Dear Seniors,
With refernce to defination of Employee section 2(e) of Gratuity Act ?
Are the Badli & Casual Employees are excluded from purview of the Act?
If yes , how to interpret this?
Thanks in anticipation......!!!
From India, Pune
467With refernce to defination of Employee section 2(e) of Gratuity Act ?
Are the Badli & Casual Employees are excluded from purview of the Act?
If yes , how to interpret this?
Thanks in anticipation......!!!
From India, Pune
Dear Mr.Prashanth,
Yes; 'Badli' and 'Casual' workmen are NOT eligible for gratuity.To have a thorough understanding of this proposition, let us analyze the concept of 'employment'. It comprises of 3 ingredients viz., the employer, the employee and the contract of employment.As commonly understood, the employer is the provider of the employment and the employee is the person who sells his time and skills on the particular activity, may be it is production of goods or rendering of services, assigned to him subject to the control,direction and supervision of the employer in consideration of a periodic reward or compensation that can be quantified.The contract of employment between the employer and employee is the basis for their relationship underwhich the employee agrees to serve the employer subject to his control and supervision for an assured consideration stated supra.Thus, the contract of employment or the contract of service is both distinct and different from a contract for service or contract for an engagement.In other words the term 'employment' has a subtle but indispensable implication of a substantial continuity of the relationship between the parties to the contract. As you are well aware, it is not present in the cases of badli and casual workmen for their services are mere temporary engagement for a specific purpose or for a definite period of time only.That is why the hon'le High Court of Karnataka in its judgment in General Manager, Yellamma Cotton,Woollen & Silk Mills v.Regional Labor Commr(Central) n AA under the P.G Act,Bangalore[2006 LLR 1029] observed as follows:
"(a) There can be no claim towards gratuity for the years during which the employee remains absent without leave n had actually worked for less than 240days.
(b) Badli employees are not covered by the substantive part of the definition of continuous service n are not entitled to payment of gratuity for the badli period"
Hope you are satisfied.
From India, Salem
Yes; 'Badli' and 'Casual' workmen are NOT eligible for gratuity.To have a thorough understanding of this proposition, let us analyze the concept of 'employment'. It comprises of 3 ingredients viz., the employer, the employee and the contract of employment.As commonly understood, the employer is the provider of the employment and the employee is the person who sells his time and skills on the particular activity, may be it is production of goods or rendering of services, assigned to him subject to the control,direction and supervision of the employer in consideration of a periodic reward or compensation that can be quantified.The contract of employment between the employer and employee is the basis for their relationship underwhich the employee agrees to serve the employer subject to his control and supervision for an assured consideration stated supra.Thus, the contract of employment or the contract of service is both distinct and different from a contract for service or contract for an engagement.In other words the term 'employment' has a subtle but indispensable implication of a substantial continuity of the relationship between the parties to the contract. As you are well aware, it is not present in the cases of badli and casual workmen for their services are mere temporary engagement for a specific purpose or for a definite period of time only.That is why the hon'le High Court of Karnataka in its judgment in General Manager, Yellamma Cotton,Woollen & Silk Mills v.Regional Labor Commr(Central) n AA under the P.G Act,Bangalore[2006 LLR 1029] observed as follows:
"(a) There can be no claim towards gratuity for the years during which the employee remains absent without leave n had actually worked for less than 240days.
(b) Badli employees are not covered by the substantive part of the definition of continuous service n are not entitled to payment of gratuity for the badli period"
Hope you are satisfied.
From India, Salem
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