VRS Can Be Withdrawn Before Effective Date: Chhattisgarh High Court

Pradeep Singh

December 5, 2025

Chhattisgarh HC Says VRS Can Be Withdrawn Before Effective Date, But Bars Benefits If Post-Retirement Job Taken

The Chhattisgarh High Court has ruled that an employee can withdraw his Voluntary Retirement Scheme (VRS) request any time before it becomes effective. However, if the employee has already taken up a post-retirement job, he cannot claim any service-related benefits later.

The case involved a Chief Station Master posted at Dagori Railway Station. He applied for VRS on 17 February 2016 and later asked that it be considered only after the implementation of 7th Pay Commission benefits. Before his retirement date, he applied to withdraw the VRS on 12 May 2016, and the request reached the railway administration on 16 May 2016. But on the same day, the authorities accepted his original VRS request and treated him as retired immediately.

His appeal was rejected, and later the Central Administrative Tribunal also dismissed his plea. As a result, he approached the Chhattisgarh High Court.

The employee argued that under Rule 67(4) of the Railway Services (Pension) Rules, 1993, he could withdraw his VRS notice any time before it became effective on 17 May 2016. He also relied on a Supreme Court ruling that supports withdrawal before the effective date.

The Union of India opposed the plea, stating that his VRS had already been accepted on 16 May 2016. They also pointed out that after retirement, he worked as an ATVM facilitator at Bhatapara Railway Station — a role strictly reserved for retired railway staff. Therefore, by accepting that engagement, he had already treated himself as retired.

The Court agreed that the employee’s withdrawal request had reached the authorities a day before the VRS became effective and held that the rejection of his withdrawal was illegal. So, the court set aside the order that denied withdrawal of VRS.

However, the bench also noted that since the employee willingly accepted a post-retirement assignment, he could not later claim any service benefits like back wages. His engagement as an ATVM facilitator established that he saw himself as retired.

In conclusion, while the employee’s right to withdraw VRS before the effective date was upheld, the court denied him any consequential benefits. The writ petition was disposed of on these terms.