Mr. X a contract workman worked under a contractor Mr.Y rendered a continues service of 8 years in an manufacturing Plant ( viz Principal Employer) left the contractor without receiving his gratuity due to ignorance of his legal right to receive gratuity from his employer viz 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 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 whether the PE is obliged to pay gratuity to Mr.X.' and in the event of refusal of PE to entertain Mr.X calm , whether Mr.X can move the Controlling authority under PGA to seek resolution of his case. Mr.X has all necessary documents/ evidences to prove that he worked for 8 years of continuous service under the contaminator and in the manufacturing plant of PE


From India, Chennai
Mr.X can have valid claim with PE in the absence of Contractor's repudiation of demand from Mr.X the contract workman.

PE will be held liable to pay Gratuity to such contract wrkmen. In recent judgement in a case titled as Superintending Engineer V/s Appellate Authority, JLC Honorable High Court of Madras held that Inititial responsibility lies on the contractor to make payment of gratuity in view of section 21(4) of CLRA Act.

However if the Contractor fails to pay gratuity , the PE is bound to pay gratuity to the contract workman ( here Mr.X) can recover the same from the contractor's bill/dues. if PE also refuses to entertain r.X's claim , then Mr.X take recourse to Controlling Authority under PGA for realizing his claim




From India, Chennai
The Contract labour was an employee of the Contractor with whom he had worked continuously for eight years. He is eligible for gratuity from his Contractor. Nagaraj.N.K HR Manager
From India, Bengaluru
Let the employee file an application before Controlling Authority for claiming Gratuity by making Contractor and PE as Opposite party. Controlling Authority will pass an appropriate order based on facts of the case.
From India, Pune

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