·The Hindu·15 marks·250–350 words

Examine the administrative and constitutional challenges in ensuring 'equivalence of posts' across government, PSUs, and private sector for OBC reservation purposes.

In this answer
  1. Administrative challenges
  2. Constitutional challenges

The creamy layer test under Indra Sawhney (1992) rests primarily on the social status of the parent's post, operationalised through the DoPT Office Memorandum of 1993 and its six exclusion categories [4]. Mapping that status architecture onto PSUs, banks and private employment — "equivalence of posts" — remains both administratively unsettled and constitutionally contested.

Administrative challenges

  • Structural dissimilarity: PSUs, public sector banks and insurance bodies use executive grades and management scales, not Group A–D classification; equivalence had to be separately notified, treating Junior Management Grade Scale-I and above as Group 'A' [1].
  • Chronic delay: the equivalence question remained unresolved for nearly 24 years until the Union Cabinet approved norms in 2017, leaving wards of lower-category PSU staff in prolonged uncertainty [1].
  • No grade architecture in the private sector: with no comparable post hierarchy, administrations fall back on a salary proxy, which the Supreme Court found an inadequate substitute for status [2].
  • Coordination and verification gaps: certificate-issuing state authorities, employers and the nodal DoPT apply differing readings, compounded by the clarificatory letter of 14 October 2004 [2].
  • Income-computation disputes: the Standing Committee on Welfare of OBCs sought a higher ceiling and exclusion of salary and agricultural income from its calculation [3].

Constitutional challenges

  • Article 14: treating wards of similarly graded PSU and government employees differently is impermissible classification, held the Court in Union of India v. Rohith Nathan (2026) [2].
  • Article 16(4) fidelity: an executive circular cannot dilute the status-based scheme mandated by Indra Sawhney and embodied in the 1993 OM [2].
  • Separation of powers: executive difficulty in implementing a judicial mandate risks converting a settled constitutional standard into an administrative variable [2].

Equivalence is therefore less a clerical exercise than the hinge on which substantive equality for OBCs turns. A single, periodically revised equivalence schedule covering all employment sectors, notified by DoPT with clear verification protocols, would align administrative practice with the constitutional promise of Articles 14 and 16(4).

Sources

  1. 1Cabinet approves equivalence of posts in Central PSUs, Banks, Insurance Institutions with posts in Government, PIB24-year pendency; JMGS-I and above equated to Group 'A'; income test for lower categories
  2. 2*Union of India & Ors. v. Rohith Nathan & Ors.*, 2026 INSC 230 (Supreme Court, 11 March 2026)2004 letter cannot override the 1993 OM; salary not the sole criterion; Article 14 and private-sector employment
  3. 3Rationalisation of Creamy Layer in Employment for OBCs — Standing Committee on Welfare of OBCs, PRS Legislative Researchrecommendation to raise the ceiling and exclude salary and agricultural income
  4. 4Policy of Reservation to SCs, STs and OBCs, Department of Personnel & Training1993 Office Memorandum and status-based creamy layer exclusion categories

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