2026 LLR WEB 1099 (MADRAS HIGH COURT)
Employer's delay in payment of gratuity, though not caused by the employee, statutorily entitles the employee to interest under Section 7(3A).

PAYMENT OF GRATUITY - Interest on belated payment - Statutory liability under Section 7(3A) - Limitation plea - Pendency of larger Bench reference on "establishment" - Sections 7(3), 7(3A) and 9(2) of the Payment of Gratuity Act, 1972 - Petitioners, former employees of a temple administered under the HR&CE Act, sought a mandamus directing payment of 10% interest on gratuity that was admittedly paid belatedly, relying on an earlier Co-ordinate Bench order on an identical issue and a departmental circular directing disbursal of gratuity under the 1972 Act... subscribe to read more..