Case Law Analysis
|Madhya Pradesh High Court
Payment of Gratuity Act | Employer Liable for 4% Interest on Delayed Gratuity Despite Qualification Dispute : MP HC Jabalpur
The Madhya Pradesh High Court ruled that employers must pay 4% per annum interest on delayed gratuity payments, even if the employee's qualifications are later challenged. The court held that once an employee is allowed to work until superannuation, disputes over qualifications cannot justify withholding statutory benefits, reinforcing employer liability for delayed payments under the Payment of Gratuity Act.