Zilla Parishad Employees Covered Under Gratuity Act: Bombay High Court

The Bombay High Court (Nagpur Bench) ruled that Zilla Parishad employees are subject to the Payment of Gratuity Act, 1972, unless a particular exemption under Section 5 is granted, which was not applicable here.

The Court rejected the Zilla Parishad’s reliance on its own service rules, noting that the Act overrides them. The court further stated that under Section 4(6), gratuity can be forfeited if the employee is found guilty of moral turpitude.

The court partially allowed the writ petition by remanding the case to reconsider possible forfeiture under Section 4(6) as the employee faced a pending corruption trial.