Enhanced Gratuity Ceiling from Rs 3.50 las to Rs 10 lacs with Retrospective Date 

AllBankingSolutions.com has time and again taken up the issue of enhanced gratuity ceiling from Rs.3.50 lacs to Rs 10 las for the bankers and employees other than that of central government wef 01/04/2006.   However,  Government of India has not been listening to the request of bankers and other employees.   Similarly, the issue of raising the income tax limit for leave encashment has been falling on defy ears. 

The recent developments clearly indicate that the issue of enhanced gratuity ceiling from the date when it was made applicable to central government for bankers is not likely to be accepted by government of India even if employees are able to put pressure from various forums etc. purely because in the Government of India nobody is bothered for such issues and has time to consider as they are aware that it is only a small number of voters and thus can not influence the trends of voting in any type of employees.

We are now of the opinion that the above issue can be resolved only through Court orders.   In the month of March 2012, we have uploaded an article from Mr N Pradeep Kumar, Advocate, Supreme Court under the heading "Central Government Can not Pick Out a Date from a Hat - Part I".   At that time we have promised that it will be followed up by more articles.   However, in view of illness of Mr Pradeep Kumar, he could not send us the next installments of the article.   A glance at the article indicates that the arguments given by Mr Kumar appears to be strong and there can be favourable decision provided the same is taken up seriously by a person who has knowledge of law and banking.

Now, Mr Pradeep Kumar has sent us Part II of the said article.  We give below the links for both the articles.  He is likely to follow up with more information.  We have been given to understand that he is planning to file a case if sufficient number of affected retired bankers and employees from other sector approach him.   However, he has informed that at present he is in Hyderabad and is lilkely to come back to Delhi sometime by September 2012. 

We give links to both the articles for benefit of our readers :-

(A) The Central Government Can Not Pick Out a Date from a Hat -  Part II" (uploaded on 30th July, 2012)

(B) The Central Government Can Not Pick Out a Date from a Hat - Part I (uploaded earlier in March, 2012)

The affected employees of the bank and other organisations, if they like the above articles, may contact the author directly for details and modalities for filing of the case.