Summary: A retired employee, Gundu Daji Desai, along with others, filed a lawsuit against Aplab Ltd. over a disagreement about gratuity payments. The High Court of Bombay made a decision on the case on March 7, 2026.
The issue started when Gundu Daji Desai, who used to be a Chief Regional Manager at Aplab Ltd., said he didn't receive his gratuity payment. His last monthly salary was ₹36,500. He quit in 2015 without giving the required three-month notice but offered to make up for two months.
Desai didn't initially submit the necessary paperwork for the gratuity claim. He approached the authority in charge in 2022 to get his payment, which was later than usual. Aplab Ltd. claimed that Desai had agreed to adjustments to what he was owed and that he didn't ask for the gratuity in time.
Decision by the Authority in Charge (Nov 9, 2023): Ordered Aplab Ltd. to pay ₹9,13,950 plus interest.
Appeal: Both sides appealed. Aplab Ltd. argued that "special allowance" shouldn't be part of the gratuity calculation and that the claim was late. Desai wanted a new calculation based on 26 days’ wages instead of 15.
The court said that interest should be added to the unpaid gratuity from when it was due until it is paid. But no interest was needed on the amount Aplab Ltd. had already paid.
The case was sent back to the Appellate Authority to check if the "special allowance" was similar to a cost of living allowance and to look over the documents again.
Both sides need to go to the Appellate Authority on March 23, 2026, for more discussions. The court expects a decision within eight weeks.
This case shows how complicated gratuity calculations can be and how important it is for both employees and employers to follow the rules.
