Provision as to employees of the local authorities employed in connection with water supply and sewerage undertakings

(1) With effect from the date on which any water supply or sewerage undertaking of any local authority vests in the Board, every officer or other employee of the concerned local authority employed in connection with the water supply undertaking or the sewerage undertaking, as the case may be, shall stand transferred to and become an officer or other employee of the Board with such designation as the State Government may determine and shall hold office by the same tenure, at the same remuneration and on the same terms and conditions of service as he would have held the same if he had continued to be an officer or employee of the local authority and shall continue to do so unless and until such tenure, remuneration and terms and conditions are duly altered by the Board:

Provided that any service rendered by such officer or employee under the local authority before such transfer shall be deemed to be service rendered under the Board.