Article 322

Article 322 of the Constitution of India provides for the financial autonomy of the Union Public Service Commission (UPSC) and the State Public Service Commissions (SPSCs) by ensuring that all their expenses are charged on the Consolidated Fund of the Union or the respective States. This constitutional arrangement guarantees that these vital institutions function independently of executive control, thereby upholding their neutrality, impartiality, and integrity in public service recruitment.

Constitutional Context and Objective

The Public Service Commissions, established under Article 315, are independent constitutional bodies entrusted with the responsibility of conducting examinations and advising the government on matters relating to recruitment, promotions, and disciplinary actions in public services.
To protect their institutional independence, the Constitution envisages not only security of tenure for their members (Articles 316–317) but also financial independence through Article 322. This ensures that their functioning is free from political or administrative pressures that could arise from financial dependence on the executive.

Text of Article 322

“The expenses of the Union or a State Public Service Commission, including any salaries, allowances, and pensions payable to or in respect of the members or staff of the Commission, shall be charged on the Consolidated Fund of India or, as the case may be, the Consolidated Fund of the State.”

Key Provisions and Scope

1. Applicability to Both Union and State Commissions

Article 322 applies equally to:

• The Union Public Service Commission (UPSC), and
• Each State Public Service Commission (SPSC).

This ensures that both levels of the Commission—national and regional—enjoy similar financial protections.

2. Source of Funding

The Consolidated Fund serves as the primary financial resource for the functioning of the Public Service Commissions:

• For the UPSC, all expenses are charged to the Consolidated Fund of India.
• For each SPSC, all expenses are charged to the Consolidated Fund of the respective State.

The Consolidated Fund represents the government’s main account, comprising revenues received, loans raised, and repayments made.
Charging PSC expenditures to this fund implies that no legislative vote is required for their disbursal, ensuring automatic and uninterrupted financial flow.

3. Coverage of Expenses

Article 322 explicitly includes the following expenditures:

• Salaries of the Chairman and members of the Commissions;
• Allowances and pensions payable to the members and staff;
• Administrative and operational costs, including recruitment processes, examinations, and infrastructure;
• Remuneration for other officials and employees of the Commission.

This comprehensive financial coverage guarantees the institutional stability and operational efficiency of the Commissions.

Significance of Financial Independence

Financial autonomy under Article 322 is a critical constitutional safeguard. It ensures:

1. Institutional Independence: The Commissions are insulated from financial control or interference by the executive, enabling them to function freely and objectively.
2. Administrative Efficiency: Guaranteed funding allows timely conduct of examinations, recruitment, and advisory functions without bureaucratic delays.
3. Public Confidence: Financial security reinforces the credibility of the Commissions as impartial recruiting authorities.
4. Parity with Other Constitutional Bodies: Similar provisions exist for the financial independence of other constitutional institutions such as the Comptroller and Auditor-General (Article 148), Election Commission (Article 324), and Judiciary (Articles 112 and 202).

Thus, Article 322 places the PSCs among the most autonomous constitutional bodies of India.

Judicial Interpretation and Key Case Laws

The judiciary has consistently underscored the importance of the financial autonomy of Public Service Commissions as enshrined in Article 322.

• State of U.P. v. Rajendra Singh (2009): The Supreme Court emphasised that adequate financial resources are essential for the effective functioning of Public Service Commissions. The Court observed that the independence of PSCs cannot be maintained if their financial autonomy is compromised.
• Union of India v. S. K. Sharma (1990): The Court highlighted that the protection provided under Article 322 is an integral aspect of institutional independence, preventing the executive from exercising financial control over recruitment processes.

These judgments reaffirm that financial independence is a constitutional prerequisite for ensuring that PSCs function impartially and effectively in the larger public interest.

Administrative and Legislative Framework

1. Public Service Commissions (Conditions of Service) Regulations, 1958: These regulations, framed under Articles 316–318, govern the service conditions, salaries, and allowances of Commission members and staff, consistent with Article 322.
2. State Regulations: Each State has the authority to frame similar rules for its own Commission, aligning with the principles of financial independence under Article 322.
3. Budgetary Mechanism: While PSC expenditures are charged on the Consolidated Fund and not subject to legislative vote, the accounts of the Commissions are subject to audit by the Comptroller and Auditor-General (CAG) to ensure accountability and transparency in fund utilisation.

Comparison with Other Constitutional Authorities

Article 322’s financial protections are consistent with similar provisions for other independent constitutional institutions:

This uniform approach underscores the Constitution’s intent to safeguard the autonomy of critical democratic institutions.

Challenges and Practical Issues

Despite constitutional protection, some challenges persist:

• Budgetary Delays: Administrative bottlenecks occasionally delay fund disbursal to PSCs, affecting recruitment schedules.
• Resource Constraints: Certain State Commissions face inadequate budgetary allocations for infrastructure, technology, and staff training.
• Accountability and Oversight: While PSCs enjoy financial independence, there is a growing demand for greater transparency in expenditure management to prevent inefficiency or misuse of funds.

To address these issues, reforms have been proposed to enhance financial planning, digital accountability, and performance auditing of PSC operations.

Contemporary Relevance

In today’s governance landscape, where recruitment transparency and institutional independence are critical, Article 322 continues to play a foundational role in preserving the PSCs’ credibility. With the expansion of civil services and increasing demand for qualified personnel, the need for autonomous and well-funded recruitment agencies is more important than ever.The article’s provision for non-votable expenses ensures that Public Service Commissions are shielded from political and financial pressures, allowing them to uphold the ideals of merit, equality, and impartiality.