The Supreme Court held that long-serving casual labourers granted temporary status under the 1991 Scheme are entitled to pension on superannuation even without a formal regularisation order. Pension, the Court reiterated, is a deferred wage, not employer grace. The Patna High Court was reversed and the CAT's orders restored.
On 2 May 1990, a five-judge Constitution Bench distilled the law of seniority into eleven propositions — holding that seniority counts from the date of appointment according to rule, not confirmation, and that continuous officiation till regularisation counts towards seniority.
On 10 April 2006, a five-judge Constitution Bench led by Sabharwal CJ and authored by Balasubramanyan J held that public employment must follow Article 16 — competitive, advertised, merit-based recruitment to sanctioned posts — and that temporary, casual, daily-wage, ad hoc or contractual appointees made outside that scheme acquire no fundamental right to regularisation however long they may have served. The judgment drew a sharp doctrinal line between 'irregular' and 'illegal' appointments, granted a one-time, fixed-date paragraph-53 exception for irregular appointees who had completed ten years of service on sanctioned posts as of 10 April 2006, and overruled *Dharwad PWD*, *Daily Rated Casual Labour v. Union of India* and *Ashwani Kumar v. State of Bihar*. The decision remains the gravitational centre of Indian regularisation jurisprudence two decades on.