Seasonal staff of cane co-operatives in UP entitled to gratuity at 15 days wages: HC

The Allahabad High Court on Tuesday ruled that seasonal employees of sugarcane co-operative societies in the state who work for more than 240 days in a year are entitled to gratuity at the rate of 15 days wages.

The judgement was passed by Justice J J Munir on a petition filled by one Mahak Singh, a seasonal employee at a sugarcane co-operative in Deoband in Saharanpur district.

The court said that seasonal employees of sugarcane co-operative societies in UP would be governed by the provision of Payment of Gratuity Act to the exclusion of UP Co-operative Society Act with the U P Co-operative service Regulations, 1975.

Dinesh Rai, appearing on behalf of Singh, submitted before the court that though the petitioner was appointed as a seasonal employee, he had worked for more than 240 days every year and thus is entitled to be paid gratuity at 15 days wages and not 7 days wages.

The court said that even if an employee is employed in a seasonal establishment but works throughout the year, he would be entitled to receive gratuity worked out under section 4(2) of the Payment of Gratuity Act and not under the second provision at a reduced rate.