In a writ petition concerning the centralised provident fund scheme for staff at deficit-aided schools and colleges in Meghalaya, the petitioners are seeking a centralised approach to provident funds for employees hired before April 2010, mirroring the structure in place for those hired thereafter
SHILLONG, Nov 5: The High Court of Meghalaya has directed the state government and the State Bank of India (SBI) to finalise a Memorandum of Understanding (MoU) by November 30 to address the provident fund provisions for employees who joined service prior to April 1, 2010. Following the MoU’s finalisation, the government is required to notify an appropriate scheme in its official gazette by December 15.
The directive follows a writ petition concerning the centralised provident fund scheme for staff at deficit-aided schools and colleges in Meghalaya. The petitioners are seeking a centralised approach to provident funds for employees hired before April 2010, mirroring the structure in place for those hired thereafter.
During the hearing, the Court reviewed a letter from the Education department, dated October 23, 2024, outlining plans for a centralised provident account with SBI for pre-2010 employees. Previously, on September 30, the government had instructed schools and colleges under the deficit grant-in-aid scheme to transfer the accumulated funds in their current contributory provident fund to this centralised account, formally known as “The Meghalaya Non-Government School and College Central Serial Pension and Provident Fund.”
The Court noted that while the state government had signed an MoU with SBI on October 22, 2024, to implement a new pension scheme for employees who joined on or after April 1, 2010, there was no mention of a similar scheme for those hired before that date. The petitioners argued that the government should ensure a similar transfer and application of accumulated funds for pre-2010 employees under terms equivalent to those covering post-2010 employees.
Assistant Advocate General K Khan stated that the government did not oppose the extension of a similar scheme to pre-2010 employees but highlighted that the petitioners could have been more specific in their requests.
In light of the submissions, the Court has mandated the finalisation of the MoU by November 30 and a formal notification of the scheme by December 15 for pre-2010 employees. The new pension scheme for post-2010 employees will proceed as planned, and the Court has scheduled the petition for December 17, 2024, to receive an action taken report.
