My friend was employed in a proprietor company for 3.6 years. The company has become Pvt Ltd with a different name. He has worked in the new company for 1.6 years. He closed his PF account in the proprietor company and opened a new PF account in Pvt Ltd. Is he eligible for gratuity.
From India, Chennai
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1From India, Chennai
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If new appointment letter mentions continuity of service, yes; otherwise no.
From India, Mumbai
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From India, Mumbai
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Strictly speaking, as per law, you are not eligible for gratuity. However, there are ways to prove that the business and the actual employer have not changed. This is referred to as piercing the corporate veil. You need to show that the actual entity is the same in both cases; the number of people, location, clients, and nature of the business has remained the same.
If you have this information, you can file a claim with your employer for gratuity. If he denies the claim, you can go to the commissioner and file an official complaint. If you can prove to the satisfaction required under the law, you will likely receive the gratuity.
If you cannot do this, you will obviously leave your job. Another question to consider is whether you really have the time and money to pursue this? Remember, it is not compulsory for the commissioner to rule in your favor. If the amount at stake is not very large, you may choose to skip it and move on.
From India, Mumbai
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If you have this information, you can file a claim with your employer for gratuity. If he denies the claim, you can go to the commissioner and file an official complaint. If you can prove to the satisfaction required under the law, you will likely receive the gratuity.
If you cannot do this, you will obviously leave your job. Another question to consider is whether you really have the time and money to pursue this? Remember, it is not compulsory for the commissioner to rule in your favor. If the amount at stake is not very large, you may choose to skip it and move on.
From India, Mumbai
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Gratuity Eligibility.pdf
Gratuity eligibility for less than 5 yrs. (4yrs.240days). docx