28 - Dec - 2020

Gratuity can be withheld, for recovery of dues - says Supreme Court.

The gratuity money of an employee can be withheld and forfeited for recovery of dues such as overstaying in official accommodation, the Supreme Court has ruled. A bench headed by justice Sanjay K Kaul held that, there is no prohibition against recovering dues including penal rent -- the rent with penalty for overstaying in official accommodation -- from an employee’s gratuity.

[Courtesy: The Hindustan Times: dated 27.12.2020]