Payment of Gatuity Act 1972

shantilal k. patel (Querist) 05 August 2008 This query is : Resolved
Payment of Gratuity Act 1972
Once the delay in making application to
the Controlling Authority is condoned
by the conrolling authority, can it be
taken in appeal?

Is it compulsory to pass order by the
controlling authority with interest if
it passes order in favour of employee?

Please guide me.

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H. S. Thukral (Expert) 05 August 2008
An application to the controlling authority is to be made within 90 days of cause of action which arises when the employer does not entertain the application of the employee but the controlling authority can consider the application after 90 days if sufficient cause of delay is shown. Once the controlling authority is satisfied and delay is condoned the decision can not be challenged.
If the delay is due to the fault of employee, no interest is payable. But if the application was moved in time and gratuity is not paid within 30 days, employer is liable to pay interest. The words used in the law is 'shall'. therefore there is no discreation with the controlling authority to deny the interest on delayed payment.

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