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MR. GOPINATH P., J
KORE SECURITY SERVICES (P) LIMITED – Appellant
Versus
THE CONTROLLING AUTHORITY UNDER THE PAYMENT OF GRATUITY ACT – Respondent
| Table of Content |
|---|
| 1. challenge of gratuity orders based on actual wages. (Para 1 , 2) |
| 2. arguments regarding calculation of gratuity using minimum wage. (Para 4) |
| 3. court's reasoning emphasizing adherence to last drawn wages. (Para 5 , 6) |
| 4. final judgment on gratuity calculation based on actual wages. (Para 7) |
JUDGMENT :
Gopinath P., J.
This writ petition has been filed challenging Ext.P3 order of the Controlling Authority under the provisions of the Payment of Gratuity Act, 1972 (hereinafter referred to as ‘the Gratuity Act’), Ext.P6 order of the Appellate Authority confirming Ext.P3 order of the Controlling Authority, and Ext.P8 order of the Appellate Authority refusing to review Ext.P6 order.
2. Smt. A. K. Preetha, the learned counsel appearing for the petitioner submits that the only issue that requires to be considered by this Court is whether the Controlling Authority could have directed the payment of gratuity based on any other amount of wages when the wages actually drawn by the 3rd respondent, including allowances, were found and admitted by both sides to be Rs.12,000/- (Rupees Twelve Thousand Only). It is submitted that the Controlling Authority had calculated the gratuity payab
Gratuity must be based exclusively on actual wages drawn by an employee as defined in the Gratuity Act, without statutory provision for minimum wage adjustments.
The definition of 'wages' under the Payment of Gratuity Act excludes variable pay; thus, it cannot be included in gratuity calculations.
Gratuity under the Payment of Gratuity Act, 1972 must include entire continuous service, including stop-gap employment, unless exempted by the appropriate Government.
The main legal point established in the judgment is the overriding effect of the Payment of Gratuity Act, 1972, over other enactments, and the requirement of continuous service for the payment of gra....
Interpreting Act unequivocally indicate that payment of gratuity would not depend upon employee filing an application before employer demanding gratuity but will have to be paid immediately on cessat....
The Payment of Gratuity Act provisions have an overriding effect, and the computation of gratuity should be made in terms of the Act.
The Payment of Gratuity Act allows claims for both statutory and contractual gratuity to be adjudicated under the same authority, ensuring employee rights are protected.
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