Union Of India & Anr vs Manik Lal Banerjee

The Supreme Court ruled that the provisions of the Payment of Gratuity Act, 1972, specifically Section 4, apply to railway employees, including the Respondent, who was a Station Master. The Court held that the Railway Services (Pension) Rules, 1993 do not exclude the applicability of the Gratuity Act, and thus the Respondent is entitled to gratuity calculated with dearness allowance as per the Act. The Court upheld the Central Administrative Tribunal's order directing the payment of gratuity along with interest, affirming the principle that railway employees are covered under the Gratuity Act.