Since this new definition disadvantaged most permanent residents in Telangana, parleys soon began between leaders of different political parties in both Andhra and Telangana. A scheme known as the Six Point Formula, presented by K.C. Pant (Government of India Minister of State for Home Affairs) to the Congress members of Parliament belonging to both the regions, gained their approval in September 1973.119 It outlined a strategy for development, a method of recruitment, and a policy for admissions to educational institutions in different regions of the state. It also proposed a machinery for redress of grievances among government employees
A Presidential order in June 1974 defined local candidates and local areas in Andhra Pradesh for purposes of admission to educational institutions. This divided the state into three local areas 120 and specified that eightyfive percent of the “available seats” in every course of study in government institutions or universities were to be reserved for local candidates from the area in which the institution was situated. Parliament enacted the University of Hyderabad Act in early 1974.
Under it, admissions to the different faculties of the university would be open to all but in view of its location in the capital, local students would have preferential treatment. Master’s degree level courses in about a dozen science subjects were started during 1975-76. By another Presidential order the administrative tribunal envisaged under the Six Point Formula was constituted in May 1975 to deal with grievances with respect to government appointments, seniority, promotion and other allied matters.
Considering such a tribunal unconstitutional and in violation of fundamental rights, some of the employees appealed to the Supreme Court, which has granted a stay. The President issued still another order in October 1975 providing for organisation of local cadres and regulation of direct recruitment to public employment. The order establishes that each part of the state for which a local cadre has been organised with respect of any category of posts is a separate unit for purposes of recruitment, appointment, discharge, seniority, promotion and transfer, and other such matters. The state is divided into seven zones, two in Telangana, one covering the four Rayalaseema districts and three dividing the remaining eight districts. Posts belonging to each of the fifty specified gazetted categories in each department and zone are organised into separate cadres. Each zone is regarded as a local area for direct recruitment to any non-gazetted category of services above that of lower division clerk.
Also included were the categories of district administrative officers (tahsildars) and junior engineers. The districts are local areas for direct recruitment to posts in any local cadre under the state government, and posts in any department in the district equivalent to or lower than the category of lower division clerk.
Of local cadre posts to be filled by direct recruitment at any time, 80% of lower division clerks, 70% of other non-gazetted categories and 60% of tahsildars and junior engineers are reserved for local candidates; 60% of the posts of civil assistant surgeons under the state government to be filled by direct recruitment at any time are also reserved for local candidates
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