It’s unfair to stop an employee from withdrawing their VRS application once it has been accepted: Court

In a major relief for government employees, the Rajasthan High Court has ruled that it is unfair to stop an employee from withdrawing their voluntary retirement (VRS) application once it has been accepted — especially if the retirement has not yet taken effect. The Court said that such a ban is unreasonable and violates Article 14 of the Indian Constitution, which guarantees equality before the law.

What Was the Issue?

The case involved a government employee who applied for voluntary retirement after facing a personal tragedy — the sudden death of his son. However, soon after his application was accepted and communicated to him, he changed his mind and submitted a withdrawal request. Unfortunately, the State government rejected it outright, saying that the rules didn’t allow withdrawal once the VRS application was accepted.

This led the employee to challenge Rule 50(4) of the Rajasthan Civil Services (Pension) Rules, which states that once a VRS request is accepted and communicated, it cannot be taken back. He argued that this rule was arbitrary and ignored the emotional and mental condition under which such decisions are sometimes made.

What the Court Observed

A Division Bench of Chief Justice Manindra Mohan Shrivastava and Justice Munnuri Laxman heard the case and carefully examined the legal provisions.

They explained that Rule 50(1) of the Pension Rules already provides a three-month window between the acceptance of a VRS application and the date it becomes effective. This gap is meant to give both the government and the employee time to reflect and prepare.

However, the proviso to Rule 50(4) contradicts this purpose by denying employees the option to withdraw their request even before the actual retirement date. The Court said this makes the rule unfair and “manifestly arbitrary.”

The judges said that unless there is a strong reason such as administrative inconvenience or public interest, an employee should be allowed to take back their VRS application before the effective date. Simply denying it because the request was “accepted and communicated” is not enough.

Why the Rule Was Considered Arbitrary

The Court found that the rule failed to mention any principle or guideline based on which withdrawal requests could be considered. This lack of a clear standard made it unfair.

They also said that while administrative convenience is important, it cannot override an employee’s personal crisis or mental health at the time of applying for retirement.

In the employee’s case, the Court noted that the death of his young son caused extreme emotional distress, which influenced his decision. He later realized the impact of his action and tried to correct it by withdrawing the application.

What the Court Decided

The Rajasthan High Court said that:

• Employees should be allowed to withdraw their VRS application as long as the effective retirement date has not arrived.
• Any withdrawal request should be considered fairly, with reasons given if it is rejected.
• The part of the rule (proviso to Rule 50(4)) that puts a blanket ban on withdrawal of VRS is arbitrary and violates constitutional rights.
• Therefore, the rule must be “read down”, meaning it needs to be interpreted in a limited way so it remains within the bounds of the Constitution.

The Court set aside the State government’s rejection of the withdrawal request and sent the matter back for reconsideration. Now, the State must review the application fairly and provide proper reasons if it decides to reject it again.

• Download Court Order