EOBI pension requires 15 years of contributions: FCC

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'Pension cannot be granted on sympathy without meeting statutory requirements'

The Federal Constitutional Court (FCC) has approved the appeal filed by the Employees’ Old-Age Benefits Institution (EOBI), ruling that a person must fulfil the legal requirements to qualify for a pension, adding that 15 years of contributions are mandatory under the law for a pension.

In its 12-page written judgment, authored by Chief Justice Aminuddin Khan, the court set aside orders directing EOBI to pay a pension to Javed Iqbal Bhatti, whose insured employment was less than six years.

A person who does not meet the statutory requirements cannot be declared entitled to a pension on grounds of sympathy or fairness, it said.

The FCC also held that a pension dispute cannot be brought within the jurisdiction of the Federal Ombudsman simply by terming the matter as maladministration. An order issued without jurisdiction cannot become lawful merely because it is endorsed by the president or a court, the judgment said.

The judgment stated that the rejection of a pension application, by itself, does not amount to maladministration. It added that giving reasons is not a mere formality, but requires the legal basis for a decision to be clearly stated.

Bhatti had approached the Federal Ombudsman after EOBI refused to grant him a pension. The ombudsman directed EOBI to pay the pension.

The president and the Islamabad High Court (IHC) upheld the ombudsman’s decision. EOBI then challenged those orders before the Federal Constitutional Court.

The FCC has now set aside the orders of the Islamabad High Court (IHC), the Federal Ombudsman and the president, and accepted EOBI’s appeal.

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