New Delhi: The Supreme Court of India on Wednesday ruled that the “creamy layer” status among Other Backward Classes (OBC) cannot be determined solely on the basis of parental income. The court also observed that treating children of employees working in private companies and Public Sector Undertakings (PSUs) differently from those of government employees while assessing reservation eligibility amounts to discrimination.
A bench comprising Justices P. S. Narasimha and R. Mahadevan delivered the ruling while upholding the decisions of the Madras High Court, Kerala High Court and Delhi High Court. These courts had earlier examined cases related to candidates seeking OBC (Non-Creamy Layer) status for the Civil Services Examination.
The matter involved candidates who claimed they had been incorrectly placed in the creamy layer category because their parents were employed in PSUs, banks or private sector organisations. Several High Court judgments had ruled in favour of such candidates, stating that the criteria used to classify them were inconsistent.
Writing the judgment for the bench, Justice Mahadevan noted that employees performing similar roles should not face different standards merely because they work in the private sector or PSUs instead of government service. Applying separate rules for their children, he observed, would amount to hostile discrimination.
The Supreme Court subsequently dismissed the Centre’s appeals challenging the High Court decisions.
The case revolved around the guidelines outlined in the September 8, 1993 Office Memorandum issued by the Union government to identify the creamy layer within OBCs. The policy was later clarified through an additional communication dated October 14, 2004.
Legal experts say the ruling could have significant implications for how creamy layer criteria are interpreted in the future, particularly in competitive examinations and recruitment processes where OBC (Non-Creamy Layer) status is a key eligibility requirem
