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Gratuity Bill for teachers

New Delhi, Nov. 26

Teachers could soon be entitled for gratuity benefits under the Payment of Gratuity Act, which is a central statute. A Bill to extend the benefits of gratuity to teachers, under the Central Gratuity Law, was introduced in the Lok Sabha here on Monday. The Bill — Payment of Gratuity (Amendment) Bill 2007, introduced by Mr Oscar Fernandes, Labour Minister, sought to amend the definition of “employee” under the existing Payment of Gratuity Act so as to bring ‘teachers’ under the coverage of that definition. The Supreme Court had in its judgment dated January 13, 2004, in Ahmedabad Private Primary Teachers Association vs Administrative Officer held that teachers are not entitled to gratuity under the Payment of Gratuity Act, contending that teachers do not answer the description of “employee” who are “skilled”, “semi-skilled” or “un-skilled”.

— Our Bureau

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