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Issues:
1. Claim for compassionate employment and monetary benefits by widow of deceased employee. 2. Discontinuation of scheme for providing employment on compassionate grounds. 3. Adjustment of gratuity towards outstanding loans of deceased employee. 4. Statutory duty of employer to pay gratuity and prohibition on adjustment before accrual. Analysis: Issue 1: Claim for Compassionate Employment and Monetary Benefits The petitioner, widow of a deceased employee, sought compassionate employment and monetary benefits after her husband's death while in service. The petitioner filed a writ petition when no action was taken on her application. The court noted the petitioner's challenge to the 2nd respondent's order discontinuing the scheme for providing employment to dependents of deceased employees. Issue 2: Discontinuation of Compassionate Employment Scheme The 2nd respondent defended the discontinuation of the compassionate employment scheme, stating it was an administrative and discretionary decision not governed by statute. The court acknowledged the evolving nature of such schemes and the discretion of organizations to modify or abolish them. The court upheld the discontinuation decision, considering organizational requirements and policy changes. Issue 3: Adjustment of Gratuity towards Outstanding Loans The petitioner contested the adjustment of gratuity towards outstanding loans of the deceased employee, arguing that gratuity is a statutory benefit payable upon employment termination. The 2nd respondent justified the adjustment based on the husband's written undertaking allowing such deductions. The court examined the statutory duty to pay gratuity and the prohibition on adjustments before accrual, ruling in favor of the petitioner for the gratuity amount. Issue 4: Statutory Duty to Pay Gratuity The court emphasized the statutory duty of the employer to pay gratuity as per the Act, calculated upon employment termination. It clarified that gratuity cannot be pledged or adjusted before accruing to the employee, as protected by relevant laws. The judgment directed the respondents to pay the accrued gratuity amount to the petitioner within a specified timeframe, emphasizing the legal protection of gratuity from adjustments. This comprehensive analysis highlights the legal intricacies surrounding the petitioner's claims for compassionate employment and gratuity benefits, the organizational discretion in discontinuing schemes, and the statutory obligations and protections related to gratuity payments.
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