One Hundred and Third Amendment of the Constitution of India

The One Hundred and Third Amendment of the Constitution of India, officially titled The Constitution (One Hundred and Third Amendment) Act, 2019, introduced a 10% reservation for Economically Weaker Sections (EWS) of citizens in education and public employment. Enacted on 12 January 2019 and coming into effect on 14 January 2019, this amendment marked the first time in Indian constitutional history that economic criteria alone were used as the basis for affirmative action.
The amendment modified Articles 15 and 16 of the Constitution to allow reservation in educational institutions and government jobs for economically weaker sections of society, excluding those already benefiting from existing reservations for Scheduled Castes (SCs), Scheduled Tribes (STs), and Other Backward Classes (OBCs).

Background

India’s reservation system has historically been grounded in social and educational backwardness rather than economic disadvantage. The Constitution (originally) provided for affirmative action in favour of SCs, STs, and later, OBCs, as these communities had faced systemic social discrimination.
However, successive governments faced increasing demands for reservations for economically disadvantaged individuals belonging to the upper and middle castes who did not fall under the SC, ST, or OBC categories. These demands were especially strong after the implementation of the Mandal Commission recommendations (1990), which expanded reservations for OBCs to 27%.
The idea of economic-based reservation had been discussed intermittently since the Indira Gandhi and Narasimha Rao administrations, but it was only under Prime Minister Narendra Modi’s government that a comprehensive constitutional framework for such a quota was established.
The government justified the move as a measure to uphold Article 46 of the Directive Principles of State Policy, which directs the State to promote the educational and economic interests of weaker sections of society and protect them from social injustice.

Legislative History

The Constitution (One Hundred and Twenty-fourth Amendment) Bill, 2019 was introduced in the Lok Sabha on 8 January 2019 by Thawar Chand Gehlot, Minister of Social Justice and Empowerment.

• Lok Sabha Passed: 8 January 2019, with 323 votes in favour and 3 against.
• Rajya Sabha Passed: 9 January 2019, with 165 votes in favour and 7 against.
• Presidential Assent: 12 January 2019 (by President Ram Nath Kovind).
• Came into Force: 14 January 2019.

The amendment was introduced, debated, and passed in both Houses of Parliament within 48 hours, receiving cross-party support.

Key Constitutional Amendments

The One Hundred and Third Amendment altered Articles 15 and 16 of the Constitution:
1. Amendment to Article 15 – Right to Equality (Education): A new clause (6) was inserted, enabling the State to make special provisions for the advancement of economically weaker sections (EWS) of citizens:

• These provisions may include reservation in educational institutions, both public and private, whether aided or unaided by the State.
• Minority educational institutions under Article 30(1) are exempted.

2. Amendment to Article 16 – Equality of Opportunity (Employment): A new clause (6) was inserted, allowing the State to make special provisions for reservation in appointments or posts in favour of EWS in civil services or government employment.

• The EWS quota is capped at 10%, and it applies to individuals who are not covered under existing reservations for SCs, STs, and OBCs.

Eligibility Criteria

The EWS reservation applies to individuals belonging to the General Category who meet specific economic thresholds. The criteria, as notified by the Central Government, include:

• Annual household income: Less than ₹8 lakh.
• Land ownership: Less than 5 acres of agricultural land.
• Residential property:
  • Less than 1,000 sq. ft. house; or
  • Plot smaller than 100 yards in a notified municipal area; or
  • Plot smaller than 200 yards in a non-notified municipal area.

Persons already benefiting from SC, ST, or OBC quotas (including the non-creamy layer of OBCs) are not eligible for EWS reservation.

Implementation

The amendment’s provisions apply to:

• Central Government jobs and educational institutions (including IITs, IIMs, AIIMS, and central universities).
• Private educational institutions (excluding minority-run ones).

While the amendment does not make EWS reservation mandatory for state governments, many states—such as Gujarat, Maharashtra, Uttar Pradesh, Telangana, and Tamil Nadu—have chosen to implement it.
Gujarat became the first state to introduce the 10% EWS quota from 14 January 2019, the very day the amendment came into effect.

Constitutional Challenge

Within days of its enactment, several petitions challenged the amendment’s constitutional validity. The first was filed by the NGO Youth for Equality, followed by others including political parties like the Dravida Munnetra Kazhagam (DMK).
Grounds for Challenge:

1. Violation of Basic Structure Doctrine: Petitioners argued that the Constitution did not permit reservations based solely on economic criteria, as social and educational backwardness formed the basis for affirmative action under Articles 15 and 16.
2. Breach of 50% Cap: The amendment pushed total reservations beyond the 50% limit established in the landmark case Indra Sawhney v. Union of India (1992).
3. Exclusion of SC/ST/OBC: It was argued that excluding backward classes from EWS violated the equality principle.

The Supreme Court initially declined to stay the amendment but admitted the petitions for detailed hearing. The matter was referred to a five-judge Constitution Bench in August 2020.

Supreme Court Verdict (2022)

On 7 November 2022, the Supreme Court of India, in a 3:2 majority verdict in the case Janhit Abhiyan v. Union of India, upheld the constitutional validity of the 103rd Amendment.
Majority Opinion (Justices Dinesh Maheshwari, Bela Trivedi, and J.B. Pardiwala):

• The EWS quota does not violate the basic structure of the Constitution.
• Reservation based on economic criteria is permissible and does not undermine the principle of equality.
• The 50% cap on reservations, established in Indra Sawhney (1992), is not an absolute rule and can be exceeded under exceptional circumstances.

Dissenting Opinion (Chief Justice U.U. Lalit and Justice S. Ravindra Bhat):

• The amendment violated the basic structure by excluding SCs, STs, and OBCs from EWS benefits.
• Economic disadvantage alone could not justify affirmative action under the equality framework of the Constitution.

The Court’s majority upheld the validity of the EWS quota, making it constitutionally enforceable across the nation.

Significance of the Amendment

The One Hundred and Third Amendment is considered a transformative constitutional measure, marking a shift in India’s approach to social justice from purely caste-based to a broader, economic-based framework.
1. Expansion of Affirmative Action: For the first time, economically disadvantaged individuals from forward communities were brought within the ambit of reservation policies.
2. Redefinition of Equality: The amendment extended the meaning of “equality of opportunity” by recognising economic inequality as a legitimate ground for affirmative state intervention.
3. Departure from the 50% Ceiling: It introduced flexibility into the reservation framework by crossing the 50% limit that had previously been regarded as inviolable.
4. Federal and Social Implications: The amendment provided states discretion in implementation, reinforcing federal flexibility while promoting the idea of inclusive development.