Behind New Tribunals Bill: Decade-Long Tussle Between Centre and Supreme Court

Parliament has passed the Tribunals Reforms Bill, 2026, introducing major changes in the administration, tenure and appointment process of tribunal members.

The Confrontation over Tribunals

• The Centre and the Supreme Court have been engaged in a long-running dispute over tribunal independence, appointments and executive influence.
• The Finance Act, 2017 empowered the Centre to frame tribunal rules, but several provisions were struck down by the Supreme Court in 2019 for undermining judicial independence.
• New tribunal rules notified in 2020 were again questioned for provisions relating to tenure and appointment of members.
• The Tribunals Reforms Act, 2021 fixed a four-year tenure and minimum appointment age of 50, despite earlier objections from the Supreme Court.
• The Supreme Court later struck down key provisions of the 2021 law, describing them as a re-enactment of provisions already declared unconstitutional.

What the Supreme Court Said in 2025

• In November 2025, the Supreme Court criticised the Centre’s repeated re-enactment of invalidated provisions as an “impermissible legislative override” of judicial decisions.
• The Court held that a four-year tenure was too short and could undermine tribunal members’ independence.
• It also objected to the government’s power to choose from a panel of two recommended candidates, saying this gave the executive excessive discretion in appointments.
• The Court reiterated the need for a National Tribunals Commission to insulate tribunals from executive influence.
• The Centre was directed to establish an appropriate institutional framework within four months.

Changes in the 2026 Bill

• The Bill states that its provisions are being introduced in line with Supreme Court directions to improve efficiency, independence, transparency and uniformity in tribunals.
• It provides for the establishment of a National Tribunals Commission to oversee appointments, functioning, complaints and administrative matters of tribunals.
• The Commission will be headed by a former Supreme Court judge or former Chief Justice of a High Court.
• The Commission will include two judicial members and two technical members with prescribed professional experience.
• The Centre will continue to appoint the Commission’s chairperson and members, creating continuing concerns about executive influence.

New Selection Process

• Tribunal members will be selected by a search-cum-selection committee headed by a judicial member of the Commission.
• The committee will include a retired High Court judge, a government secretary, a technical member and experts.
• The committee will recommend one suitable candidate for each vacancy, with one additional name kept on a waiting list.
• The government must make appointments within three months of receiving the recommendation, reducing its earlier discretion over multiple names.

Tenure and Age Limits

• The 2026 Bill increases the tenure of tribunal chairpersons and members to five years.
• The maximum age is set at 70 years for chairpersons and 67 years for members.
• Members can be considered for reappointment, subject to the prescribed rules.

Key Concern

• Although the Bill creates a National Tribunals Commission, concerns remain because the Centre retains important powers over appointments, service conditions and administration.
• The central issue remains how to balance efficient tribunal administration with judicial independence and separation of powers.