–Contributed by Deepak Miglani

Gratuity is an amount payable to an employee for the purpose of safeguarding his life after cessation of employment. It is to ensure that employee does not become destitute after retirement. It can be forfeited only when the misconducts as prescribed are committed by him resulting into his dismissal from service since the gratuity has statutory protection from civil, revenue or criminal court.No deduction can be made from the gratuity of an employee unless a notice of hearing has been issued to him.

A basic principle of natural justice is that before any action is taken, the affected person must be given notice to show cause against the proposed action and seek his explanation. Any order passed without giving notice is against the principles of natural justice and is void ab initio.

Even if there is no provision in the statute about giving of notice, if the order adversely affects the rights of an individual, the notice is required to be given. Further it is necessary that the notice must be clear, specific and un –ambiguous. The charges should not be vague and uncertain.