In Brief
The Supreme Court held that Anganwadi workers and helpers are entitled to gratuity under the Payment of Gratuity Act, 1972. The appellants, who served 21-31 years as Anganwadi workers/helpers in Gujarat, had been denied gratuity. The Court found that Anganwadi centers constitute 'establishments' under the Act and workers are 'employees' entitled to gratuity as a statutory right. The remuneration paid, though styled as 'honorarium', qualifies as 'wages' under the Act's broad definition. The State Government is the appropriate employer. The Court distinguished the earlier decision in Ameerbi (which addressed civil service status, not gratuity entitlement) and directed extension of gratuity benefits to all eligible workers within three months, including simple interest at 10% per annum from the specified date.
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