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Creamy layer is a term used in Indian reservation system to refer to some members of a backward class who are highly advanced socially as well as economically and educationally. They constitute the forward section of that particular backward class – as forward as any other forward class member.[1] They are not eligible for government-sponsored educational and professional benefit programs. The term was introduced by the Sattanathan Commission in 1971, which directed that the "creamy layer" should be excluded from the reservations (quotas) of civil posts. It was also identified later by Justice Ram Nandan Committee in 1993.
In the Indian Judiciary, the concept was first introduced by VR Krishna Iyer in State of Kerala v. NM Thomas, and was developed in Indra Sawhney v. Union of India. [2][3]
The creamy layer (income) criteria were defined as the gross annual income of parents from all sources more than 100,000 rupees (₹ or INR defined by Sattanathan Committee in 1971) In 1993 when "creamy layer" ceiling was introduced, it was ₹ 1 lakh. It was subsequently revised to Rs 2.5 lakh per annum in (2004), and revised to ₹ 4.5 lakh (2008),[4] Rs 6 lakh (2013)[5][6] and Rs 8 lakh (2017).[7] In October 2015, the National Commission for Backward Classes (NCBC[8]) proposed that a person belonging to Other Backward Class (OBC) with gross annual income of parents up to Rs 15 lakh should be considered as the minimum ceiling for OBC.[9] The NCBC also recommended the sub-division of OBCs into "backward", "more backward", and "extremely backward" blocs and divide 27% quota amongst them in proportion to their population, to ensure that stronger OBCs don't corner the quota benefits.[6][10] On 1 August 2024, the Supreme Court ruled that states must identify and exclude the creamy layer within the Scheduled Castes and Scheduled Tribes from receiving reservation benefits.[11]
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