Navigating Pay Increments After Suspension: When Will Mr. Kaushal's Salary Increase Next?

Background of Mr. Kaushal's Employment

Mr. Kaushal joined the bank service on 23-04-2014 with a basic pay of 13,075/-. Therefore, his anniversary date for the annual increment is 1st April every year. On 27-05-2016, he was suspended. At the time of suspension, his basic pay was 14,545/-.

Reinstatement and Pay Reduction

He was reinstated in service on 10/11/2017 with a directive stating "Reduction of basic pay by two stages in the time scale of pay for two years" and "with a further direction that the suspension period will not be treated as a period on duty and no pay and allowances/increments will be paid except the subsistence allowance already paid for the period spent under suspension." After reinstatement, Mr. Kaushal's basic pay was reduced to 13,075/-.

Request for Assistance

Therefore, kindly inform/assist me in determining what would be the next increment date and basic pay of Mr. Kaushal. Mr. Kaushal was on a 13,075/- basic pay as of 10/11/2017.

Bank Clerk Pay Scale

The pay scale of the bank clerk is as follows: Rs. 11,765-655/3-13,730-815/3-16,175-980/4-20,095-1,145/7-28,110-2,120/1-30,230-1,310/1-31,540.

Double Jeopardy in Employee Punishment

Your concern about the next increment of the individual pales into insignificance as his case is that of double jeopardy. He stands punished twice for the same misconduct. The question here is not whether the punishment of reduction in two stages of his time scale of pay is excessive, but that the disciplinary authority treated the period of suspension also as punishment. On the contrary, the suspension period pending inquiry should have been regularized, and he should have been paid the entire salary minus the amount of subsistence allowance already received in view of the final punishment of reduction in pay by two stages. Thus, it amounts to double punishment, which is illegal. The employee can prefer an appeal if there is such a provision or go to the Labor Court by raising a dispute under section 2(k) of the ID Act through his trade union if he is a workman or to a Civil Court.

He was reduced to the basic pay of Rs. 13,075 w.e.f. 10.11.17. But before suspension, he had served one month and 4 days. So on reinstatement, he has to serve the remaining period of approximately 11 months. From 1st October 2018, he would be entitled to the next increment, fixing his basic pay at Rs. 13,730. Thereafter, his increment would be regulated w.e.f. 1st October every year.

As regards the point of double punishment pointed out by Umakanthan Sir, the applicable rules in certain organizations have a provision for the disciplinary authority to decide whether any payment other than the subsistence allowance already paid is allowed for the suspension period. Banks, as I understand, have this rule.

If more clarity is needed on the matter, please enclose the rules regarding the drawal of increment.