Madras High Court
WP(MD)/30521/2026 of A.Mohanasundaravadivel Vs Tamil Nadu State Transport C on 27 October 2026
BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT
DATED: 27-10-2026
CORAM
THE HON'BLE MR JUSTICE B.PUGALENDHI
WP(MD) No. 30521 of 2026
CNR:{HCMD011513872026}
A.Mohanasundaravadivel,
No. 263. Thattankulam Road,
Pudhunagar Palani,
Dindigul District-624 601
..Petitioner
Vs
1. Tamil Nadu State Transport Corporation Ltd, Rep. by its Managing Director, Coimbatore Division, No. 37. Mettupalayam Road, Coimbatore-641043.
2. The General Manager
Tamil Nadu State Transport Corporation Ltd, Thiruppur Region, Kankeyam Road, Thiruppur District-641 601
3. The Administrator
Tamil Nadu State Transport Corporation
Employees Pension Fund Trust,
Thiruvalluvar Illam,
Pallavan Salai,
Chennai-600 002
..Respondents
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PRAYER: S-38. Writ Petition filed under Article 226 of the Constitution of India, praying this Court to issue a Writ of Mandamus, directing the respondents to settle the Terminal Benefits amount payable to the petitioner such as difference in Gratuity, Leave salary and Pension amount in terms of 12(3) Settlement dated 29.05.2025 and all other attendant benefits together with interest at the rate of 12 percent per annum from 01.06.2025 to till the date of payment and pass such further or other orders as this Honble Court may deem fit and proper in the circumstances of the case and thus render justice.
For Petitioner
:Mr.A.K.Thangavelu
For R1
:Mr.M.Mahaboob Athiff
Special Government Pleader
For R2
:Mr.K.Ramaiah
Standing Counsel
For R3
:Mr.S.C.Herold Singh
Standing Counsel
O R D E R
The petitioner was appointed as Driver in the respondent Corporation on 10.05.1996 and retired from service as Special Grade
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Driver on 31.05.2025. The 15th tripartite wage settlement under Section 12(3) of the Industrial Disputes Act was entered into between the Management and Trade Unions on 29.05.2025. As per Clause 1 of the terms of settlement, the Management has agreed to revise the wages of the employees who were in service as on 01.09.2023 by revising the pay by 6% of the earlier wages, with effect from 01.09.2023 notionally and monetary benefits with effect from 01.09.2024.
2. Admittedly, the petitioner was in service as on 01.09.2023 and therefore, the petitioner made a representation to the respondent seeking the benefits due to him as per the 15th wage settlement. Alleging inaction, he has filed this writ petition seeking a mandamus to the respondents to revise his wages, based on the 15th wage settlement dated 29.05.2025 and to pay the benefits with interest.
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3. Mr.M.Mahaboob Athiff, learned Special Government Pleader takes notice for the first respondent. Mr.K.Ramaiah, learned Standing Counsel takes notice for the second respondent. Mr.S.C.Herold Singh, learned Standing counsel takes notice for the third respondent and submits that as per Clause 37(b) of the settlement u/s.12(3) of the ID Act dated 29.05.2025, the Management is expected to revise the scale of pay from 01.09.2023 and to calculate the arrears of amount with effect from 01.09.2024, which is payable in four quarterly instalments. According to him, they would calculate the same and if there is any due, it would be paid to the petitioner within a reasonable time.
4. This court has considered the rival submissions made and perused the materials placed on record.
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5. The 15th wage settlement under Section 12(3) of the Industrial Disputes Act was entered into between the Management and the Unions on 29.05.2025. As per Clause 1 of the terms of the settlement, the Management has agreed to revise the wages of the employees, who were in service as on 01.09.2023, by revising the pay by 6% of the earlier wages. Therefore, the monetary benefits would be paid with effect from 01.09.2024 and the arrears if any, would be settled in four quarterly instalments.
6. Clause 37(b) of the settlement dated 29.05.2025 reads as under:- M) ,e;j xg;ge;jj;jpd; K:ykhd gzg;gad; epYitj; bjhif “
01/09/2024 Kjy ; fzf;fplg;gl;L ehd;F (4) jtizfshf fhyhz;LnjhWk; tH';fg;gLk;.”
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7. The petitioner was in service as a permanent employee of the Transport Corporation as on 01.09.2023 and therefore, he is entitled for the benefits as per this 15th wage settlement. The petitioner retired from service on 31.05.2025. The 15th wage settlement provides revision of scale of pay by 6% on the basic pay, for those who were in service as on 01.09.2023, however monetary benefits with effect from 01.09.2024. Therefore, the petitioner is entitled for the benefits, pursuant to the revision of scale of pay from 01.09.2024.
8. Admittedly, such a revision has not been made till date. Any belated settlement of monetary benefits due to an employee needs to be settled with interest at the rate of 6% per annum. Therefore, this writ petition stands allowed with a direction to the respondent Transport Corporation to revise the pay scale of the petitioner with effect from 01.09.2023 and provide the benefits
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with effect from 01.09.2024, as per the 15th wage settlement dated 29.05.2025 to the petitioner within a period of six months from the date of receipt of a copy of this order, with interest @ 6% per annum. The interest shall be calculated for the period beyond Clause 37(b) of the settlement dated 29.05.2025 till the date of actual payment. There shall be no order as to costs. 27-10-2026 Index: Yes/No Speaking/Non-speaking order Neutral Citation: Yes/No VRN
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To
1. Tamil Nadu State Transport Corporation Ltd, Rep. by its Managing Director, Coimbatore Division, No. 37. Mettupalayam Road, Coimbatore-641043.
2. The General Manager Tamil Nadu State Transport Corporation Ltd, Thiruppur Region, Kankeyam Road, Thiruppur District-641 601
3. The Administrator Tamil Nadu State Transport Corporation Employees Pension Fund Trust, Thiruvalluvar Illam, Pallavan Salai, Chennai-600 002
B.PUGALENDHI, J. vrn Order made in WP(MD) No. 30521 of 2026 27.10.2026
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