Dear Sankar,
With due respect to your information, it is nowhere written as 'four years & six months service' in the judgment announced by the Hon'ble Madras High Court.
With Regards,
R.N. Khola
From India, Delhi
With due respect to your information, it is nowhere written as 'four years & six months service' in the judgment announced by the Hon'ble Madras High Court.
With Regards,
R.N. Khola
From India, Delhi
Dear Mohana Pathma Priya,
Your Gratuity Calculator.XLS is interesting. Good attempt. However, there is a mistake in the calculations.
As per the Payment of Gratuity Act, 1972, the payment of gratuity is calculated on a full year and not a partial year, i.e., on a pro-rata monthly basis.
It means that if you have completed 5 years of continuous service, you are eligible for gratuity. But if your service is 5 years and 1 month (i.e., up to 6 months), it is considered as only 5 years and not for 5.1 years. Similarly, if it is 5 years and 7 months (i.e., more than 6 months), it is to be paid for 6 years and not 5 years and 7 months on a pro-rata basis.
You may correct your calculator accordingly for the benefit of other junior HR fraternity.
With kindest regards,
J N Pathak
09825303208
Mohana Pathma Priya
Re: Clarifications on Payment of Gratuity Act, 1972
Dear Mr. Murthy,
Please find attached for your information. If you need more information.
Thanks & Regards,
Mohana S
Attached Files:
GRATUITY.ppt (101.0 KB, 13 views)
Gratuity Calculator.xls (18.5 KB)
From India, Ahmadabad
Your Gratuity Calculator.XLS is interesting. Good attempt. However, there is a mistake in the calculations.
As per the Payment of Gratuity Act, 1972, the payment of gratuity is calculated on a full year and not a partial year, i.e., on a pro-rata monthly basis.
It means that if you have completed 5 years of continuous service, you are eligible for gratuity. But if your service is 5 years and 1 month (i.e., up to 6 months), it is considered as only 5 years and not for 5.1 years. Similarly, if it is 5 years and 7 months (i.e., more than 6 months), it is to be paid for 6 years and not 5 years and 7 months on a pro-rata basis.
You may correct your calculator accordingly for the benefit of other junior HR fraternity.
With kindest regards,
J N Pathak
09825303208
Mohana Pathma Priya
Re: Clarifications on Payment of Gratuity Act, 1972
Dear Mr. Murthy,
Please find attached for your information. If you need more information.
Thanks & Regards,
Mohana S
Attached Files:
GRATUITY.ppt (101.0 KB, 13 views)
Gratuity Calculator.xls (18.5 KB)
From India, Ahmadabad
Dear All For the calcualtion of gratuity Basic salary +DA /26*15*number of year complited . regards santosh
From India, Mumbai
From India, Mumbai
Hi R.N.Khola,
Can you help me regarding gratuity? I have been working in an ISO standard BPO from 2005 until the present date, and I will be resigning on 31 March 2011. In the first year, from October 2005 to October 2006, I was not directly on the company's payroll (probation period), but from October 2006 until now, I have been on the company's payroll. I have completed a total of 5 1/2 years, so my question is, am I eligible for gratuity or not?
I have inquired with my company, and they have informed me that I am not eligible based on the period from October 2005 to October 2006, as I was not on the company's payroll during that time.
Please assist me with this matter as soon as possible.
Thank you,
Sangeeta W.
From India, Mumbai
Can you help me regarding gratuity? I have been working in an ISO standard BPO from 2005 until the present date, and I will be resigning on 31 March 2011. In the first year, from October 2005 to October 2006, I was not directly on the company's payroll (probation period), but from October 2006 until now, I have been on the company's payroll. I have completed a total of 5 1/2 years, so my question is, am I eligible for gratuity or not?
I have inquired with my company, and they have informed me that I am not eligible based on the period from October 2005 to October 2006, as I was not on the company's payroll during that time.
Please assist me with this matter as soon as possible.
Thank you,
Sangeeta W.
From India, Mumbai
Dear Sangeeta W,
You have mentioned that you were not on the direct payroll of the establishment and at the same time, you are stating that you were on probation from October 2005 to October 2006. With whom were you on probation? If you were not on the payroll of the establishment during this period, i.e., from October 2005 to September 2006, then you are not eligible to receive gratuity from the employer.
R.N. Khola
From India, Delhi
You have mentioned that you were not on the direct payroll of the establishment and at the same time, you are stating that you were on probation from October 2005 to October 2006. With whom were you on probation? If you were not on the payroll of the establishment during this period, i.e., from October 2005 to September 2006, then you are not eligible to receive gratuity from the employer.
R.N. Khola
From India, Delhi
hi sir, may i kw about section 7a PGA 1972 and actual calculation of payment of gratiuity. waitinf for ur prompt answer..... Rgds. Gaurav Oberoi
From India, Bangalore
From India, Bangalore
Dear Gaurav,
We do not find sec. 7a in PG Act, 1972. There happen to be section 7(1) & 7A under this Act. Sec.7(1) may be read as under while section 7A relates to appointment of inspectors.
7. Determination of the amount of gratuity.—
(1) A person who is eligible for payment of gratuity under this Act or any person authorised, in writing to act on his behalf shall send a written application to the employer, within such time and in such form, as may be prescribed, for payment of such gratuity.
Calculation of gratuity is to be done as per sec. 4 of this Act & the same has already been provided by the members.
R.N.KHOLA
(Labour Law Consultants)
From India, Delhi
We do not find sec. 7a in PG Act, 1972. There happen to be section 7(1) & 7A under this Act. Sec.7(1) may be read as under while section 7A relates to appointment of inspectors.
7. Determination of the amount of gratuity.—
(1) A person who is eligible for payment of gratuity under this Act or any person authorised, in writing to act on his behalf shall send a written application to the employer, within such time and in such form, as may be prescribed, for payment of such gratuity.
Calculation of gratuity is to be done as per sec. 4 of this Act & the same has already been provided by the members.
R.N.KHOLA
(Labour Law Consultants)
From India, Delhi
Hi there,
One of the employees has been terminated by the company. My question is whether he is eligible for gratuity or not, as he has not completed 5 years of service. His details are given below:
Date Of Joining: 01/01/2007
Date Of Termination: 08/09/2011
Regards,
Pranav
From India, Vadodara
One of the employees has been terminated by the company. My question is whether he is eligible for gratuity or not, as he has not completed 5 years of service. His details are given below:
Date Of Joining: 01/01/2007
Date Of Termination: 08/09/2011
Regards,
Pranav
From India, Vadodara
Dear all,
According to the Gratuity Act of 1972, this Act applies to every factory and organization. To be eligible for gratuity, the minimum employment period is 5 years. If an employee has completed 4 years and 7 months in any organization, should they be considered for gratuity? If so, why?
Can anyone please provide clarification on this matter?
With best regards,
Ram Mohan Prajapati
Human Resource Department
M - 9868612124
From India, Delhi
According to the Gratuity Act of 1972, this Act applies to every factory and organization. To be eligible for gratuity, the minimum employment period is 5 years. If an employee has completed 4 years and 7 months in any organization, should they be considered for gratuity? If so, why?
Can anyone please provide clarification on this matter?
With best regards,
Ram Mohan Prajapati
Human Resource Department
M - 9868612124
From India, Delhi
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