ETHIOPIAN AIRLINES Vs. A D NOEL HENRIQUES

JUDGEMENT

(1.) The Petition impugns an order dated 7th September, 2006, passed by Respondent No.2, who is the Appellate Authority under the Payment of Gratuity Act, 1972. By the said order the Appellate Authority confirmed the order of the Controlling Authority dated 5th March, 2001, which held that the Respondent-employee was entitled to gratuity of Rs. 2,59,409.49p.

(2.) The question which arises for consideration in the Petition is whether the Respondent-employee is entitled to a higher gratuity or is the amount of gratuity subject to the ceiling limit as prescribed under section 4(3) of the Payment of Gratuity Act, 1972 (hereinafter referred to as said Act).

(3.) There is no dispute about the fact that the Respondent was an employee of the Petitioner-company and he was entitled to gratuity. It is only the quantum of entitlement which is in dispute. According to the Petitioner-company, the Respondent-employee was governed by the Personnel Policy of the company which interalia states that the payment of gratuity to the employees would be governed by Payment of Gratuity Act, 1972 and therefore the Respondent-employee was not entitled to gratuity over and above the ceiling limit as specified in Section 4(3) of the said Act.