ARINDAM LODH
Mallika Rema – Appellant
Versus
Tripura Road Transport Corporation – Respondent
JUDGMENT
Arindam Lodh, J. - Heard Mr. P. Roy Barman, learned senior counsel assisted by Mr. K. Nath, learned counsel appearing for the petitioner. Also heard Mr. D. Bhattacharya, learned GA assisted by Ms. S. Nag, learned counsel appearing for the State-respondents and Mr. K. C. Bhattacharya, learned counsel appearing for the respondent-TRTC.
2. By means of filing the present writ petition, the petitioner has prayed for the following reliefs:
'(i) Issue Rule upon the Respondents to show cause as to why writ in the nature of Mandamus and/or order/orders and/or direction/directions of like nature shall not be issued whereby directing the Respondents to make the full and final payment of Gratuity with interest @ 9% per annum to the Petitioner, w.e.f. the date on which gratuity became payable till date of payment.
(ii) Issue Rule upon the Respondents to show cause as to why writ in the nature of Mandamus and/or order/orders and/or direction/directions of like nature shall not be issued whereby directing the Respondents to pay interest on Rs. 10,00,000/- w.e.f. 01.07.2020 to 30.06.2021.
(iii) Make the rules absolute.
(iv) Call for records.
(v) Pass any further order/orders as this Hon'ble High
Delayed payment of gratuity under the Payment of Gratuity Act, 1972 incurs interest at 7% per annum, and statutory revisions to gratuity entitlements must be honored.
The amendment of the Payment of Gratuity Act to increase the ceiling limit entitles retired employees to receive additional gratuity payments under the updated provisions.
Entitlement to delayed gratuity payments includes the right to receive penal interest, reinforcing statutory obligations of payment by public authorities.
The central legal principle established is that gratuity, as a retirement benefit, must be determined and paid to eligible employees in a timely manner as mandated by The Payment of Gratuity Act, 197....
The court held that under the Payment of Gratuity Act, retirees are entitled to full gratuity payments up to Rs.20,00,000 with interest of 7.5% due to untimely payments.
An employer must pay gratuity within 30 days and is liable for interest if delayed, regardless of an employee's application.
Employer must pay gratuity within 30 days of it becoming due, with interest chargeable after this period, regardless of employee application.
Interest under the Payment of Gratuity Act is due from the date of entitlement unless hindered by claim delays, resulting in dismissal of a petition for earlier interest claims.
Employees are entitled to statutory interest on delayed gratuity payments as per Central Government notifications, irrespective of disputes causing delays.
Employees are entitled to gratuity payments as per revised ceiling limits established by the Payment of Gratuity (Amendment) Act, 2018, regardless of employers' financial constraints.
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