Overview
- The Supreme Court bench of Justices Manoj Misra and Prasanna B Varale dismissed Kerala and KSRTC appeals Friday, leaving intact a High Court order against split rates.
- The case began with a 2021 order that raised dearness allowance for KSRTC staff by 14% but lifted dearness relief for pensioners by 11%.
- The court said inflation hits serving and retired workers equally, so different hikes for DA and DR lack a rational link to the goal and violate Article 14.
- It rejected Kerala’s claim of financial strain as a valid reason for unequal increases once the state chooses to raise inflation-linked benefits.
- The ruling could drive DA–DR parity wherever both track the same index, and it helps retirees keep pensions in step with prices.