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2026 Supreme(Cal) 100

IN THE HIGH COURT AT CALCUTTA 
SHAMPA DUTT (PAUL), J. 
Sk. Rahamat @ Sk. Rahamath – Petititoner
Versus  
The State of West Bengal & Ors. – Respondent
WPA 24108 of 2023 
Decided On : 07-05-2026 

Advocates Appeared:
For the Petitioner:Mr. Rananeesh Guha Thakurta, Mr. Dona Ghosh, Mr. Pulin Chandra Maity. For the Respondent: Mr. Jayanta Samanta, Ms. Tanuja Basak.

A substitute laborer must satisfy the mandatory minimum working day requirements to qualify for continuous service. Periods of work suspension do not count as active service for substitute workers. Furthermore, re-employment post-retirement requires a fresh five-year tenure to establish eligibility for subsequent gratuity claims.

Headnote:(A) Payment of Gratuity Act, 1972 - Section 2A(1) - Continuous service - Gratuity entitlement - Substitute laborer - Lock-out/Suspension of work - Whether period of suspension of work can be treated as continuous service by a substitute laborer without fulfilling the requirement of working 240 days - Held, for substitute workmen, service implies actual rendered service or fulfillment of minimum working days; mere existence of a contract or suspension of work during lock-out does not automatically entitle a substitute worker to gratuity for that duration. (Paras 10, 16, 22)

(B) Gratuity - Re-employment - Entitlement - Fresh tenure - Requirement of five years of continuous service - An employee re-employed after retirement and receipt of terminal benefits must complete a fresh five-year period of continuous service to be eligible for further gratuity - Benefits from previous tenure cannot be added to a new, shorter period. (Paras 25, 26, 28)

Facts of the case:
The petitioner, a former employee who initially served as a substitute laborer before transitioning to permanent status, sought additional gratuity for a duration when the establishment was under a suspension of work (lock-out). Furthermore, the petitioner challenged the non-payment of gratuity for a period of consecutive employment post-retirement. The appellate authority had previously ordered a recalculation, which was challenged by both the employer and the employee.

Findings of Court:
The court determined that the period of suspension of work cannot be deemed as continuous service for a substitute worker who did not meet the necessary threshold of working days during that period. With respect to re-employment, the court found no entitlement to further gratuity as the worker failed to complete a fresh five-year period of continuous service following the initial retirement.

Issues: Whether a period of lock-out or work suspension qualifies as continuous service for a substitute laborer for gratuity calculation, and whether immediate re-employment post-retirement without completing a five-year tenure entitles the employee to additional gratuity.

Ratio Decidendi: Substitute laborers are not in uninterrupted service; therefore, to establish continuous service, they must fulfill the requirement of working a minimum number of days in a year. The mere subsistence of an employment contract during a lock-out does not equate to active service. Moreover, re-employment constitutes a distinct period, necessitating an independent five-year continuous service term to qualify for any subsequent gratuity payment.

Result: Writ petition dismissed.

Table of Content
1. overview of the writ petition, lower authority order, and the scope of the dispute regarding gratuity calculation. (Para 1 , 2 , 3 , 6)
2. summary of opposing contentions regarding continuous service and the effect of lock-outs on gratuity eligibility. (Para 4 , 5 , 7 , 8 , 9 , 11 , 12 , 14 , 17)
3. legal interpretation of section 2a of the payment of gratuity act and the scope of judicial review in re-evaluating service records. (Para 10 , 13 , 15 , 23 , 27)
4. specific determination on badli worker status, lock-out impacts, and the prerequisite of fresh service tenure after re-employment for gratuity. (Para 16 , 18 , 19 , 20 , 21 , 22 , 24 , 25 , 26 , 28)
5. final order of the court dismissing the writ petition and setting aside the impugned appellate order. (Para 29 , 30 , 31 , 32)

Judgment :

Shampa Dutt (Paul), J.

1. The writ application has been preferred praying for direction upon the respondent no. 2 being the appellate authority to set aside and quash the impugned order passed on June 9, 2023, in Case No. GA-10/2022 and direct the 2nd respondent to hear and dispose of the said case in accordance with law within a specified time frame.

2. The petitioner‟s case in short is that the petitioner is an ex employee of the respondent no. 4 who after 41 years of continuous unblemished service was not paid his due gratuity forcing him to file an application for direction before the 3rd respondent which was disposed of on contest on December 27, 2021 which was appealed by the private respondent before the 2nd respondent who passed the impugned order dated June 09, 2023 in violation of the Act, 1972 which leads to the petitioner to approach before this Court.

3. Vide the impugned order, the respondent no. 2 being the appellate authority under Payment of Gratuity Act, 1972 wherein it is stated that :-

“The date of joining of Sk Rahamath (Respondent 1) is 30/10/1974 as Budli worker. He was made permanent on 16/09/2011 and superannuated on 01/07/2014.

The dispute is regarding Budli period of service from 30/10/1974 to 15/09/2011 that is 37 years and regarding service rendered in 2014, after he was made permanent. The contention of the appellant is that the Controlling Authority has considered this entire 37 years into the realm of continuous service, whereas, Sk. Rahamath actually rendered continuous service for only 15 years during this period

The contention of the appellant is that the burden of proof of rendering continuous service lies on the employee. On the other hand, the employee and Respondent number! refutes and says that the burden is on the employer, being custodian of the records.

There are several judgements in this regard but reference may be drawn to the observation of the Hon'ble Supreme Court of India in para 12, in the case of Sita Ram & Ors vs Mati Lal Nehru Farmers Training Institute (AIR 2008 SC 1955) which goes as under-"12. Although at one point of time the burden of proof used to be placed on the employer, in view of a catena of recent decisions, it must be held that the burden of proof is on the workman to show that he has completed 240 days in a year".

Reference is also drawn to the observation of Hon'ble High Court Calcutta in W.P 12342(W) of 2015 Calcutta Jute Manufacturing Company vs The State of West Bengal & Ors. Whereas the Court says," It appears that the Tribunal has ignored the basic principle that the onus of proof of having worked for 240 days continuously is initially on a workman".

Hence, it is now a settled position of law that the workman, is initially required to prove that he rendered the continuous service.

In the instant case the Respondent 1 has failed to come up with documentary evidence to prove that he (Sk. Rahamath) rendered continuous service from 30/10/1974 to 15/09/2011. The appellant on the other hand, substantiated their claim with documentary evidence. The Controlling Authority has erred in ignoring the evidentiary value of documents produced by the appellant. There is no st

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