LatestCorporate Compliance 21 September 2026
India Gratuity Ruling Sparks Wage Shifts
The Supreme Court has ruled that principal employers cannot be held liable for gratuity payments to contract workers lacking a direct employment link. Concurrently, the EPFO net has widened to cover earnings up to ₹25,000, pension arrears now attract a 7.1% interest rate, the Fed's 2026 rate hike is rattling crypto markets, Indian automakers rely on about 90% temporary staff, and a new ₹25,000 monthly wage ceiling has been set under the Code on Social Security.
Supreme Court decision: Principal employers aren't liable for gratuity of contract workers without an employment link source.
- EPFO coverage now includes employees earning ₹10,000‑₹25,000 a month – the ₹15,000 cap is lifted EPFO.
- Pension arrears interest follows the General Provident Fund rate of 7.1% (Jul‑Sep 2026) pension.
- US Fed’s 2026 rate hike fuels crypto volatility, highlighted by Bitcoin’s reaction Fed.
- Indian automakers rely on ~90% temporary staff, sparking labor shortages and wage protests auto.
- New wage ceiling of ₹25,000 per month set under the 2020 Code on Social Security wage.
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