Mr. X, a contract workman, worked under a contractor, Mr. Y, and rendered continuous service for 8 years in a manufacturing plant (viz Principal Employer). He left the contractor without receiving his gratuity due to his ignorance of his legal right to receive gratuity from his employer, viz the contractor.
After 6 months of leaving, Mr. X staked his claim for gratuity with Mr. Y. The contractor, Y, negated his claim. Thereupon, Mr. X made a claim with the Principal Employer for gratuity, stating that the contractor had declined his claim. The fact remains that the contractor, Mr. Y, still works for the principal employer, employing 300 contract workmen in his fold, in the same manufacturing plant of PE.
The question is whether the PE is obliged to pay gratuity to Mr. X. In the event of the refusal of the PE to entertain Mr. X's claim, whether Mr. X can move the Controlling Authority under PGA to seek the resolution of his case. Mr. X has all necessary documents/evidence to prove that he worked for 8 years of continuous service under the contractor and in the manufacturing plant of PE.
ANONYMOUS
From India, Chennai
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56After 6 months of leaving, Mr. X staked his claim for gratuity with Mr. Y. The contractor, Y, negated his claim. Thereupon, Mr. X made a claim with the Principal Employer for gratuity, stating that the contractor had declined his claim. The fact remains that the contractor, Mr. Y, still works for the principal employer, employing 300 contract workmen in his fold, in the same manufacturing plant of PE.
The question is whether the PE is obliged to pay gratuity to Mr. X. In the event of the refusal of the PE to entertain Mr. X's claim, whether Mr. X can move the Controlling Authority under PGA to seek the resolution of his case. Mr. X has all necessary documents/evidence to prove that he worked for 8 years of continuous service under the contractor and in the manufacturing plant of PE.
ANONYMOUS
From India, Chennai
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Mr. X can have a valid claim with PE in the absence of the Contractor's repudiation of the demand from Mr. X, the contract workman.
PE will be held liable to pay gratuity to such contract workmen. In a recent judgment in a case titled "Superintending Engineer V/s Appellate Authority," JLC Honorable High Court of Madras held that the initial responsibility lies with the contractor to make the payment of gratuity in view of section 21(4) of the CLRA Act.
However, if the Contractor fails to pay gratuity, the PE is bound to pay gratuity to the contract workman (here Mr. X) and can recover the same from the contractor's bill/dues. If the PE also refuses to entertain Mr. X's claim, then Mr. X can take recourse to the Controlling Authority under PGA for realizing his claim.
Panchseen
P. Senthilkumar
Email: senprithvib6@gmail.com
Phone: 9884009193
From India, Chennai
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PE will be held liable to pay gratuity to such contract workmen. In a recent judgment in a case titled "Superintending Engineer V/s Appellate Authority," JLC Honorable High Court of Madras held that the initial responsibility lies with the contractor to make the payment of gratuity in view of section 21(4) of the CLRA Act.
However, if the Contractor fails to pay gratuity, the PE is bound to pay gratuity to the contract workman (here Mr. X) and can recover the same from the contractor's bill/dues. If the PE also refuses to entertain Mr. X's claim, then Mr. X can take recourse to the Controlling Authority under PGA for realizing his claim.
Panchseen
P. Senthilkumar
Email: senprithvib6@gmail.com
Phone: 9884009193
From India, Chennai
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Kami Export - Negative Covenant in Contract of Employment.pdf (1).pdf