Employee Has Given His Whole Life To Serve The Company: Calcutta High Court Upholds Order Granting Gratuity To ‘Badli’ Worker Who Served Continuously For 37 Years

The writ application was filed before the High Court by the Petitioner Company seeking a direction upon the Respondents to cancel and set aside the orders passed by the Controlling Authority and the Appellate Authority under the Payment of Gratuity Act, 1972.

The Single Bench of Justice Shampa Dutt (Paul) said, “Having done so, the least that he is entitled to, are the retiral dues (social security) which includes gratuity and such benefits should be made to the employee without any hindrance as the employee has given his whole life to serve the company.”

Advocate S. K. Singh represented the Petitioner, while Advocate Srinath Singha Roy represented the Respondent.

Factual Background

The first Respondent was engaged in the petitioner’s company as a Badli worker in 1978. The first Respondent got his provident fund membership only in the year 1981 and attained the age of superannuation on July 1, 2015, as a Badli. Throughout this period, the first respondent worked as a ‘badli’ employee i.e. in place of and stead of permanent employees who were absent for any reason whatsoever. On reaching the age of superannuation, the first respondent applied for gratuity before the Controlling Authority for computation as well as direction for payment gratuity alleging non-payment of gratuity and claimed a sum to the tune of Rs 2,41,452 along with simple interest.

It was claimed by the Petitioner that the first respondent had not completed the qualifying service of 5 years continuous service for 240 days, 3 each year, to be eligible for gratuity under the Act. The Controlling Authority passed an order directing the petitioner to pay gratuity for the total period of continuous service for 37 years, amounting to a total of Rs 3,93,120. In the Appeal, the appellate authority upheld the order passed by the Controlling Authority and directed the petitioner to make a payment of the amount of Rs. 1,79,600 i.e., the balance amount in respect of interest. The said order had been challenged in the writ application before the High Court.

Reasoning

On a perusal of the facts of the case, the Bench noted that the first respondent served continuously as a badli/casual worker for 37 years in permanent posts and has produced documents in support. “The employee has now superannuated after 37 years and if such conduct of the employer is ignored, there shall be clear abuse of the process of law”, it said.

It was noticed that the benefit is under a beneficial legislation and an employee who has admittedly worked for 37 years and has rendered his service towards the work to be carried out by a regular employee will have definitely put in work for the number of days required to make him entitled to such benefits. He was a member of the PF scheme too.

“The facts as seen proves that the employee has provided selfless service towards permanent posts and as such has carried out work of a regular employee for the period required each year to entitle him to the said benefits, which led to his employment for 37 years”, it added.

Dismissing the appeal, the Bench held, “Having done so, the least that he is entitled to, are the retiral dues (social security) which includes gratuity and such benefits should be made to the employee without any hindrance as the employee has given his whole life to serve the company.”

Cause Title: Hooghly Infrastructure Pvt. Ltd. C & C R v. Sk. Alam Ismail & Ors. (Case No.: WPA 28770 of 2024)

Appearance:

Peititoner: Advocates S. K. Singh, R. K. Dubey.

Respondents: Advocates Srinath Singha Roy, Uddipan Banerjee, Subhra Kanti Samanta, Soumitra Bandyopadhyay

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