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Tamil Nadu: Retired staff of religious bodies eligible for gratuity

Madras HC directive in government's writ appeal.

Madurai: Retired employees of religious institutions where ten or more persons are employed at any time, after the commencement of the Payment of Gratuity Act, 1972, are entitled to apply for gratuity, observed Justice M Venugopal.

While disposing writ appeal filed by secretary to Government, Tamil Development, Culture and Religious Endowments department, Chennai, against order passed by the single judge, Justices Venugopal and P D Audikesavalu of the Madras High Court bench here said that it would be the obligation of the concerned religious institutions to make payment of gratuity to its retired employees within 30 days from the date it falls due, failing which interest would also have to be paid at the rate notified under section 7(3A) of the Payment of Gratuity Act, 1972. This was in addition to penal action for imprisonment or fine under section o stipulated in that act, said the court.

Referring to the decision of this court in the case of E. Gopal vs Arulmigu Dhandayuthapani Swami temple, Palani, the court said that the religious institutions defined in the Tamil Nadu Charitable Endowments Act, 1959, would be “Establishments” within the meaning of section 1(3) (b) of the Gratuity Act, 1972.

Justice Venugopal also made it clear that number of employees engaged by a religious institution (Establishment) that has never crossed ten persons at any time after the commencement of the Payment of Gratuity Act, 1972, were not eligible for gratuity.

The court directed the commissioner, Hindu Religious and Charitable Endowments department to annually publish the list of religious institutions on the first day of January every year starting from 1st January 2018. And the retired employees of those institutions would be entitled to make their claim for the eligible amount of gratuity, said the judges.

In the event of refusal to do so or if any dispute arises regarding the quantum of gratuity, the retired employees could seek redressal from the employers/institutions by making claims before the controlling authority, said the court.

The single judge was also of the view that the employees were entitled to benefits under the provisions of the Payment of Gratuity Act, based on a petition filed by The Tamil Nadu Temples' Retired Employees' Welfare Association earlier.

( Source : Deccan Chronicle. )
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