Court rules for workers pension eligibility after 14.5 years service. The Federal Constitutional Court on Friday upheld workers’ right to a monthly pension. Ruling that employees with at least fourteen and a half years of service qualify under the rounding off provision of the Employees’ Old-Age Benefits Act, 1976. Court ruled that the law allows service periods of six months or more to count as a full year. When determining eligibility. The court found that EOBI wrongly denied pensions to five workers by strictly applying the fifteen year requirement and ignoring the statutory schedule.
The court held that the rounding off rule forms a substantive part of the pension framework. And exists to prevent technical disqualification due to marginal shortfalls in service. It ruled that EOBI’s 2022 circular, which attempted to exclude rounding off. This could not override the law or take away vested rights. A three judge bench dismissed five appeals filed by the Employees’ Old-Age Benefits Institution. Against earlier Lahore High Court decisions that granted pensions to workers with slightly less than fifteen years of insurable employment.
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The judgment stated that public institutions must act fairly and consistently. Especially in social welfare matters, and cannot withdraw benefits through executive circulars once legal rights have accrued. In a landmark decision, the court has ruled that workers become eligible for pension after completing 14.5 years of service. This bringing relief to thousands of employees across various sectors.
The verdict came after a case was filed by employees who argued that they should receive retirement benefits even if their service was slightly below the previously assumed 15-year threshold. The court recognized the rights of workers who have dedicated over 14 years of service, stating that partial years should be counted toward pension eligibility. Officials have advised workers to review their service records and contact relevant departments to claim their rightful pension benefits.