HARYANA MINERALS LIMITED Vs. REGIONAL LABOUR COMMISSIONER-CUM-APPELLATE AUTHORITY UNDER PAYMENT OF GRATUITY ACT

JUDGEMENT

(1.) The controversy raised in the instant writ petition pertains to the payment of gratuity to respondent No. 3. It is the contention of the petitioner Management that the gratuity was payable to respondent No. 3 in terms of the provisions of the Payment of Gratuity Act, 1972 (hereinafter referred to as the 1972 Act) subject to a maximum amount of gratuity not exceeding 20 months pay or Rs. 50,000/- whichever is less. According to the learned Counsel for the petitioner management gratuity calculated under the 1972 Act has actually and factually been released to respondent No. 3. Respondent No. 3, however, claimed gratuity in terms of service bylaws of the Haryana Minerals Limited which had adopted the bylaws of the Haryana State Industrial Development Corporation.

(2.) Since the claim made by respondent No. 3 was not accepted by the Haryana Minerals Limited the issue under reference came up for consideration before the Controlling Authority under the 1972 Act. The Controlling Authority by its order dated 27.1.2004 arrived at the conclusion that the rules of the Haryana State Industrial Development Corporation regarding payment of gratuity would be applicable to respondent No. 3. The aforesaid rules envisage the payment of gratuity at the rate of one months pay for every completed year of service subject to a maximum of 20 months salary. Having arrived at the aforesaid conclusion, the Controlling Authority under the 1972 Act, allowed the claim of respondent No. 3.

(3.) Dis-satisfied with the order passed by the Controlling Authority, the petitioner Management i.e. Haryana Minerals Limited, preferred an appeal under Section 7(7) of the 1972 Act. The appeal preferred by the petitioner Management was rejected as not maintainable on account of the fact that the petitioner Management had not deposited the gratuity payable to respondent No. 3, in terms of the order passed by the Controlling Authority dated 27.1.2004, either with the Controlling Authority or with the Appellate Authority, under the 1972 Act.