Supreme Court Issues Key Clarification on OBC Creamy Layer Rules

The Supreme Court has clarified that appointments, promotions, seniority benefits and admissions to educational institutions made across the country in the past under the OBC creamy layer criteria will remain protected. The new guidelines on the OBC creamy layer need not be applied retrospectively to these decisions, the court said. However, it clarified that petitions related to the OBC creamy layer that are already pending before various courts can continue to be heard, and decisions may be taken on their merits. A bench comprising Justices Narasimha and Mahadevan issued these directions on Friday.

The Supreme Court had earlier heard petitions seeking changes in the criteria used to determine the OBC creamy layer in recruitment and promotions under reservation. The petitions argued that authorities should not consider only the income of the candidate and their parents, but should also take into account the position and employment category of the candidate’s parents in government or private organisations. On March 11 this year, the court delivered a judgment in favour of the petitioners and directed the government to frame new rules for determining the creamy layer. The Centre subsequently filed a clarification petition, stating that applying the judgment to appointments, promotions and admissions that had already taken place could lead to serious consequences. During Friday’s hearing, the Centre also requested two years to frame the new guidelines, citing the need to determine equivalent positions across different levels of government and private-sector employment.