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3. The case of the respondents 2 to 9 before the Tribunal was that they were selected for appointment to the post of Traffic Apprentices to be observed as Station Masters in the pay scale of Rs.455-700 and on completion of the training, they were absorbed as Station Master Grade III in the pay scale of Rs.1400-2300. On implementation of the recommendations of IV Central Pay Commission, the pay scale of Rs.425-640 and 455-700 got merged into one scale of pay of Rs.1400-2300. However, the recommendation of IV Pay Commission was implemented only in November, 1986 with retrospective effect from 1.1.1986.

4. Subsequent to the implementation of the recommendations of IV Pay Commission, the Railway Board vide its Memorandum, dated 15.5.1987 revised the pay scale of Traffic Apprentice with effect from 15.5.1987 while maintaining the revised pay scale of Rs.1400-2300 to those Traffic Apprentices who were selected before 15.5.1987.

5. The discriminatory treatment of two pay scales granted to Traffic Apprentices was subject matter of challenge before the Tribunal and the Tribunal granted the relief to the applicants therein for grant of higher pay scale of Rs.1600-2660 in OA Nos.322 of 1988 and 488 of 1987. However the order of the Tribunal was set aside by the Hon'ble Supreme Court of India, declaring that the grant of scale of pay of Rs.1400-2300 to the Traffic Apprentices appointed before 15.5.1987 was correct. After the order of the Hon'ble Supreme Court, the applicants were restored to the original position in the matter of fitment of their pay scale. However, the applicants have been representing the authorities concerned for re-fixation of their seniority properly on the basis of merger of pay scales which had taken effect on implementation of IV Pay Commission, namely, pay scale of Rs.425-640 and Rs.455-700 into one pay scale of Rs.1400-2300.

"9. All the applicants were selected through the Railway Recruitment Board to the post of Traffic Apprentice to be absorbed as Station Masters in the scale of Rs.455-700 and they all joined prior to 15.05.1987, the date on which orders were issued implementing the Pay Commission recommendations merging the pay scales of Rs.455-700 and 425-640 into one common scale of Rs.1400-2300, though that merger was to take effect from 01.01.1986. The Railway Board Memo dated 15.5.1987 had also dealt with the case of those who were under training on the date of notification of IV Pay Commission and it has been ordered that they should be charged against the post for which they were selected and their seniority should be interpolated with the grade they were selected. Thus it becomes clear that all the applicants who were under training prior to 15.5.1987 were to be absorbed in the scale of Rs.455-700 only. Since this scale was not in existence at the time of their absorption in the post of Station Masters it would necessarily imply that the applicants ought to have been notionally fixed in the pay scale of Rs.455-700 and thereafter fitted into the new scale of Rs.1400-2300. This is the only option possible since there is no direct recruitment envisaged in the scale of pay of Rs.1400-2300 since for those Traffic Apprentice appointed after 15.5.1987 the scale of Rs.1600-2660 was applicable. It is also to be borne in mind that the merger of scale of Rs.425-640 with the scale of Rs.455-700 into common scale of Rs.1400-2300 is a fortuitous occurrence consequent to the implementation of the IV Pay Commission recommendation. The direct recruits, recruited through Railway Recruitment Board, for the specific absorption in the scale of Rs.455-700 can only be placed immediately below those who were already holding regular position in the scale of Rs.455-700 and above those employees who were in the pay scale of Rs.425-640 as on 15.5.1987. This is exactly the position which has been communicated by the Chief Personnel Officer, Southern Railway, in the communication dated 12.6.2014 dealing with the representation of T.Sathiaraj who is one of the applicants in this OA.