The STC Ex-employees Welfare Association has approached the Delhi High Court asking it to direct the public sector company under the Ministry of Commerce and Industry to withdraw its recent order suspending the medical scheme for its retired employees. The Association termed the order “illegally’”.

“The Association wants that the STC should be directed to withdraw its order of March 15, 2018, through which it has illegally suspended the medical scheme for its retired employees as also all the orders over the years that have diluted the medical scheme of 1981 that was part of the service conditions, applicable during the service as well as upon retirement,” an official release circulated by the Association stated.

The Delhi High Court, through its order dated April 10, 2018, asked STC to give a “‘speaking response” to the petitioner (STC Ex-employees Welfare Association) within four weeks and intimate its fate to the petitioner in the following week, so that the petitioner can get remedy against the impugned circulars as available in law.

Mala fide intentions

The Association statement alleged that “STC’s mala fide intentions” became visible first in 2005 when it tried to replace the 1981 medical scheme (which entitled them to rank-wise reimbursement on out-patient expenses as well as 100 per cent in the case of hospitalisation by a substantially inferior medical insurance scheme). It had to withdraw it because as it was challenged in the court by the employees, the release said.

Subsequently, in 2010, 2013 and 2017, STC “illegally and unilaterally’’ imposed ceilings on in-patient treatment, it added.

“It must also be mentioned that Union of India (through the Ministry of Commerce) is watching the gross injustice being done to vulnerable and senior citizens because of the wrong-doings of a public sector company as a spectator,” it said.

Giving instances of what it called STC’s mala fide intentions, the statement points out that the company first attempted replacement of the medical scheme, and subsequently, imposed arbitrary ceilings on financial grounds at a time when it was making huge profits and paying dividends regularly, employing new people and giving attractive perquisites to its senior employees.

“Besides, it treated its existing employees differently in gross violation of Article 14 of the Constitution which mandates equality. In addition, STC wilfully did not implement a board decision of 2012 which sought to restore 100 per cent reimbursements as per STC’s commitment,” it said.

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