Overview
- A single-judge order of April 8 directed Punjab to pay pending Dearness Allowance (DA) instalments worth about 46–58% and related pension arrears, and the state challenged that order in a Letters Patent Appeal.
- On Thursday the Division Bench refused to put the April 8 order on hold and asked the Punjab government to file a detailed payment plan showing immediate payments and timelines for the balance before the next hearing on May 25.
- State lawyers told the court full compliance now would create a liability of roughly Rs 14,000 crore and said the government has set up a committee to assess finances and possible phased payments.
- Opposition parties seized on the court’s refusal to stay the order, accusing the Bhagwant Mann government of delaying dues and diverting funds to publicity and political activities in their criticism.
- If Punjab presents a reasonable staged payment proposal the court said it may reconsider relief tied to a previously quashed liquidation plan, and the outcome will determine whether thousands of employees and pensioners receive arrears by the June 30 target.