Pre-conditions to be satisfied by the employer before forfeiture of the gratuity: Delhi HC

On March 24, 2022, The Delhi High Court in Union Bank of India and Anr. vs. Sh. D.C. Chaturvedi & Anr. W.P.(C) 4486/2021 while reiterating the settled legal position with respect to forfeiture of gratuity observed that employer is legally entitled to forfeit the gratuity payable to its employee only after satisfaction of following pre-conditions i.e. (a) proper notice of forfeiture has to be issued to the employee, (b) the said notice has to contain the quantification of loss stated to be caused by the wilful omission or negligence of the employee and (c) an opportunity of being heard is to be given to the delinquent employee.