Jurisdiction of Controlling Authority and Principal Employer Liability for Gratuity Under Contract Labour

sketch of the Supreme Court of India
Case
M/S OIL AND NATURAL GAS CORPORATION LTD v. SURYAKAND D. LAD (Supreme Court of India, 09-09-2026)
Law
Payment of Gratuity Act, Contract Labour (Regulation and Abolition) Act, Payment of Wages Act.

Highlights of the Judgment:

  • Detailed examination of the jurisdiction of the Controlling Authority under the Payment of Gratuity Act, 1972.
  • Analysis of whether contract workers can claim gratuity from the principal employer absent an employer-employee relationship.
  • Interpretation of the scope of statutory powers limited strictly to computing gratuity amounts rather than adjudicating liability.
  • Interplay between the Contract Labour Act and wage statutes regarding principal employer obligations.