This chapter is written with a backdrop of the current debate of the dominant communities across states pressing for reservations within the OBC category. The reservations system in India has been widely debated with each commentator favouring different policies and opinions leading to controversies and agitations. There are two broad principles of reservations: the merit principle argues against reservations, while the compensatory principle focuses on upholding justice and maintaining equity in society. To further substantiate, the chapter evaluates the benefits and implications of the caste-based reservations and the opinion of the reserved categories and Muslims on reservations in government and private institutions.