ONGC directed to pay gratuity arrears with interest to 25 retired workers of Tripura Asset

The Central Deputy Chief Labour Commissioner (DCLC), Guwahati, has upheld an order directing Oil and Natural Gas Corporation (ONGC) to pay pending gratuity along with 10 percent interest to 25 retired employees of its Tripura Asset for their years of contingent service, a press statement issued by the ONGC Workers Union said.

The case is related to the service benefits of workers who were engaged as contingent workers in the 1990s and early 2000s for periods ranging from seven to 12 years before being regularised as Class III and Class IV employees.

Most of them have since retired, but the gratuity paid by ONGC was calculated only on the basis of their regular service, and their service period as contingent workers was excluded.

According to the press statement, the affected employees had submitted individual representations to the management before retirement, seeking inclusion of their contingent service period for gratuity calculation. Despite several rounds of discussions with the management between 2019 and 2024 and representations to the central labour authorities, the issue remained unresolved.

In late 2024, 25 retired workers filed complaints through the Union Labour Ministry’s grievance redressal portal, alleging violation of gratuity norms.

Acting on the complaints, the Assistant Labour Commissioner (Central), Silchar, issued notices to ONGC and the union and held multiple hearings.

After examining submissions and documents from both sides, the Silchar-based labour commissioner, in March 2025, directed ONGC to pay the arrears of gratuity for the contingent service period within 30 days, along with 10 percent interest.

ONGC’s Tripura Asset subsequently sought clarification from its headquarters in New Delhi and challenged the order before the DCLC, Guwahati.

After three rounds of hearings, the DCLC on January 27 upheld the March 2025 order and directed ONGC to release the dues with interest within 60 days, union officials said.

Each of the 25 retirees is expected to receive between Rs 1 lakh and Rs 7 lakh, with the total payout, including interest, estimated at around Rs 1.60 crore, the press statement undersigned by General Secretary of the Union Tushar Datta Majumder said.

ONGC officials were not immediately available for comment.