The Delhi High Court has dismissed petitions by the Executive Pilots Association and All India Aircraft Engineers Association challenging the reduction in allowances of Air India employees. Justice V Kameswar Rao said that no case for discrimination was made out in the case and "rather there is a justifiable ground in reducing the allowances in the manner they have done for the pilots and engineers".
The judge stated that it was for the central government and Air India to determine what ought to be the appropriate reduction in allowances after taking into account all the relevant considerations and as long as the reduction is not palpably arbitrary, the scope of judicial review is very limited.
In its order passed on February 7, the court took into account the respondent's stand that the aviation industry was the worst-hit industry during the COVID-19 pandemic and that Air India accumulated losses of about Rs 50,000 crores while suffering a cash deficit of Rs 250 crores a month.
The court said senior advocates appearing in the matter have not disputed the power of the respondents to rationalise the allowances.
"If that be so, there can also be no dispute that situation as was existing, required the respondents to take this drastic decision. The situation justified the rationalisation measures," the court stated in its order.
"It is for the respondents themselves to decide by taking into account relevant considerations to determine what ought to be the appropriate reduction in allowances. As long as the reduction is not palpably arbitrary, the scope of judicial review is very limited," it added.
The court observed that reduction in allowance had no impact on the concerned employees' basic pay, HRA, and DA and other categories of employees who faced similar reductions did not approach the court.
08/02/22 PTI/Economic Times
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