Punjab Power sector JAC oppose PSPCL’s stand in high court challenging release of DA

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Punjab Power sector JAC oppose PSPCL’s stand in high court challenging release of DA

Kanwar Inder Singh/ royalpatiala.in News/ May 4,2026

The Power Sector Joint Action Committee (PS-JAC)  strongly opposes the stand taken  by Punjab State Power Corporation Limited (PSPCL) in challenging the orders of the  High Court regarding the release of Dearness Allowance arrears to its employees and pensioners.

Ajay Pal Singh Atwal, Secretary Joint Action Committee of Power Sector Employees, Engineers, and Pensioners said that the PSPCL, in the appeal filed against the release of DA  order, claimed that it  was not a government department. It was an independent commercial entity that operated under the regulatory oversight of the Punjab State Electricity Regulatory Commission (PSERC). The service conditions of the employees including pay, allowances and DA, are governed by the PSPCL’s own corporate regulations

PSPCL has sought to deny legitimate DA/ DR arrears by citing regulatory constraints under the  PSERC framework. JAC firmly   maintains that DA/ DR is a statutory entitlement on  Government pattern, and cannot be selectively withheld under the pretext of arbitrary financial or regulatory limitations.

Employees and pensioners of PSPCL have consistently been extended benefits in line with the state government, and any deviation at this stage is arbitrary and discriminatory.

On one hand, the management has projected PSPCL  as having a profit of 7800 crores, while on the other hand citing financial constraints to deny lawful dues to its employees and pensioners. Such inconsistent positions raise serious questions about the credibility of its claims.

It must also be noted that in  the same case  submitted that Dearness Allowance would be provided in line with the Punjab Government. The present stance, therefore, represents a clear and unjustified deviation from its own earlier submissions .

Punjab Power sector JAC oppose PSPCL’s stand in high court challenging release of DA 
PSPCL and PSTCL

PSPCL’s attempt to distinguish between sources of revenue and regulatory regimes to deny DA reflects an administrative stance that undermines employee morale and violates principles of equity and natural justice.

A retired PSPCL official said that as per  transfer scheme and tripartite agreement the Pay and allowances cannot be altered as per  clause 6(5) of transfer scheme and clause 3 of tripartite agreement along with section 133 of of Electricity Act 2003.

The PSJAC urges PSPCL management to immediately withdraw its plea and implement the  High Court’s directions in letter and spirit. Prolonging litigation on such matters only erodes trust and creates avoidable confrontation within the organization.