Hi Friends,
I would like to ask one question regarding gratuity payment. We have an employee who has been working in my company for the past 10 years, but in the last two years, he only worked for 180-200 days each year. So, my question is, do we have to pay him gratuity for eight (8) years or ten (10) years?
Tarun Gupta NKG Consultant
From India, Delhi
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1I would like to ask one question regarding gratuity payment. We have an employee who has been working in my company for the past 10 years, but in the last two years, he only worked for 180-200 days each year. So, my question is, do we have to pay him gratuity for eight (8) years or ten (10) years?
Tarun Gupta NKG Consultant
From India, Delhi
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He has worked for 200 days. But for how many days you have mad payment for. All with pay or without pay??
From India, Chennai
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From India, Chennai
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We paid him 186 days salary from 01 April,2011 to 31 March,2012 And 170 days salary from 01 April,2012 to 31 Jan,2013 He was absent rest of the days so is he eligible for last years gratuity or not
From India, Delhi
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From India, Delhi
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Upon examining just these facts, I can say he is not eligible for gratuity for these two years. There is a school of thought that information should have been given to the employee in advance. I do not subscribe to this view as the Act is very clear regarding eligibility.
From India, Chennai
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From India, Chennai
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Dear Gupta Consultant,
Based on my knowledge, you are required to pay gratuity for 10 years. My questions for you are:
1) Has any disciplinary action been taken against him for absenteeism?
2) Did he provide any medical certificates for the days he was absent?
In the court judgment, gratuity is determined based on the dates of joining and resignation. Kindly correct me if I am mistaken.
Regards
From India, KolhÄpur
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Based on my knowledge, you are required to pay gratuity for 10 years. My questions for you are:
1) Has any disciplinary action been taken against him for absenteeism?
2) Did he provide any medical certificates for the days he was absent?
In the court judgment, gratuity is determined based on the dates of joining and resignation. Kindly correct me if I am mistaken.
Regards
From India, KolhÄpur
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Actually, he is an old and loyal employee. My employer is willing to pay him. I am just asking this question to increase my knowledge.
1) Any disciplinary action taken against him regarding absences?
No, we didn't because, as I said, he is an old and loyal employee.
2) Did he provide any medical certificates for his absent days?
He did sometimes. We are paying him because he is an old member; he doesn't do any work.
From India, Delhi
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1) Any disciplinary action taken against him regarding absences?
No, we didn't because, as I said, he is an old and loyal employee.
2) Did he provide any medical certificates for his absent days?
He did sometimes. We are paying him because he is an old member; he doesn't do any work.
From India, Delhi
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Dear Forum,
As far as I have known, the number of "YEARS" in the calculation of Gratuity is from the Date of Joining (DOJ) to the Date of Leaving (DOL). For example, if a person joins on the 18th of June 2005 and leaves the job after 4 years and 240 days in the fifth year, then you should pay them Gratuity for 5 years. Here, there is no question of Calendar Year or Financial Year; it should be from DOJ to DOL.
Regards,
RK
From India, Mumbai
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As far as I have known, the number of "YEARS" in the calculation of Gratuity is from the Date of Joining (DOJ) to the Date of Leaving (DOL). For example, if a person joins on the 18th of June 2005 and leaves the job after 4 years and 240 days in the fifth year, then you should pay them Gratuity for 5 years. Here, there is no question of Calendar Year or Financial Year; it should be from DOJ to DOL.
Regards,
RK
From India, Mumbai
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No, that may not be true. The Department of Justice (DOJ) may not be the basis for calculation. Most employees are starting from probation. You are not deducting his salary for anything. Upon confirmation, he is eligible for increments, PF, and gratuity; hence, the calculation is based on confirmation and date of leaving.
From India, Delhi
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From India, Delhi
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Please note that there will not be a probationary period for all employees, or a probationary period is not compulsory in all companies. I have expressed my opinion in general terms. Please do not dismiss any opinions outright.
Regards,
RK
From India, Mumbai
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Regards,
RK
From India, Mumbai
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Probation periods are included for all statutory benefits such as gratuity, PF, Bonus, etc. The question raised here is not whether probation is included or not. It is settled that the probationary period, if any, will be included for the purpose of calculating gratuity. The question pertains to an employee who did not complete 240 days in a year.
From India, Chennai
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From India, Chennai
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