I am in working in a private limited company which follows a five day working week for 4 years 8 months and 20 days. Am I eligible for Gratuity payment on resignation? Regards, Indradeb
From India, Bangalore
2From India, Bangalore
According to the Payment of Gratuity Act, 1972 and Rules, an employee is eligible for receiving gratuity after completing five years in an organization. On the other hand, if a worker has worked for 240 days in a year, the year is considered complete. It does not matter whether there are six working days in a week or five. In my opinion, after completing a period of five years, you will be entitled to receive the benefit of gratuity, whether you continue working or not.
(G. K. Sharma)
(G. K. Sharma)
You are not eligible for gratuity since you have not completed 5 years. The question of 240 days comes into the picture for deciding whether an employee was on continuous service or not. As such, a person who had worked for 240 days (above the ground or 190 days below the ground) in a year is deemed to have continuous service for that year.
The provisions relating to a six-day week and 190 days of work were provided after the ruling by the apex court in Lalappa Lingappa Vs Laxmi Vishnu Textiles Mills, Sholapur, to safeguard the interests of those employees who would be denied gratuity for want of a minimum of 240 days in between the years. Here also completion of 5 years is mandatory. Once eligible for gratuity, if in any year one has not worked for 240 days, that year can be counted as continuous provided he was working for at least six days in a week and had worked at least for 190 days in the preceding year.
Regards, Madhu.T.K
From India, Kannur
The provisions relating to a six-day week and 190 days of work were provided after the ruling by the apex court in Lalappa Lingappa Vs Laxmi Vishnu Textiles Mills, Sholapur, to safeguard the interests of those employees who would be denied gratuity for want of a minimum of 240 days in between the years. Here also completion of 5 years is mandatory. Once eligible for gratuity, if in any year one has not worked for 240 days, that year can be counted as continuous provided he was working for at least six days in a week and had worked at least for 190 days in the preceding year.
Regards, Madhu.T.K
From India, Kannur
Dear,
The gratuity is only payable after 5 years based on the latest amount of Basic and DA. You have to provide continuous service for that, i.e., without any absences, but you can take your holidays.
I hope this information will help you more.
Regards,
Ranjeet (Jeeni)
From India, New Delhi
The gratuity is only payable after 5 years based on the latest amount of Basic and DA. You have to provide continuous service for that, i.e., without any absences, but you can take your holidays.
I hope this information will help you more.
Regards,
Ranjeet (Jeeni)
From India, New Delhi
No, you should have to complete five years of continuous service for eligibility for gratuity. The number of working days doesn't matter for eligibility, even if it's a '5-day week.' However, for continuous service, 240 working days should be counted for every completed year of service.
In your case, if you are relieved after more than three months, then you could have the right to gratuity, which can be payable for five years of service.
Atul S. Malve
Pune
From India, Sholapur
In your case, if you are relieved after more than three months, then you could have the right to gratuity, which can be payable for five years of service.
Atul S. Malve
Pune
From India, Sholapur
Dear Inderdeb,
I have gone through your queries. As per the Gratuity Act, you have not completed 5 years, so you are not eligible for gratuity. For gratuity, you should have worked for five years, and only then you are entitled to it.
From India, Lucknow
I have gone through your queries. As per the Gratuity Act, you have not completed 5 years, so you are not eligible for gratuity. For gratuity, you should have worked for five years, and only then you are entitled to it.
From India, Lucknow
To: Mr. Madhu T.K. Sir,
I am facing a case regarding gratuity in my company. An employee left on completion of his service period for 4 years and 9 months. As per the order of the Kerala High Court (the document is not with me), any employee is eligible for gratuity after completing 4 years and 8 months. Is this correct? Please assist me with this matter.
Regards,
Swarnali Banerjee
From India, Madras
I am facing a case regarding gratuity in my company. An employee left on completion of his service period for 4 years and 9 months. As per the order of the Kerala High Court (the document is not with me), any employee is eligible for gratuity after completing 4 years and 8 months. Is this correct? Please assist me with this matter.
Regards,
Swarnali Banerjee
From India, Madras
entitlement of gratuity is only after complition of 5 year continuas service and 240 days is the minimum working condition per year to establish the contineous service of fi ve years
From India, Chandigarh
From India, Chandigarh
Hi,
Gratuity is applicable after completion of 5 years, but in the last year, i.e., the fifth year, an employee must complete 240 days to be eligible for the gratuity. After that, below six months do not count any days, and if completed six months, then the full year is counted. For example, if an employee worked for 5 years and 6.2 months, it would count as 6 years, but if they worked 5 years and 5.9 months, it would only count as 5 years.
T&R
Manoj Kumar
teotiamanoj@gmail.com
From India, Delhi
Gratuity is applicable after completion of 5 years, but in the last year, i.e., the fifth year, an employee must complete 240 days to be eligible for the gratuity. After that, below six months do not count any days, and if completed six months, then the full year is counted. For example, if an employee worked for 5 years and 6.2 months, it would count as 6 years, but if they worked 5 years and 5.9 months, it would only count as 5 years.
T&R
Manoj Kumar
teotiamanoj@gmail.com
From India, Delhi
Five years of service are mandatory for an employee to be eligible for gratuity under the Act. The rule about counting part of the year's service for eligibility for payment is only relevant for the calculation of the amount payable when the employee has not worked during all the weeks of the year.
From India, Mumbai
From India, Mumbai
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Less than 5 years service - Eligibility for payment of gratuity.pdf
Minimum Qualifying service for Gratuity under the Payment of Gratuity Act.docx