Supreme Court: No Legal Mandate for State Pensions, Governments Have a Choice. Decision Arises from Andhra Pradesh’s One-Pension Policy, Criticized for Exceptions.
The Supreme Court of India has said that state governments are not required by law to give pensions to elderly people. They stressed that providing such assistance is a choice for the government. This ruling came after someone questioned the policy of the Andhra Pradesh government, which limits pension benefits to one person in a family, except for families with disabled members.
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The bench, led by Chief Justice D Y Chandrachud, underscored the importance of considering the financial capabilities of state governments, which are already stretched thin by various social welfare initiatives.
“Ultimately, we have to take into account the paying capacity of the state governments, who incur expenditure on so many social welfare schemes. These are purely policy decisions. The governments are not bound to give old-age pensions,”
remarked CJI Chandrachud
The controversy arose from a specific policy implemented by the Andhra Pradesh government, which, on December 21 of the previous year, decided to provide old-age pensions only to a single individual within a family. This policy was met with criticism, especially since it made an exception for an additional pension if another family member was disabled. The policy aimed to manage the distribution of limited resources more effectively, ensuring that support reached those most in need without overburdening the state’s finances.
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In addition to addressing the petition, the state government took a step further by increasing the pension amount for various groups, including the elderly, widows, toddy tappers, weavers, single women, fishermen, ART (PLHIV) persons, traditional cobblers, disabled individuals, transgender people, and Dappu artists. Starting from January 1 of this year, these beneficiaries are now entitled to a monthly pension of ₹3,000, a move that reflects the government’s commitment to supporting its vulnerable citizens despite the court’s ruling on the non-mandatory nature of old-age pensions.
The Supreme Court’s decision says that getting old-age pensions isn’t a legal right. It puts the responsibility on governments to decide based on their money situation and priorities. This not only affects future pensions but also sets a way of thinking for welfare programs across the country, showing the challenge of balancing social responsibility with financial viability.
