High Court Allows Petition in Service Law Case, Quashing Termination and Directing Regular Pay Scale for Health Workers. Termination based on revised merit list without notice violates natural justice, and employees completing five years of service are entitled to regular pay scale as per government resolutions under Article 226 of Constitution of India.

High Court: Gujarat High Court Bench: AHEMDABAD
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Case Note & Summary

The dispute involved petitioners who were appointed as Multi Purpose Health Workers (M) in 2012 based on an initial merit list following an advertisement by the Gujarat Panchayat Service Selection Board. In 2013, a revised merit list was published due to corrected answer keys, and the petitioners did not secure cut-off marks in this list. Despite this, they continued working without break for over five years. In 2018, respondent No.2 proposed to terminate their services based on the revised merit list and denied them regular pay scale benefits as per government resolutions dated 2006 and 2017, which entitled employees to regular pay scales after five years of service. The petitioners filed a petition under Article 226 of the Constitution of India, seeking declarations against termination and for regular pay scale, along with interim relief. The core legal issues were whether the proposed termination and denial of regular pay scale were justified. The petitioners argued that termination without notice violated natural justice and Article 14, and that services cannot be terminated solely on revision of a merit list absent fraud, citing precedents. They also contended entitlement to regular pay scale after five years of service. Respondents argued that termination was justified due to the revised merit list and that appointments were ad-hoc, thus no benefits were due. The court analyzed that no fraud or malpractice was alleged against the petitioners, and termination without notice was a clear violation of natural justice, making it arbitrary. Relying on Division Bench precedents, including Bharwani Jitendra, which was confirmed by the Supreme Court, the court held that services cannot be terminated solely on revision of a merit list without fraud. Additionally, the court found that petitioners, having completed over five years of service and with similarly situated persons receiving regular pay scales, were entitled to such benefits as per government resolutions. The court quashed the proposed termination and directed respondents to grant regular pay scale to the petitioners, allowing the petition with costs.

Headnote

A) Service Law - Termination - Natural Justice Violation - Constitution of India, 1950, Article 14 - Petitioners' services proposed to be terminated based on revised merit list without issuing any notice - Court found termination manifestly in violation of principles of natural justice and arbitrary, requiring it to be quashed and set aside - Held that termination without notice is unjustified (Paras 9-10).

B) Service Law - Revised Merit List - Fraud Absence - Not mentioned - Petitioners appointed based on initial merit list, revised list published later due to corrected answer keys - Respondents admitted no fraud or malpractice by petitioners - Court relied on precedent where services cannot be terminated solely on revision of merit list absent fraud - Held that termination on this ground not permissible (Paras 9-10).

C) Service Law - Regular Pay Scale - Entitlement After Five Years - Government Resolutions dated 16/02/2006 and 18/01/2017 - Petitioners completed more than five years of service without break, requested regular pay scale - Other similarly situated persons granted regular pay scale - Court directed respondents to grant benefit of regular pay scale as per government resolutions - Held that petitioners entitled to regular pay scale (Paras 3-4, 8).

Issue of Consideration: Whether the proposed termination of service and non-granting of regular pay scale to the petitioners by respondent No.2 is justified or not?

Final Decision

Court allowed the petition, quashed the proposed termination, directed respondents not to terminate petitioners' services, and directed grant of regular pay scale to petitioners with costs

2026 LawText (GUJ) (01) 556

R/Special Civil Application No. 8261 of 2018

2026-01-20

Maulik J. Shelat J.

2026:GUJHC:4826

Mr Gunvant R Thakar, Ms Bhargavi G Thakar, Ms Forum Shah, Mr Vijay H Nangesh

Nandishkumar Sureshbhai Patel & Ors.

State of Gujarat & Anr.

Nature of Litigation: Petition under Article 226 of Constitution of India challenging proposed termination and denial of regular pay scale

Remedy Sought

Petitioners seeking declarations against termination, for regular pay scale, and interim relief

Filing Reason

Respondent No.2 proposed to terminate petitioners' services based on revised merit list and denied regular pay scale benefits

Issues

Whether the proposed termination of service and non-granting of regular pay scale to the petitioners by respondent No.2 is justified or not?

Submissions/Arguments

Petitioners argued termination without notice violates natural justice and Article 14, services cannot be terminated solely on revision of merit list absent fraud, entitled to regular pay scale after five years Respondents argued termination justified due to revised merit list, appointments were ad-hoc thus no benefits due

Ratio Decidendi

Termination based on revised merit list without notice violates natural justice and is arbitrary under Article 14; services cannot be terminated solely on revision of merit list absent fraud; employees completing five years of service are entitled to regular pay scale as per government resolutions

Judgment Excerpts

“Whether the proposed termination of service and non-granting of regular pay scale to the petitioners by respondent No.2 is justified or not ?” “the impugned action of respondent No.2 whereby it proposes to terminate the services of the petitioners without issuing any notice to them is manifestly in violation of the principles of natural justice”

Procedural History

Petition filed under Article 226 of Constitution of India; heard with consent of advocates; matter taken up for hearing

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