I completed 4 years and 8 months on 5 August in my current company, and I plan to move out seeking new ventures. However, my appointment letter does not state any gratuity benefits. Therefore, my questions are:
1) Will I be entitled to receive gratuity after completing 4 years and 8 months?
2) If my appointment letter does not mention any gratuity payouts, will I still be able to receive the gratuity amount based on the Gratuity Act?
Your response would be highly appreciated.
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71) Will I be entitled to receive gratuity after completing 4 years and 8 months?
2) If my appointment letter does not mention any gratuity payouts, will I still be able to receive the gratuity amount based on the Gratuity Act?
Your response would be highly appreciated.
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what does your company policy or HR manual say about Gratuity?
From India, Delhi
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From India, Delhi
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Whether your appointment order mentions gratuity or not does not matter. If the company has more than 10 employees, it would generally fall under the provisions of the Payment of Gratuity Act. Four years and eight months of service may not make you eligible for gratuity as the act prescribes five years of continuous service.
From India, Pune
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From India, Pune
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Mr. Rahul: There is no such policy, HR manual, or HR booklet in my company.
Mr. Nathrao: Earlier today, I spoke to one of my ex-HR Managers who informed me that 8 months is calculated as 1 year in the Gratuity Act. So, if an employee works for 4 years and 8 months, he would still be eligible for Gratuity.
Since I was not sure about this, I have used this forum so that experienced professionals can help me in making a decision.
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Mr. Nathrao: Earlier today, I spoke to one of my ex-HR Managers who informed me that 8 months is calculated as 1 year in the Gratuity Act. So, if an employee works for 4 years and 8 months, he would still be eligible for Gratuity.
Since I was not sure about this, I have used this forum so that experienced professionals can help me in making a decision.
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Please refer attachment. Will be of great ise to you. There are many posts on the same
From India, Chennai
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From India, Chennai
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Dear Aniskhane,
If payment of gratuity is mentioned or not mentioned in the appointment order, it is irrespective. You will be eligible for gratuity. The Payment of Gratuity (Second Amendment) Act, 1984 clarifies that if an employee completes 4 years and 8 months of service with more than 10 employees in that organization, they will be eligible for gratuity. i.e., 240 days = 1 year where the company follows a 5-day workweek.
The formula for gratuity is as follows: Payment of Gratuity = Basic salary * Number of years of service * 15/26.
Hope this may help you. Seniors, please correct me if I am wrong.
Thank you
From India, Hyderabad
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If payment of gratuity is mentioned or not mentioned in the appointment order, it is irrespective. You will be eligible for gratuity. The Payment of Gratuity (Second Amendment) Act, 1984 clarifies that if an employee completes 4 years and 8 months of service with more than 10 employees in that organization, they will be eligible for gratuity. i.e., 240 days = 1 year where the company follows a 5-day workweek.
The formula for gratuity is as follows: Payment of Gratuity = Basic salary * Number of years of service * 15/26.
Hope this may help you. Seniors, please correct me if I am wrong.
Thank you
From India, Hyderabad
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Dear Uma Maley,
The basic condition for qualifying gratuity payment under the act is still 5 years of continuous service. However, in order to count 01 year of continuous (uninterrupted) service, the below is used:
In the case of an employee who is not in uninterrupted service for one year, he shall be deemed to be in continuous service if he has been actually employed by an employer during the twelve months immediately preceding the year for not less than:
(i) 190 days, if employed below the ground in a mine, or
(ii) 240 days, in any other case, except when he is employed in a seasonal establishment.
Please note that the 240 days (generally referred to as 08 months) has been taken on the basis of Point (i), which initially reformed to count 01 year of service for the mid-period (1st to 4th year of service). This means if an employee works for 240 or more days in a service year, then it will be counted as 01 year. That does not mean 240 days will be equal to the 5th year. First, the employee needs to complete the 5th year, and only then can the 240 days grace be taken. This is my opinion based on the language drafted in the Act.
However, there are cases (court verdicts) where employees received gratuity for 4 years and 08 months of service, but still, there is no amendment in the basic Act that shows the eligible period as 4 years 08 months. Hence, in the first instance, the company (employer) can deny paying the gratuity for less than 5 years of service. But if the employee takes the case to court and the lawyer provides examples of previous court verdicts, the court may direct the employer to pay the gratuity.
There have been many discussions on this topic, and it remains a significant topic for HR professionals. I hope my points are clear. Fellow members can shed more light or correct me.
From India, Delhi
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The basic condition for qualifying gratuity payment under the act is still 5 years of continuous service. However, in order to count 01 year of continuous (uninterrupted) service, the below is used:
In the case of an employee who is not in uninterrupted service for one year, he shall be deemed to be in continuous service if he has been actually employed by an employer during the twelve months immediately preceding the year for not less than:
(i) 190 days, if employed below the ground in a mine, or
(ii) 240 days, in any other case, except when he is employed in a seasonal establishment.
Please note that the 240 days (generally referred to as 08 months) has been taken on the basis of Point (i), which initially reformed to count 01 year of service for the mid-period (1st to 4th year of service). This means if an employee works for 240 or more days in a service year, then it will be counted as 01 year. That does not mean 240 days will be equal to the 5th year. First, the employee needs to complete the 5th year, and only then can the 240 days grace be taken. This is my opinion based on the language drafted in the Act.
However, there are cases (court verdicts) where employees received gratuity for 4 years and 08 months of service, but still, there is no amendment in the basic Act that shows the eligible period as 4 years 08 months. Hence, in the first instance, the company (employer) can deny paying the gratuity for less than 5 years of service. But if the employee takes the case to court and the lawyer provides examples of previous court verdicts, the court may direct the employer to pay the gratuity.
There have been many discussions on this topic, and it remains a significant topic for HR professionals. I hope my points are clear. Fellow members can shed more light or correct me.
From India, Delhi
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Uma Maley had mentioned that as per the 1984 amendment, the eligibility period is 4 years and 8 months. Would you please share the text of the amendment? Kindly read Section 4 and Section 2A of the Payment of Gratuity Act 1972 before making comments.
Appreciations to Pan Singh Dangwal for the clarification.
From India, Madras
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Appreciations to Pan Singh Dangwal for the clarification.
From India, Madras
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Dear Sir, is there any ceiling of year for gratuity payment. if any employee work 40 year in same company then payable gratuity payment will be for 40 year complete or less. kindly advise
From India, Indore
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From India, Indore
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Hi, 4 Years 8 months it doesn’t matter,You have to complete 240 days (ie,Saturday Working days) or 190 days ( Saturday holiday).Its enough to getting gratuity.
From India, Coimbatore
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From India, Coimbatore
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Dear Friend,
As an aspirant for gratuity due to a job change, you consider yourself eligible for gratuity based on information received. The law states that one becomes eligible for gratuity after completing 5 years of service. Neither I nor any members of the forum have the power to change the law to make someone eligible.
There is no issue if your employer is considering paying you gratuity; it is a welcome decision. Otherwise, complete 5 years of service to receive gratuity and leave. Pursue legal action only if you fall short by 4.8 years.
Kind regards,
From India, Mumbai
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As an aspirant for gratuity due to a job change, you consider yourself eligible for gratuity based on information received. The law states that one becomes eligible for gratuity after completing 5 years of service. Neither I nor any members of the forum have the power to change the law to make someone eligible.
There is no issue if your employer is considering paying you gratuity; it is a welcome decision. Otherwise, complete 5 years of service to receive gratuity and leave. Pursue legal action only if you fall short by 4.8 years.
Kind regards,
From India, Mumbai
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Learned HR Professionals,
On this forum, I am learning new things every time about Gratuity eligibility at 4 years & 8 months / 4 years & 240 days, and so on. This matter is well-discussed on this forum on many occasions. If there is an amendment, namely the Payment of Gratuity (Second Amendment) Act, 1984, clarifying that if an employee completes 4 years and 8 months of service, he is eligible for gratuity, then what has been discussed up till now has no meaning. Even the case laws discussed are nullity or void. I concur with our learned Prabhat ji to some extent. What he said is not applicable in TN and Kerala.
From India, Mumbai
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On this forum, I am learning new things every time about Gratuity eligibility at 4 years & 8 months / 4 years & 240 days, and so on. This matter is well-discussed on this forum on many occasions. If there is an amendment, namely the Payment of Gratuity (Second Amendment) Act, 1984, clarifying that if an employee completes 4 years and 8 months of service, he is eligible for gratuity, then what has been discussed up till now has no meaning. Even the case laws discussed are nullity or void. I concur with our learned Prabhat ji to some extent. What he said is not applicable in TN and Kerala.
From India, Mumbai
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The gratuity will be paid based on the date of joining and completion of years of service. It is not based on 4 years and 216 days. If the person crosses 5 years of service within that 216 days, then he needs to be paid. In other words, based on the date of joining of an employee, the day when he completes 5 years of service, he will be eligible to receive the gratuity. However, the calculation will be rounded off to the next higher or lower fraction after his 5 years' completion. So, no one will be eligible to receive gratuity if they have not completed 5 years of service.
The gratuity will be paid when an employee dies before completing 5 years of service, and it will be paid to the dependent family member or nominee.
Deepak Pawar
PUNE
From India, Pune
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The gratuity will be paid when an employee dies before completing 5 years of service, and it will be paid to the dependent family member or nominee.
Deepak Pawar
PUNE
From India, Pune
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Dear Learned Contributors,
There have been instances and court verdicts wherein the claim of Gratuity was approved upon completion of a continuous service of 4 years and 240 days also. The case of Mettur Beardshell Ltd Vs RLC, as decided by the honorable Madras High Court in 1987, is submitted as precedent, while in many cases the judgment went against the aforesaid. Hence, there is a probability that the court may deem completion of 4 years and 240 days as eligible for Gratuity payment. Attached is an extract of the same.
Regards,
Rahul Chhabra
From India, Delhi
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There have been instances and court verdicts wherein the claim of Gratuity was approved upon completion of a continuous service of 4 years and 240 days also. The case of Mettur Beardshell Ltd Vs RLC, as decided by the honorable Madras High Court in 1987, is submitted as precedent, while in many cases the judgment went against the aforesaid. Hence, there is a probability that the court may deem completion of 4 years and 240 days as eligible for Gratuity payment. Attached is an extract of the same.
Regards,
Rahul Chhabra
From India, Delhi
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4 Years 8 months (240 days) (ie,Saturday Working days) or 190 days ( Saturday (or Alternate) & Sunday holiday).Its enough to getting gratuity.
From India, Mumbai
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From India, Mumbai
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Dear Anil ji,
Greetings!
This forum is an open platform, and anyone is free to write anything here. As an HR professional, you are supposed to be an expert above all. When talking or writing, an HR professional should be very careful and studious, particularly when using the title of HR Professional.
I am sorry to have to address this to an HR Professional, but you need to study the PoG Act, rules, and case laws associated with it. Please remember that our focus here is on discussing the law, not the practices you have adopted. While differing views are welcome, they should be supported with logical reasoning.
I am here to learn from members like you.
From India, Mumbai
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Greetings!
This forum is an open platform, and anyone is free to write anything here. As an HR professional, you are supposed to be an expert above all. When talking or writing, an HR professional should be very careful and studious, particularly when using the title of HR Professional.
I am sorry to have to address this to an HR Professional, but you need to study the PoG Act, rules, and case laws associated with it. Please remember that our focus here is on discussing the law, not the practices you have adopted. While differing views are welcome, they should be supported with logical reasoning.
I am here to learn from members like you.
From India, Mumbai
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Dear members, rightly said by Mr. Keshav Korgaonkar. Preferably, we should talk about the law as drafted in the Act. However, there could be a different scenario in any particular case; that doesn't mean a change in the law. I very well explained the matter of 4 years 240 days (8 months) on thread No. #07, which was appreciated by Mr. KCS Kutty as well. Still, many members mentioned it as a law or eligibility. Be very clear that there is no Amendment issued in the Act. As per the act, gratuity is still payable after completing 5 years of continuous service (in general cases); however, in the case of death and disability, the 5-year condition is not applicable. Hope senior members agree with my point or correct me if I am wrong...
From India, Delhi
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From India, Delhi
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Yes! Not long ago, I had a bad situation and wrote an Appointment Letter, but my letter was ignored! So, that is it! I changed my service to https://thewritemyessay.com/. Now, I am happy that I use this site! Click on the link and enjoy it!
From Ukraine
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From Ukraine
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Dear Anish,
Eligibility is 5 years of continuous service; this is the criteria for eligibility, not essential for detail and disablement. For example, if a person has worked for 5 years and 6 months, it is deemed as 6 years of service, and less than 6 months is not to be considered.
Section 4 of the Payment of Gratuity Act, 1972, provides that an employee will be entitled to gratuity on completion of continuous service of 5 years. While clarifying the 5 years of complete service, the Andhra Pradesh High Court in P. Raghuvulu and Sons v. Additional Labour Court, [1985], held that the minimum period for becoming eligible for the payment of gratuity should not be less than 5 years, as it should be complete 5 years of service.
Thanks,
Baban Patil
Cheers!
From India, Mumbai
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Eligibility is 5 years of continuous service; this is the criteria for eligibility, not essential for detail and disablement. For example, if a person has worked for 5 years and 6 months, it is deemed as 6 years of service, and less than 6 months is not to be considered.
Section 4 of the Payment of Gratuity Act, 1972, provides that an employee will be entitled to gratuity on completion of continuous service of 5 years. While clarifying the 5 years of complete service, the Andhra Pradesh High Court in P. Raghuvulu and Sons v. Additional Labour Court, [1985], held that the minimum period for becoming eligible for the payment of gratuity should not be less than 5 years, as it should be complete 5 years of service.
Thanks,
Baban Patil
Cheers!
From India, Mumbai
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Dear Baban Patil Sir,
I kindly request you to provide the full citation details of the case, including the reference to LLR/CLR/FLR/LLJ, not just the year.
The case in question is Andhra Pradesh High Court in P. Raghuvulu and Sons v. Additional Labour Court, [1985].
If you have the soft copy available, please share it on this thread.
Regards,
From India, Andheri
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I kindly request you to provide the full citation details of the case, including the reference to LLR/CLR/FLR/LLJ, not just the year.
The case in question is Andhra Pradesh High Court in P. Raghuvulu and Sons v. Additional Labour Court, [1985].
If you have the soft copy available, please share it on this thread.
Regards,
From India, Andheri
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1. If you have worked for more than 240 days in the fifth year of your service, you are entitled to gratuity.
2. Your entitlement to gratuity does not depend on what is or what is not written in your letter of appointment. If there are 10 or more employees in the company and you have worked for at least 5 years, then you are entitled to gratuity.
From India, Kolkata
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2. Your entitlement to gratuity does not depend on what is or what is not written in your letter of appointment. If there are 10 or more employees in the company and you have worked for at least 5 years, then you are entitled to gratuity.
From India, Kolkata
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You are entitled to gratuity once you have completed 4 years and 240 days. However, if the company is deducting the gratuity from your salary, you are still entitled to gratuity. If you have problems in claiming gratuity, please approach the Gratuity Inspector, the competent authority, for gratuity.
From India, Mumbai
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From India, Mumbai
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Dear sir,
I want to prepare a circular for informing all the employees applying for gratuity from 01.04.2017 as per our company's terms. However, I can't understand how to write this.
Please suggest a format for issuing a formal circular on behalf of the company. I am not an HR expert.
From India, Noida
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I want to prepare a circular for informing all the employees applying for gratuity from 01.04.2017 as per our company's terms. However, I can't understand how to write this.
Please suggest a format for issuing a formal circular on behalf of the company. I am not an HR expert.
From India, Noida
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Hi all,
Please see what Section 4 in The Payment of Gratuity Act, 1972 says:
Gratuity shall be payable to an employee on the termination of his employment after he has rendered continuous service for not less than five years,—
(a) on his superannuation, or
(b) on his retirement or resignation, or
(c) on his death or disablement due to accident or disease:
Word termination is important for considering continuous service. No gratuity shall be payable to employee if s/he resigns of his / her own before completion 5 year of service.
From India, Mumbai
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Please see what Section 4 in The Payment of Gratuity Act, 1972 says:
Gratuity shall be payable to an employee on the termination of his employment after he has rendered continuous service for not less than five years,—
(a) on his superannuation, or
(b) on his retirement or resignation, or
(c) on his death or disablement due to accident or disease:
Word termination is important for considering continuous service. No gratuity shall be payable to employee if s/he resigns of his / her own before completion 5 year of service.
From India, Mumbai
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Mr. Nathrao: Earlier today, I spoke to one of my ex HR Managers who apprised me, saying that 8 months are calculated as 1 year in the Gratuity Act. So, if an employee works for 4 years and 8 months, he would still be eligible for Gratuity.
Dear Anish,
With regard to the statement above, I would add that 5 years of continuous service, as defined in the Act, is necessary to claim gratuity. Your claim to gratuity does not arise on the 241st day of the 5th year (4 years, 241 days). The claim arises only upon completing 5 years, and in the last year, the worker/employee must have served for 240 days.
Court orders may be issued due to specific reasons or facts in a particular case. HR cannot be compelled to pay gratuity based on a Honorable court decision from another state or an earlier decision. HR will simply advise the claimant to obtain a court order to this effect in their particular case.
[Comments on Indian Laws: METTUR BEARDSELL LTD, Madras vs. REGIONAL LABOUR COMMISSIONER (CENTRAL) - ELIGIBILITY FOR GRATUITY](http://rvseckarindianlaws.blogspot.com/2011/02/mettur-beardsell-ltd-madras-vs-regional.html)
From India, Pune
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Dear Anish,
With regard to the statement above, I would add that 5 years of continuous service, as defined in the Act, is necessary to claim gratuity. Your claim to gratuity does not arise on the 241st day of the 5th year (4 years, 241 days). The claim arises only upon completing 5 years, and in the last year, the worker/employee must have served for 240 days.
Court orders may be issued due to specific reasons or facts in a particular case. HR cannot be compelled to pay gratuity based on a Honorable court decision from another state or an earlier decision. HR will simply advise the claimant to obtain a court order to this effect in their particular case.
[Comments on Indian Laws: METTUR BEARDSELL LTD, Madras vs. REGIONAL LABOUR COMMISSIONER (CENTRAL) - ELIGIBILITY FOR GRATUITY](http://rvseckarindianlaws.blogspot.com/2011/02/mettur-beardsell-ltd-madras-vs-regional.html)
From India, Pune
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Gratuity Act is applicable to all employees of an organization. It clearly states that if an employee has completed 4 years and 8 months, then he will be paid gratuity. The amount is calculated as follows: (Last Basic Salary Drawn/26) * 15 * No. of Years. Here, the number of years will be 5. For reference, you can check the Gratuity Act.
Note: The amount is non-taxable up to 20 Lakhs.
From India, Hyderabad
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Note: The amount is non-taxable up to 20 Lakhs.
From India, Hyderabad
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I started feeling that this forum is not a knowledge gaining platform. Members write any thing without any study. ......... .........................................................................
From India, Mumbai
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From India, Mumbai
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Please understand that payment of gratuity for service below 5 years, i.e., 4 years and 240 days, is at the discretion of the employer. If a claim for gratuity is made and rejected by the employer, then the remedy is to file a petition before the state-designated Gratuity Claims Authority. The authority will decide whether the rejection by the employer is correct or not.
From India, Chennai
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From India, Chennai
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Dear,
The meaning of gratuity is a ‘A sum of money paid to an employee at the end of a period of employment.’
GRATUITY RULES BY "INDIAN GRATUITY ACT"
According to gratuity act, every employer, who has 10 are more employee, has to follow gratuity law. This law is applicable to government and private sector both. The government also give tax exemption on the gratuity payment.
You will get the gratuity only after the completion of 5 years in the service. Also, there should not be any break in the service. It must be continuous.
Note, the condition of 5 years service has a small relaxation. In the last year, mere service of 240 days would be considered as one year. Hence, You would be eligible for the gratuity after 4 years and 240 days of continuous service.
If are working in an organisation which works for 5 days in a week or less, mere 190 days would be counted as last one year. Therefore, in such case, you would be eligible for the gratuity after 4 years and 190 days.
From India
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The meaning of gratuity is a ‘A sum of money paid to an employee at the end of a period of employment.’
GRATUITY RULES BY "INDIAN GRATUITY ACT"
According to gratuity act, every employer, who has 10 are more employee, has to follow gratuity law. This law is applicable to government and private sector both. The government also give tax exemption on the gratuity payment.
You will get the gratuity only after the completion of 5 years in the service. Also, there should not be any break in the service. It must be continuous.
Note, the condition of 5 years service has a small relaxation. In the last year, mere service of 240 days would be considered as one year. Hence, You would be eligible for the gratuity after 4 years and 240 days of continuous service.
If are working in an organisation which works for 5 days in a week or less, mere 190 days would be counted as last one year. Therefore, in such case, you would be eligible for the gratuity after 4 years and 190 days.
From India
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For gratuity an employess shall complete 5 years. And an employee who has completed 4 years and 240 working days in fifth year is also eligible for gratuity.
From India, Tadepallegudem
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From India, Tadepallegudem
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Entitlement can only be requested by the employee, which should lead to the grant of gratuity by the employer. If the employer refuses, a dispute arises for which the remedy lies with the authority nominated in the Payment of Gratuity Act.
From India, Chennai
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From India, Chennai
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Hi,
Firstly, it depends on the number of employees your company has. If it is more than 10 employees, that means your company is liable to pay gratuity to its employees. Gratuity is payable based on the last drawn basic salary or basic salary plus DA (if DA is a component in your salary structure).
It doesn't matter if gratuity is mentioned in your appointment letter or not, and neither does it make a difference if it is not mentioned in the HR manual. If your company has more than 10 employees, gratuity is applicable by law, and the company is liable to pay.
Regards, Shweta Gehlot
From India, Delhi
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Firstly, it depends on the number of employees your company has. If it is more than 10 employees, that means your company is liable to pay gratuity to its employees. Gratuity is payable based on the last drawn basic salary or basic salary plus DA (if DA is a component in your salary structure).
It doesn't matter if gratuity is mentioned in your appointment letter or not, and neither does it make a difference if it is not mentioned in the HR manual. If your company has more than 10 employees, gratuity is applicable by law, and the company is liable to pay.
Regards, Shweta Gehlot
From India, Delhi
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Dear,
You have not given full facts of your case. With the limited information provided:
1. If your organization is covered under this Act, then you will be paid Gratuity as per the Act after completion of 5 years, that is 6th Dec.
2. If your employer is a progressive employer and wants to create a good brand image in the employment market, then he may consider your case as a gesture of goodwill.
Regards,
V K Sharma
From India, Delhi
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You have not given full facts of your case. With the limited information provided:
1. If your organization is covered under this Act, then you will be paid Gratuity as per the Act after completion of 5 years, that is 6th Dec.
2. If your employer is a progressive employer and wants to create a good brand image in the employment market, then he may consider your case as a gesture of goodwill.
Regards,
V K Sharma
From India, Delhi
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In this discussion, only discussed is how many days one should work for eligibility for Gratuity. Other aspects like how the components of gratuity are worked out are not mentioned, except by one member who states that "Gratuity is payable on the last drawn basic/basic + DA salary (if DA is a component in your salary structure).
More clarification is required on Gratuity calculation, which states, "basic/basic + DA salary (if DA is a component in your salary structure)." As I understand, there are two methods of salary structure adopted by various employers: (i) basic + DA + other components, (ii) All-inclusive Consolidated Salary which does not give any break-up of the salary.
If the second method is adopted by the employers, then the full salary has to be taken for the calculation of Gratuity. Is this correct? Could a more knowledgeable person on the subject please explain this?
From India, Thane
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More clarification is required on Gratuity calculation, which states, "basic/basic + DA salary (if DA is a component in your salary structure)." As I understand, there are two methods of salary structure adopted by various employers: (i) basic + DA + other components, (ii) All-inclusive Consolidated Salary which does not give any break-up of the salary.
If the second method is adopted by the employers, then the full salary has to be taken for the calculation of Gratuity. Is this correct? Could a more knowledgeable person on the subject please explain this?
From India, Thane
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Learned friends have contributed much on this, and I wish to add that nowadays gratuity is a hidden compensation variable, which is accounted for as an employee's total cost towards HR budgeting. However, if gratuity deducted is mentioned in the appointment letter, then it is imperative that the company has deducted the employee's salary as gratuity and is therefore payable irrespective of whether the employee has completed 5 years of continuous service or not.
After a lot of claims by employees for gratuity with the gratuity commissioner, the employers have learned a hard lesson and stopped mentioning the gratuity in the appointment letter, thereby avoiding payment altogether, and only payable if the employee has completed 5 years of service to comply with the statutory requirement. So these conditions need to be kept in mind, as which condition leads to payment of gratuity.
From India, Mumbai
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After a lot of claims by employees for gratuity with the gratuity commissioner, the employers have learned a hard lesson and stopped mentioning the gratuity in the appointment letter, thereby avoiding payment altogether, and only payable if the employee has completed 5 years of service to comply with the statutory requirement. So these conditions need to be kept in mind, as which condition leads to payment of gratuity.
From India, Mumbai
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Further, Gratuity is deducted at the rate of 4.81% of the basic and kept aside in a Trust corpus with LIC for payout at the time of employee separation.
From India, Mumbai
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From India, Mumbai
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Dear Anishkane,
Gratuity will be paid out irrespective of the terms in your appointment letter as long as you complete 5 continuous years of service with your organization.
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Regards,
Sairam Bandi
Email: sai@kredily.com
From India, Bengaluru
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Gratuity will be paid out irrespective of the terms in your appointment letter as long as you complete 5 continuous years of service with your organization.
Click on the "+" sign for more helpful answers like these.
Regards,
Sairam Bandi
Email: sai@kredily.com
From India, Bengaluru
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I have worked for a Limited pharmaceutical company for a long 21 years. My initial appointment was as a marketing executive by a branch manager. After 7 years of service, the manager retired, and the Managing Director issued another appointment letter. Now, the problem is that the company is not accounting for my first 7 years of gratuity. What could be the reason?
From India
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From India
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Appointment letter-format.d oc