New Delhi, April 12: Aluminium public sector unit (PSU) Nalco has moved the Supreme Court, challenging Orissa High Court’s order that asked it to absorb more than 6,500 school staff, from two Nalco-run schools at Angul and Damanjodi, and provide them with benefits enjoyed by its employees.

A bench comprising Justice H.K. Sema and Justice L.S. Panta deferred the hearing, asking employees to file a rejoinder.

Solicitor General G.E Vahanwati said the high court directions will have a wider repercussion and may force all PSUs such as NTPC and Mahanadi Coalfields, to take over the teaching and non-teaching staff of all the schools set up by them.

On its part, Nalco has stressed that they had only extended financial assistance and that the school employees were never recruited by it.

Nalco also added that the staff were appointed and managed by Chinmaya Vidyalaya at the beginning and later by Shikshya Vikash Samiti under the Saraswati Vidya Mandir employees recruitment and service rules.

“The government is also providing grant-in-aid to various schools and colleges and also controls the creation and functioning of the governing body but that does not mean that these aided schools and colleges become government schools and colleges,” Vahanwati added.

However, senior counsels K.K. Venugopal and Mukul Rohtagi, who appeared for the employees, stressed that the staff should be absorbed by the PSU, as their “appointments” were “made” by Nalco. “The entire expenses incurred for running the schools are borne by Nalco and no transaction can be made without the approval of Nalco’s DGM (finance),” they added.

The two schools at Angul and Damanjodi were set-up to provide a better education to the children of the PSU employees.

About 107 teaching and non-teaching staff of Saraswati Vidya Mandir at Angul and Damanjodi, set up in 1984, run by trusts had approached the high court asking to be absorbed as Nalco employees.