Justice Jyotsna Rewal Dua of the Himachal Pradesh High Court, on June 16, 2026, restored full gratuity benefits to Desh Raj Mishra, a retired Primary Assistant Teacher from Kangra. The court held that the state government’s appeal against a payment order was filed nearly two years beyond the statutory limitation period and was therefore not maintainable.
Background of the Case
Mishra had approached the Controlling Authority, Kangra Zone, Dharamsala, under the Payment of Gratuity Act, 1972, seeking release of his gratuity. On November 1, 2022, the authority directed the state to pay Rs 1,48,846 along with 10 per cent annual interest from February 28, 2018, until actual payment.
The state challenged this order before the Deputy Labour Commissioner-cum-Appellate Authority on October 7, 2024. The appeal was dismissed on September 16, 2025, but the appellate authority reduced the interest rate to 9 per cent and restricted the interest period.
Court's Ruling on Limitation
The high court observed that under Section 7(7) of the Payment of Gratuity Act, 1972, appeals must be filed within 60 days from the date of the order, extendable by a further 60 days if sufficient cause is shown. Since the state’s appeal was filed after nearly two years, it was clearly barred by limitation. The court quashed the appellate order and restored the original order of the Controlling Authority.
“The appeal having been filed after a delay of nearly two years was hopelessly barred by limitation,” the court noted, emphasizing that the appellate authority had no jurisdiction to entertain it.
Impact of the Decision
The ruling ensures that Mishra receives the full gratuity amount of Rs 1,48,846 along with 10 per cent interest from February 28, 2018, as originally ordered. The decision underscores the importance of adhering to statutory timelines and provides relief to retired employees whose benefits are delayed by government appeals.
