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Corporate Law Firm in Ahmedabad, India > Blog > employee rights

Principal Employer Liable for Gratuity Despite Works Contract

  • August 11, 2025

The Hon’ble High Court of Telangana, in the case of Air India v. Appellate Authority & Others, Writ Petition No. 6479 of 2019 decided on 07.07.2025, held that a principal employer cannot escape liability for gratuity payments merely by labeling the arrangement as a works contract. FACTS Air India (hereinafter referred to as “the Petitioner”)…

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