MP High Court: Salary Alone Won't Bar Reservation for 'Creamy Layer'

In a significant ruling, the Madhya Pradesh High Court Gwalior Bench has declared that reservation benefits cannot be denied to an applicant from the Other Backward Classes (OBC) solely by treating their parent's salary income as the 'creamy layer' ceiling. This directive came on September 29, 2026, in the case of Ragini Rathore, whose OBC certificate application was previously rejected based purely on her father's gross salary exceeding the prescribed limit. This decision isn't just about one case; it reinforces a broader judicial stance, building on the Supreme Court's March 11, 2026, judgment in Union of India & Others v. Rohith Nathan & Others, which clarified that creamy layer status cannot be determined by income alone. The 'creamy layer' concept aims to exclude socially and economically advanced individuals from reservation benefits within backward classes, ensuring quotas reach the truly disadvantaged. While the current income limit for the creamy layer is Rs 8 lakh per annum, the courts are consistently emphasizing that other factors, like parental employment status and post category, must also be considered, not just a raw salary figure. The MP High Court has now sent Ragini Rathore's case back to the Sub-Divisional Officer (Revenue) for a fresh look, directing authorities to consider the father's service status, date of promotion, and other relevant government circulars and judicial precedents. This ruling, coupled with earlier judgments like Smt. Sunita Yadav v. State of Madhya Pradesh in April 2026, signals a consistent push by the judiciary for a more holistic, status-based approach to creamy layer determination, potentially impacting numerous OBC applicants and prompting the government to bring more uniform rules for reservation benefits across various employment sectors.