Mumbai: The Bombay High Court has directed the Brihanmumbai Electric Supply and Transport (BEST) to utilize funds from a recent loan and grant to clear the long-pending retirement dues of 127 former employees. The court took serious note of the delay, emphasizing that retirement benefits are a fundamental right and not a discretionary payment.

“These superannuated employees have been waiting for their dues for six to nine years. They are in deep crisis and awaiting disbursement of money that is undisputed and indisputable,” the court stated on March 6, according to a Hindustan Times report.

The petition was filed by former BEST employees who have not received their retirement benefits since 2016. Given the prolonged delay, the court had previously directed BEST on May 9, 2024, to pay the pending dues in instalments.

BEST Seeks MCGM's Help

BEST, citing financial difficulties, had requested assistance from the Municipal Corporation of Greater Mumbai (MCGM), stating that it operates at a loss and depends on subsidies. Acknowledging these financial struggles, the court observed, “BEST can never be a profitable entity, as transportation must be subsidized to keep fares affordable for citizens.”

The transport undertaking informed the court that Rs 1,031 crore is required to clear the remaining 70 per cent of the dues and argued that MCGM should provide financial assistance. However, MCGM’s legal counsel maintained that the civic body is not legally bound to continue funding BEST.

In January 2025, the court ordered BEST to pay the second instalment of 35 per cent by February 28. It also urged MCGM to show a humane approach and assist BEST in disbursing the payments.

BEST Sought More Time To Pay Dues

On March 6, BEST’s counsel sought more time for the payment and informed the court that it had secured a Rs 100 crore loan from a financial institution. The counsel also stated that BEST had sought a Rs 2,922 crore grant from MCGM but received only Rs 1,000 crore.

In response, the court extended the deadline and directed BEST to allocate Rs 100 crore from the recent loan by March 25, 2025, and another Rs 100 crore from the MCGM grant by April 15, 2025. Additionally, the court ordered BEST to set aside Rs 400 crore from the grant for future retirement benefit payments.