O R D E R

Whether Section 7(7) of the Payment of Gratuity Act, 1972 permits condoning the delay in filing the appeal beyond period of 60 days from the date of expiry of available statutory period of 60 days against an order passed under Section 7(4) of the Act, is the question to be adjudicated in all these petitions.

Involving common questions of law and facts, all these petitions are taken up together for disposal. For convenience, facts of lead case i.e. CWP No. 1757 of 2018 have been considered hereinafter.

2. Respondent Som Dutt invoked jurisdiction of the Labour Officer-cum-Controlling Authority, District Sirmour under Section 7(4) of the Payment of Gratuity Act, 1972 (in short ‘Act’). He presented his gratuity claim with submissions that he was employed with the present petitioner as part time Sweeper from 28.11.1990 to 17.2.2009, daily wager w.e.f. 18.2.2009 to 5.5.2013 and as a regular Class-IV employee w.e.f. 6.5.2013 to 30.6.2016. On the date of his retirement on 30.6.2016, his last drawn wages were Rs. 16159/- per month. The competent authority vide its order dated 17.1.2017 concluded that the respondent was entitled for gratuity as per Section 4(2) of the Act amounting to Rs.2,42,385/-. The claim petition filed by the respondent was accordingly allowed. The petitioner herein was directed to make payment of gratuity amounting to Rs. 2,42,385/- alongwith interest @9% per annum w.e.f. 31.7.2016 till the realization of the payment as per Section 7(4)

of the Act. The operative part of the order reads as under:-

“The respondent is, therefore, directed to make payment of Gratuity amounting to Rs. 2,42,385/- (Rupees Two Lakh Forty Two thousand and Three hundred eighty five only), alongwith simple interest @ 9% w.e.f. 31.07.2016 till the payment is actually made, as per Section 7(4) (c) of the Act, to the claimant.

The decision/order are subject to the provisions contained in Section 7(7) of the Act. These payments are further subject to the provisions contained in Section 2(h) (i) of the Act, if any change in the status of the claimant or family members takes places till the payments are actually made. The payment of gratuity claim/case is accordingly decided.”

3. The petitioner challenged the above order passed under Section 7(4) of the Act by filing an appeal under section 7(7) of the Act. The appeal was preferred on 3.8.2017. The Joint Labour Commissioner-cum-Appellate Authority dismissed the appeal on 11.10.2017. The Appellate Authority held that the appeal filed beyond maximum limit of 120 days was not maintainable. Not satisfied with this order, the petitioner has invoked extra ordinary jurisdiction of this court.

4. Learned counsel on both sides have assisted in putting forth applicable legal provisions on the facts involved as well as law on the subject. On consideration of entire matrix, it becomes amply clear that the learned Appellate Authority was justified in dismissing the appeal holding it to be not maintainable being barred by limitation. This is on following counts:-

4(i) Section 7 of the Payment of Gratuity Act, 1972 provides for determination of the amount of gratuity. Section 7(1) permits making of an application by an eligible person to his employer for payment of gratuity. In terms of Section 7(2) irrespective of making of application under Section 7(1), the employer has to determine the amount of gratuity payable to the person as soon as it becomes payable. This amount of gratuity as per Section 7(3), has to be paid within 30 days from the date it becomes payable failing which the amount has to carry interest in terms of Section 7(3A). Section 7(4) pertains to situations where there is dispute with respect to amount of gratuity payable to an employee, admissibility of any claim, entitlement of the person to receive the gratuity amount etc. In such situations, the person raising the dispute has to make an application to the Controlling Authority for deciding the dispute. The said Authority after due inquiry