In Brief
A widow sought gratuity entitlements for her deceased husband, a former employee of the Rajasthan State Road Transport Corporation, who had voluntarily resigned after 5 years of continuous service. The employer argued that gratuity was not payable upon resignation. The Supreme Court held that under the Payment of Gratuity Act, 1972, gratuity is payable upon termination of employment after 5 years of continuous service, and resignation constitutes a valid mode of termination. The Court directed the employer to calculate and pay the gratuity within four weeks.
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