- (1.) ALL the aforementioned writ petitions are taken up together since identical issues are involved and disposed of by this common judgment.
(2.) THESE writ petitions have been filed by several petitioners, who were employees of the Durgapur Steel Plant Alloys Steels Plant/bokaro steel Plant of the Steel Authority of India Ltd. (hereinafter referred to as sail), and who have since retired from service. The principal grievance of the writ petitioners emanates from the action of respondent authorities following two different methods in the matter of payment of gratuity to its employees.
(3.) THE petitioners have stated that the posts held by them before retirement were classified by the respondent authorities as "executive" posts and they were given limited amount of gratuity, upto a maximum ceiling of rupees one lakh upon their retirement. However, in case of other employees of SAIL, they were given gratuity without any ceiling for their entire period of service, classifying them as "non-executives". According to the petitioners, although there were certain baste conditions mentioned in their letter of appointment, the same were changed from time to time on the basis of bipartite settlement, entered into between the employers and the employees' union. The petitioners have also referred to the settlement, arrived at in the steel industry through the machinery of Joint Negotiating Committee. According to the petitioners, the National Joint Committee of Steel agreement, popularly known as NJCS, agreement provides under Chapter v Clause 5. 1 (e), which deals with retiring gratuity, that there shall be no ceiling or limit on the amount of gratuity payable. Referring to Section 4 (5)of the Payment of Gratuity Act, 1972 (hereinafter referred to as the said act), it has been submitted that it provides the right of an employee to receive better terms of gratuity under any agreement with the employer. It has also been submitted that the NJCS agreement, which was arrived at on 27th October, 1970, became part of the service conditions of the employees of SAIL, which included the petitioners. According to the petitioners, since there was no ceiling or limit on the amount of gratuity payable to those employees covered under the said NJCS agreement, they are also entitled to payment of gratuity without any ceiling for their entire period of service, like other employees as per provision of sub-section 5 of Section 4 of the said Act. It has also been stated by the petitioners that although the respondent authorities raised the ceiling of gratuity to Rupees one lakh in the year 1988 and included it in the SAIL Gratuity Rules, consistent with the statutory provisions, it was also provided in the SAIL Gratuity Rules that in respect of employees governed by the Memorandum of Agreement they would be given payment of gratuity as per the terms of the agreement.;