VRS benefits can’t be claimed as matter of right: Apex Court

No employee, as a matter of right, can seek the benefits of voluntary retirement scheme (VRS) and the decision-taking power lies only with the employer firm, the Supreme Court has held. ‘A voluntary retirement scheme introduced by a company, does not entitle an employee as a matter of right to the benefits of the scheme,’ a bench headed by Chief Justice Altamas Kabir said. The bench, said it was ‘well settled’ that only the employer can decide VRS pleas of employees. ‘Whether an employee should be allowed to retire in terms of the scheme is a decision which can only be taken by the employer company, except in cases where the scheme itself provides for retirement to take effect when the notice period comes to an end,’ it said.