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Setback to HP State Cooperative Bank employees: HC refuses to intervene in promotion rules

Shimla, Apr 27 (UNI) In a major setback to the Himachal Pradesh State Cooperative Bank employees, the High Court has refused to interfere with the revised promotion rules.
A division bench of Justice Tarlok Singh Chauhan and Justice Sushil Kukreja held that the state government has the prerogative to amend service qualifications, eligibility criteria, and other related conditions from time to time based on administrative requirements.
The court observed that no employee has a vested right to insist that the rules governing their service terms should remain unchanged throughout their career. It further clarified that promotion is not a fundamental right, and the entitlement to promotion must align with the prevailing rules unless such provisions are found to be unconstitutional, arbitrary, or illegal.
The petition challenged the revised notification issued by the bank on January 21, 2025, seeking its cancellation and a stay on its application to the serving employees for promotions.
The petitioner argued that the amendment, approved by the Registrar Cooperative Societies, Himachal Pradesh on October 21, 2024, altered key provisions of the Himachal Pradesh State Cooperative Bank Employees (Terms of Employment and Working Conditions) Rules, 1979, thereby prejudicing the promotion prospects of existing employees.
The court, however, rejected the contention, emphasising that employees not yet part of the cadre cannot claim any vested right based on earlier policies. It cited the Supreme Court’s rulings affirming that the state is empowered to amend service rules, UNI ML SSP
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