Rajasthan High Court, in Chairman and Managing Director, Bharat Sanchar Nigam Limited & Ors. vs. Ram Niwas Sharma & Ors. (D.B. Civil Writ Petition No.13662/2024), ruled that an employer cannot restrict an employee’s pay to a mere subsistence allowance during suspension if no formal departmental proceedings justify such a decision. The court observed that the employee in question was suspended pending a corruption investigation but was later acquitted. In the absence of any departmental inquiry confirming that the suspension was warranted, the court held that reducing the employee’s pay to a subsistence allowance amounted to unwarranted punishment.
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