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Delhi HC On Forfeiture Of Gratuity

The Delhi High Court in two Union Bank of India cases observed in March 2022 that an employer has the right to forfeit gratuity of its employee sunder Section 4(6)(a) of the Payment of Gratuity Act, 1972 to the extent of loss or damaged caused by the employee. However, the damage must be quantified, opportunity afforded to employees to present their case and be heard before forfeiture.