Powers of Government to take over control and management of schools from local authority

Transfer of control and management of certain schools

1. (1) The Government may, by notification, and with the prior consent of a local authority, take over the control and management of any or all primary schools or secondary schools established or maintained and administered by the said local authority from such date as may be specified in the said notification; and from the date so notified it shall be open to the Government to control and manage the said schools and all the properties and assets of the local authority pertaining to or intended to be used for every such school shall stand transferred to, and vest in the Government free from all encumbrances.
2. (2) Notwithstanding any contract or agreement or any law for the time being in force, every teacher or other person employed in any of the said schools immediately before the date on which the control and management thereof is taken over by the Government shall, as from the said date, be deemed to be an employee of the Government and shall hold office on the same remuneration and upon the same terms and conditions and with the same rights and privileges as to pension, gratuity and other matters as he would have held under the local authority until his remuneration, terms and conditions of service are duly altered by the Government: Provided that every such employee shall, within a period of three months or such other period beyond three months as may be specified by the Government by notification, from the date of taking over of the control and management of the school, exercise his option either to be retrenched from the service on receipt of such retrenchment benefits as may be prescribed or to be absorbed in the service of the Government with effect from the said date and shall be governed by the terms and conditions governing the said service which shall not be less favourable than those applicable to such employee prior to the said date.