Gratuity: Updates & Case

Supreme Court: Gives A Nod To Withholding Employees’ Gratuity For Recovery Of Dues

The Apex Court, vide its order dated December 15, 2020, in Steel Authority of India Limited vs. Raghbendra Singh & Ors, propounded that there does not exist any constraint regarding withholding an employee’s gratuity against the recovery of dues from such employee, including penal rent, which in the instant case pertained to the overstay by the …

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Supreme Court: Payment Of Gratuity Act – No Retrospective Effect For 2010 Amendment Enhancing Gratuity Upper Limit As Rs 10 Lakhs

The Supreme Court has observed that 2010 amendment of Payment of Gratuity Act 1972 is not retrospective. As per the 2010 amendment, the upper-limit of amount of gratuity payable as per Section 4 of the Payment of Gratuity Act 1972 was increased as Rupees 10 lakhs from Rupees 3.5 lakhs. The appellants before the Supreme …

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Allahabad High Court: Gratuity Due To Employee Cannot Be Stopped

The Allahabad High Court has said that under no circumstances can an employee’s gratuity be stopped. Even if the decree passed by the Court or in any other way proves the liability of the employee, gratuity cannot be attached to his reimbursement. This order was given by a division bench of Chief Justice Govind Mathur and Justice …

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Karnataka HC: No Need For Employees To Apply For Payment of Gratuity, Pay Immediately On Cessation of Employment

The High Court of Karnatala has held that the payment of gratuity would not depend upon the employee filing an application before the employer demanding gratuity but it will have to be paid immediately on cessation of the employment. The gratuity will have to be paid immediately by the employer on cessation of employment in …

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Supreme Court: Gratuity Can Be Withheld For Recovery Of Dues

The gratuity money of an employee can be withheld and forfeited for recovery of dues such as overstaying in official accommodation, the Supreme Court has ruled. A bench headed by justice Sanjay K Kaul held that there is no prohibition against recovering dues including penal rent — the rent with penalty for overstaying in official accommodation …

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Labor Law Cases: Half Yearly Update (April to September,2020)

Brief overview of the recent judicial decisions on labor laws rendered in the period, April, 2020 to September, 2020, by the Supreme Court and various High Courts of India. For the purposes of the instant part, we shall be covering judicial decisions rendered under the following legislations: Employee’s Compensation Act, 1923 (“Employee’s Compensation Act“); Employees’ …

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Supreme Court: Teachers Entitled To Gratuity Under Payment Of Gratuity Act, 1972

CIVIL APPELLATE JURISDICTIONCIVIL APPEAL No.2530 OF 2012Birla Institute of Technology ….Appellant(s)VERSUSThe State of Jharkhand & Ors. …Respondent(s) Download: Judgement The Supreme Court today held that teachers are entitled to gratuity under the Payment of Gratuity Act, 1972 (Act). A Bench of Justices Abhay Manohar Sapre and Indu Malhotra recalled its previous judgment that had laid …

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Payment Of Gratuity: Employer Has A Right To Withhold Gratuity During Pendency Of The Disciplinary Proceedings

SUPREME COURT OF INDIA A. Conduct, Discipline and Appeal Rules, 1978 – Rule 34.3 – Payment of gratuity – Employer has a right to withhold gratuity during pendency of the disciplinary proceedings. (Para 28) B. Payment of Gratuity Act, 1972 – Section 4(6) – Conduct, Discipline and Appeal Rules, 1978 – Rules 27, 34.2 and …

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Gratuity Payable On Resignation From Employment After 5 Years Of Continuous Service: supreme court

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