Dear All,
I worked at a previous company named XXX TECHNOLOGIES PVT. LTD. from June 1995 to January 2016. The company has a gratuity scheme with LIC, but the company is not interested in paying the gratuity after receiving the payment from LIC.
Can we pursue the gratuity from the LIC DEPARTMENT with a legal approach? Please advise.
Email: kolachinaprasad@gmail.com
Thank you.
From India, Delhi
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I worked at a previous company named XXX TECHNOLOGIES PVT. LTD. from June 1995 to January 2016. The company has a gratuity scheme with LIC, but the company is not interested in paying the gratuity after receiving the payment from LIC.
Can we pursue the gratuity from the LIC DEPARTMENT with a legal approach? Please advise.
Email: kolachinaprasad@gmail.com
Thank you.
From India, Delhi
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Gratuity is supposed to be paid within 30 days of the claim becoming due. Delayed payments are to be with simple interest at the rate of 10%. You can complain with full details to the Labour officer about the delay and silence from your employer.
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Procedure for Payments of Gratuity
1. Application for gratuity
An employee shall apply within 30 days from the date the gratuity became payable, in Form 'I' to the employer.
2. Notice for payment of gratuity
Within fifteen days of the receipt of Form "I" for payment of gratuity, the employer shall issue a notice in Form 'L' to the employee, if the claim is found admissible on verification, specifying the amount of gratuity payable and fixing a date, not being later than the thirtieth day after the date of receipt of the application. If the claim for gratuity is not found admissible, issue a notice in Form 'M' to the applicant employee, specifying the reasons for rejection of the gratuity claim.
Note: In either case, a copy of the notice shall be endorsed to the controlling authority.
3. Application to controlling authority for direction
If an employer refuses to accept a nomination or to entertain an application (Form I), issues a notice for an amount of gratuity which is considered by the applicant less than what is payable, or rejects eligibility to payment of gratuity. If an employer, having received an application, fails to issue any notice (Form L or M) within the time specified therein, the claimant employee may, within ninety days of the occurrence of the cause for the application, apply in Form 'N' to the controlling authority for issuing a direction.
Note: Form "N" shall be sent by registered post acknowledgment due or personally to the controlling authority.
4. Procedure for dealing with application for direction
On receipt of a Form "N," the Controlling Authority issues a notice in Form 'O' to the employee as well as the employer to appear before him on a specified date, time, and place, either by himself or through his authorized representative together with all relevant documents and witnesses. After completion of the hearing, the Controlling Authority shall record his finding as to whether any amount is payable to the applicant under the Act. A copy of the finding shall be given to each of the parties. If the employer fails to appear on the specified date of hearing without sufficient cause, the controlling authority may proceed to hear and determine the application ex parte. If the applicant fails to appear on the specified date of hearing without sufficient cause, the controlling authority may dismiss the application.
5. Summoning and attendance of witnesses
The controlling authority at any stage of the proceedings issues summons (In Duplicate) to both parties in Form 'P' either to give evidence or to produce documents or for both purposes on a specified date, time, and place. The summons signed and returned by the person served before the date fixed.
6. Direction for payment of gratuity
Based on the finding and recorded statement, if the applicant is entitled to payment of gratuity under the Act, the controlling authority shall issue a notice to the employer in Form 'R' with the amount payable within thirty days from the date of the receipt of the notice, and a copy of the notice shall be sent to the applicant advised to contact the employer for collecting payment.
7. Application for recovery of gratuity
If the amount of gratuity payable is not paid by the employer within the prescribed time to the person, the controlling authority shall, on an application made to it in this behalf by the aggrieved person, issue a certificate for that amount to the Collector in Form "T" who shall recover the same, together with compound interest from the date of expiry of the prescribed time.
Note: Administrative Machinery under the Gratuity Act
All Deputy Labour Commissioners of the Labour Department have been appointed as Appellate Authority, and all Labour Officers and Assistant Labour Commissioners of the Labour Department have been appointed as Controlling Authority. Based on the above explanation, firstly, you should file a complaint in Form "N" to the area controlling authority, i.e., Labour Officers and Assistant Labour Commissioners, by registered post or personally.
I hope that it will be helpful for you.
Regards,
Amit
From India, Surat
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1. Application for gratuity
An employee shall apply within 30 days from the date the gratuity became payable, in Form 'I' to the employer.
2. Notice for payment of gratuity
Within fifteen days of the receipt of Form "I" for payment of gratuity, the employer shall issue a notice in Form 'L' to the employee, if the claim is found admissible on verification, specifying the amount of gratuity payable and fixing a date, not being later than the thirtieth day after the date of receipt of the application. If the claim for gratuity is not found admissible, issue a notice in Form 'M' to the applicant employee, specifying the reasons for rejection of the gratuity claim.
Note: In either case, a copy of the notice shall be endorsed to the controlling authority.
3. Application to controlling authority for direction
If an employer refuses to accept a nomination or to entertain an application (Form I), issues a notice for an amount of gratuity which is considered by the applicant less than what is payable, or rejects eligibility to payment of gratuity. If an employer, having received an application, fails to issue any notice (Form L or M) within the time specified therein, the claimant employee may, within ninety days of the occurrence of the cause for the application, apply in Form 'N' to the controlling authority for issuing a direction.
Note: Form "N" shall be sent by registered post acknowledgment due or personally to the controlling authority.
4. Procedure for dealing with application for direction
On receipt of a Form "N," the Controlling Authority issues a notice in Form 'O' to the employee as well as the employer to appear before him on a specified date, time, and place, either by himself or through his authorized representative together with all relevant documents and witnesses. After completion of the hearing, the Controlling Authority shall record his finding as to whether any amount is payable to the applicant under the Act. A copy of the finding shall be given to each of the parties. If the employer fails to appear on the specified date of hearing without sufficient cause, the controlling authority may proceed to hear and determine the application ex parte. If the applicant fails to appear on the specified date of hearing without sufficient cause, the controlling authority may dismiss the application.
5. Summoning and attendance of witnesses
The controlling authority at any stage of the proceedings issues summons (In Duplicate) to both parties in Form 'P' either to give evidence or to produce documents or for both purposes on a specified date, time, and place. The summons signed and returned by the person served before the date fixed.
6. Direction for payment of gratuity
Based on the finding and recorded statement, if the applicant is entitled to payment of gratuity under the Act, the controlling authority shall issue a notice to the employer in Form 'R' with the amount payable within thirty days from the date of the receipt of the notice, and a copy of the notice shall be sent to the applicant advised to contact the employer for collecting payment.
7. Application for recovery of gratuity
If the amount of gratuity payable is not paid by the employer within the prescribed time to the person, the controlling authority shall, on an application made to it in this behalf by the aggrieved person, issue a certificate for that amount to the Collector in Form "T" who shall recover the same, together with compound interest from the date of expiry of the prescribed time.
Note: Administrative Machinery under the Gratuity Act
All Deputy Labour Commissioners of the Labour Department have been appointed as Appellate Authority, and all Labour Officers and Assistant Labour Commissioners of the Labour Department have been appointed as Controlling Authority. Based on the above explanation, firstly, you should file a complaint in Form "N" to the area controlling authority, i.e., Labour Officers and Assistant Labour Commissioners, by registered post or personally.
I hope that it will be helpful for you.
Regards,
Amit
From India, Surat
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Payment of Gratuity Act, 1972 & The Rules.ppt
THE PAYMENT OF GRATUITY ACT 1972.doc