Public sector banks will not be under obligation to provide reservation to those from the Scheduled Castes and Scheduled Tribes in matters of promotions to senior level posts. The Supreme Court on Friday set aside its own decision passed a year ago by which SC/ST reservation was allowed in promotion in senior posts of public sector banks.
Allowing a review petition filed by Chairman and Managing Director of Central Bank of India challenging the January 9, 2015 decision of SC, a two-judge bench of Justices AK Sikri and J Chelameswar on Friday modified the previous order.
It inserted a new paragraph which said, “Result of the aforesaid discussion would be to allow these appeals and set aside the judgment of the High Court. While doing so, we reiterate that it is for the State to take stock of the ground realities and take a decision as to whether it is necessary to make a provision for reservation in promotions from Scale I to Scale II and upward, and if so, up to which post.”
The controversy surrounded over an office memorandum (OM) dated August 13, 1997. SC/ST Employees’ Welfare Association of Central Bank had succeeded before the Madras High Court which held the OM to provide for reservation to SC/ST in promotions. In its review plea, the bank said that there is no rule of reservation for promotion in Class-A (Class-I) to the post/scales having basic salary of more than Rs5,700 per month and OM dated August 13, 1997 at best provides only a “concession” for officers belonging to SC/ST category to be considered for promotion.
Agreeing with this submission, the bench allowed the review plea. While parting with the case, the Court asked States and Banks to consider reservation to SC/STs in promotions given the statistics showing their negligible presence in senior posts.