the definition of local cadre  in para 21e read with para 37 gave ample power to the State Government to create a zone within the Warangal zone for the purpose of recruitment seniority and promotion in the Commercial Taxes Department
Dismissing the appeal the Court HELD 1
The action taken by the State Government in issuing GOMs
No 1648 dated November 20 1982 was illegal and invalid contravening the proviso to para 31 and para 4 of the Presidential Order
573C 21 Once the State Government had organised the Commer cial Taxes Department by constituting different local cadres and Warangal zone comprising of the four revenue districts namely Adilabad Karimnagar Khammam and Warangal was declared as local area for local cadres of the Department through GOMs
No 581 dated May 24 1976 in exercise of the powers under para 31 it ceased to have any power to bifurcate or reorganise a zone within a zone cadre or cadres therein
572E G 22 In exercise of the power under the proviso to para 31 it is for the President and President alone notwith standing the expiry of the period of twelve months pre scribed in para 31 by an order require the State Govern ment whenever he considers it expedient so to do to have the power under para 31 exercised
Therefore the State Gov ernment shall have to place necessary material before the President the President shall consider that it is expedient to organise any class or classes of posts in the civil services of and class or classes of civil posts under the State into a further local cadre within the local cadre in the zone already prescribed and to pass an order in that regard requiring the State Government to so organise it
572G 573A 564 23 However for the purpose of efficient administration or convenience the State Government may create divisiondivisions within the local area or local cadre
But for the purpose of recruitment seniority promotion dis charge etc
the local cadre once organised under para 31 shall be final and continue to be operative until action is taken under the proviso to para 31 of the Order
In the instant case no order of the President as provided under the proviso was made
573A B 3
The Presidential Order was made pursuant to the power given under article 371 D which is a special provision made under the Constitution Thirtysecond Amendment Act 1973 peculiar to the State of Andhra Pradesh
Therefore the State Government had no inherent power in creating a zone or organising local cadres within the zones except in accord ance with the provisions of the said Order
573D 4
The phrase or constituted otherwise  defined in para 21e is only related to the power given by the President to the State Government to organise local cadre
Para 31 is the source of that power
The said phrase is therefore to be understood in the context and purpose which article 371 D and the President Order seek to achieve
The State Govern ment cannot create local cadres at its will
573E 575A Kochuni vs States of Madras  Kerala  and Lilavati Bai vs The State of Bombay  at 735 distinguished
The power given to the State Government in para 37 of the Order is only to organise a separate cadre in respect of any category of posts in any department when more than one cadre in respect of such category exists in each depart ment
So the State Government may organise one cadre when more than one cadre in respect of different categories of posts exist in a zone under para 31 of the Order
For instance while creating local cadre co terminus with the administrative control of the Dy
Commissioner Commercial Taxes local cadre for Senior Assistants may be created
It is also made manifest in Instruction No 7 and 9e of the instructions contained in GOMs
No 728 dated November 1 1975
But it is only for the purpose of administrative convenience not for the purpose of recruitment seniority or promotion etc as the case may be
575C E Thus the creation of a division and maintaining sepa rate seniority of Junior Assistants and Senior Assistants in the Commercial Taxes Department for adilabad and Warangal Divisions were illegal contrary 565 to order issued in GOMs
No 581 and the Presidential Order
575F