SUPREME COURT OF INDIA
M.R. SHAH, B.V. NAGARATHNA, JJ.
State of U.P. and Others – Appellants
Versus
Smt. Priyanka – Respondent
Civil Appeal No. 3639 of 2022, SLP (C) No. 1595 of 2022
Decided On : 09-02-2023
Service Law – Gratuity – Claim rejected on the ground that husband of petitioner, while in service, had not opted for retirement at age of 60 years – He had died on 11.08.2009 whereas Government order is dated 16.9.2009 – There was no chance for him to exercise any option at all – Respondent would be entitled to benefit of Government Order dated 16.9.2009 and would be entitled to benefit of death-cum-retirement gratuity being heirs of deceased employee – It is not the case on behalf of appellants that if deceased employee would have exercised option, even then he would not have been entitled to benefit of death-cum-retirement gratuity under the scheme – Death-cum-retirement gratuity is benevolent scheme and same is extended to respondent being heirs/dependent of deceased employee by Single Judge, confirmed by Division Bench – No interference of this Court is called for. (Paras 5 and 6)
Facts of the case:
Feeling aggrieved and dissatisfied with impugned judgment and order passed by High Court of Judicature at Allahabad in Special Appeal No. 343 of 2021 by which Division Bench of the High Court has dismissed appeal and has confirmed Judgment and order passed by Single Judge directing the appellants–State of U.P. and Ors. to pay gratuity to original writ petitioner on death of deceased employee (her husband), State of U.P. and Ors. have preferred present appeal.
Findings of Court:
Appeal is dismissed with cost of Rs. 50,000/- payable by appellant to the respondent within a period of four weeks from today.
Result : Appeal dismissed with costs.
JUDGMENT :
M.R. SHAH, J.
1. Feeling aggrieved and dissatisfied with the impugned judgment and order passed by the High Court of Judicature at Allahabad in Special Appeal No. 343 of 2021 by which the Division Bench of the High Court has dismissed the said appeal and has confirmed the judgment and order passed by the learned Single Judge directing the appellants-State of U.P. and Others to pay the gratuity to the original writ petitioner on the death of the deceased employee (her husband), the State of U.P. and Others have preferred the present appeal.
2. The facts leading to the present appeal in nutshell are as under:
2.1 That the deceased employee Dr. Vinod Kumar, husband of the original writ petitioner, was working as Lecturer. He joined service on 02.07.2001 and died on 11.08.2009 while in service. The original writ petitioner-wife of the deceased employee applied for payment of gratuity due to her husband, but the same was rejected on the ground that the husband of the petitioner, while in service, had not opted for retirement at the age of 60 years. The original writ petitioner therefore filed the writ appeal before the High Court being Writ Appeal No. 2211 of 2021.
2.2 Relying upon and following the earlier decisions of the High Court and by observing that if the deceased employee would have been alive, he would have retired in 2026, if he had opted for retirement at the age of 60 years and before he could opt for retirement at the age of 60 years, he died, therefore, the learned Single Judge allowed the writ petition and directed the appellants to compute the amount payable to her husband towards gratuity quantified in accordance with the relevant Government orders with the interest @ 8% p.a. from the date of filing of the application for gratuity till the amount is actually disbursed, ignoring the fact that the husband of the original writ petitioner had not opted for retirement at the age of 60 years.
2.3 Feeling aggrieved and dissatisfied with the judgment and order passed by the learned Single Judge, the appellants preferred the writ appeal before the Division Bench of the High Court. By the impugned judgment and order, the Division Bench of the High Court has dismissed the said appeal, hence the present appeal.
3. Shri Sanjay Kumar Tyagi, learned counsel appearing on behalf of the appellants has vehemently submitted that in the facts and circumstances of the case, the High Court has materially erred in directing the appellants to pay gratuity to the original writ petitioner on the death of the deceased employee.
3.1 It is submitted that the High Court has not properly appreciated the fact that the deceased employee failed to exercise the option and therefore the benefit of death-cum-retirement gratuity cannot be sanctioned to the respondent being heirs of the deceased employee.
3.2 It is further submitted that as per the prevailing government orders, the exercise of option to retire at the age of 58 years (now 60 years) for availing the benefit of death-cum-retirement gratuity was a mandatory exercise. It is submitted that therefore in the absence of any option exercised by the deceased employee, the High Court has materially erred in directing the appellants to grant the benefit of death-cum-retirement gratuity to the respondent on the death of the deceased employee.
4. While opposing the present appeal, learned counsel appearing on behalf of the respondent-heirs of the deceased employee has vehemently submitted that in the facts and circumstances of the case, no error has been committed by the High Court in granting the benefit of death-cum-retirement gratuity to the respondent on the death of the deceased employee.
4.1 It is submitted that the deceased was appointed as a Lecturer on 2.7.2001 and died while in service on 11.8.2009. It is submitted that before the deceased could exercise the option, unfortunately he died. It is submitted that as per the Government Order dated 16.09.2009, the deceased was entitled to exerci
Gratuity – Death-cum-retirement gratuity is benevolent scheme and same is extended to heirs/dependents of deceased employee.
Heirs of deceased employees are entitled to gratuity benefits under benevolent schemes, irrespective of the employee's retirement option status.
Voluntary retirement constitutes an option for gratuity eligibility, regardless of not opting to retire at the age of 60.
Service matter - Payment of a gratuity - Rule 5 of these Rules provided that a gratuity equal to six times pay last drawn by a teacher at time of his death would be payable provided he had put in not....
Gratuity entitlement for teachers is based on the total years of service rather than the specific age of retirement, and premature retirement does not negate the right to gratuity if service requirem....
Entitlement to gratuity for teachers retiring at 60 years is established by interpreting Government Orders and previous judgments, irrespective of retirement date and age options.
Settlement terms providing gratuity up to superannuation on death override statutory provisions under Payment of Gratuity Act.
Right of female member of the family, or that of brother, of a Government employee who dies while in service or after retirement, to receive the share of gratuity shall not be affected if the female ....
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