Headnotes
A Madhya Pradesh government policy and circulars prescribed payment of only 70%, 80% and 90% of the minimum pay scale to Class III and IV employees during their first, second and third years of a three-year probation period, respectively, while Class I and II officers continued to receive full pay during their own probation. The Madhya Pradesh High Court struck down the reduced-pay scheme, holding it created an unreasonable classification between officer-grade and lower-grade probationary employees in violation of Articles 14 and 16 of the Constitution, and that where full work is taken from an employee, there is no justification for paying less than the full salary attached to the post — a reduction of that kind can only follow proven misconduct as a punitive measure, which was not the case here. The Court directed that affected employees be paid 100% of the minimum pay scale for the probation period, with any amount already recovered to be refunded.
Key Takeaways
- Paying probationary employees a reduced percentage of the full pay scale, graded by seniority class (here, only Class III/IV, not Class I/II), can amount to an unreasonable and unconstitutional classification under Articles 14 and 16 where both groups perform full work.
- A reduction below the prescribed pay scale is treated as inherently punitive — it can only be imposed after proven misconduct, not as a routine feature of a probation policy.
- Where such a scheme is struck down, courts will typically order both prospective correction (full pay going forward) and retrospective relief (refund of amounts already withheld), rather than leaving affected employees without a remedy for past underpayment.
Full Judgment Text
The Madhya Pradesh High Court has struck down a state government scheme that paid Class III and IV employees only a graded percentage of the full pay scale during their probation period, calling it discriminatory and unconstitutional.
FACTS:
Under state government rules and circulars, Class III and IV employees received only 70%, 80% and 90% of the minimum pay scale during the first, second and third years respectively of a three-year probation period, while Class I and II officers received full pay throughout their own probation.
COURT'S ANALYSIS:
The Division Bench of Acting Chief Justice Vivek Rusia and Justice Pradeep Mittal held that the scheme created an unreasonable classification between officer-grade and lower-grade probationary employees, in violation of Articles 14 and 16 of the Constitution. The Court held that where full work is taken from an employee, there is no justification for paying less than the full salary attached to the post, and that a salary reduction below the prescribed scale can only follow proven misconduct as a punitive measure — which was not the case for employees simply serving out a standard probation period.
HOLDING:
The Madhya Pradesh High Court struck down the reduced-pay probation scheme, directed that affected employees be paid 100% of the minimum pay scale for their probation period, and ordered that any amount already recovered under the scheme be refunded.
Source: LiveLaw, "'Harsh Condition': MP High Court Strikes Down 70%-80%-90% Pay Scheme For Class III, IV Employees During Probation," September 8, 2026.
FACTS:
Under state government rules and circulars, Class III and IV employees received only 70%, 80% and 90% of the minimum pay scale during the first, second and third years respectively of a three-year probation period, while Class I and II officers received full pay throughout their own probation.
COURT'S ANALYSIS:
The Division Bench of Acting Chief Justice Vivek Rusia and Justice Pradeep Mittal held that the scheme created an unreasonable classification between officer-grade and lower-grade probationary employees, in violation of Articles 14 and 16 of the Constitution. The Court held that where full work is taken from an employee, there is no justification for paying less than the full salary attached to the post, and that a salary reduction below the prescribed scale can only follow proven misconduct as a punitive measure — which was not the case for employees simply serving out a standard probation period.
HOLDING:
The Madhya Pradesh High Court struck down the reduced-pay probation scheme, directed that affected employees be paid 100% of the minimum pay scale for their probation period, and ordered that any amount already recovered under the scheme be refunded.
Source: LiveLaw, "'Harsh Condition': MP High Court Strikes Down 70%-80%-90% Pay Scheme For Class III, IV Employees During Probation," September 8, 2026.