Dear Sir..
I am working in small organization which is service based organization and in our organization one of the employee served(Worked) 4.9months(four year nine months) is he eligible to get Gratuity amount.
Warm Regards
Laxman Manoji
9663363979
From India, Bangalore
2I am working in small organization which is service based organization and in our organization one of the employee served(Worked) 4.9months(four year nine months) is he eligible to get Gratuity amount.
Warm Regards
Laxman Manoji
9663363979
From India, Bangalore
Dear Mr. Laxam Manoji,
As per the Gratuity Act, gratuity is calculatedonly when worked for 5 yrs or more with continuous/ uninterrupted serivce with each year completed 240 days of service Therefore, if one who has worked for 4 years and 240 days (in the preceeding year i.e;, the fifth year) is said to be eligible for gratuity.
Refer Gratuity Act, u/s 2A: Continuous service.
(1) An employee shall be said to be in continuous service for a period if he has, for that period, been in uninterrupted service, including service which may be interrupted on account of sickness, accident, leave, absence from duty without leave (not being absence in respect of which an order [***] treating the absence as break in service has been passed in accordance with the standing order, rules or regulations governing the employees of the establishment), lay off, strike or a lock-out or cessation of work not due to any fault of the employee, whether such uninterrupted or interrupted service was rendered before or after the commencement of this Act
(a) for the said period of one year, if the employee during the period of twelve calendar months preceding the date with reference to which calculation is to be made, has actually worked under the employer for not less than -
(i) ninety-five days, in the case of an employee employed below the ground in a mine or in an establishment which works for less than six days in a week; and
(ii) one hundred and twenty days, in any other case;
For every completed year of service or part thereof in excess of six months, the employer shall pay gratuity to an employee at the rate of fifteen days wages based on the rate of wages last drawn by the employee concerned.
From India, Visakhapatnam
As per the Gratuity Act, gratuity is calculatedonly when worked for 5 yrs or more with continuous/ uninterrupted serivce with each year completed 240 days of service Therefore, if one who has worked for 4 years and 240 days (in the preceeding year i.e;, the fifth year) is said to be eligible for gratuity.
Refer Gratuity Act, u/s 2A: Continuous service.
(1) An employee shall be said to be in continuous service for a period if he has, for that period, been in uninterrupted service, including service which may be interrupted on account of sickness, accident, leave, absence from duty without leave (not being absence in respect of which an order [***] treating the absence as break in service has been passed in accordance with the standing order, rules or regulations governing the employees of the establishment), lay off, strike or a lock-out or cessation of work not due to any fault of the employee, whether such uninterrupted or interrupted service was rendered before or after the commencement of this Act
(a) for the said period of one year, if the employee during the period of twelve calendar months preceding the date with reference to which calculation is to be made, has actually worked under the employer for not less than -
(i) ninety-five days, in the case of an employee employed below the ground in a mine or in an establishment which works for less than six days in a week; and
(ii) one hundred and twenty days, in any other case;
For every completed year of service or part thereof in excess of six months, the employer shall pay gratuity to an employee at the rate of fifteen days wages based on the rate of wages last drawn by the employee concerned.
From India, Visakhapatnam
Hi,
Rightly said by Sharmila,
You are definitely entitled for Gratuity. I had resigned from Metlife last year in June'12 and I completed 4year and 7 months, I had gone through the Gratuity policy and came to know that completing 4.6 yrs is deemed to have fallen in 5 years. I had also taken a mail confirmation from the Head HR regarding the same. And in F&F I was paid the gratuity as per my existing basic salary norms.
Regards,
Chetan Kumar.
From India, Kolkata
Rightly said by Sharmila,
You are definitely entitled for Gratuity. I had resigned from Metlife last year in June'12 and I completed 4year and 7 months, I had gone through the Gratuity policy and came to know that completing 4.6 yrs is deemed to have fallen in 5 years. I had also taken a mail confirmation from the Head HR regarding the same. And in F&F I was paid the gratuity as per my existing basic salary norms.
Regards,
Chetan Kumar.
From India, Kolkata
Dear Ms.Sharmila,
We have came across the same case in our organization,an employee was working with us for 4 years 9 months and 4 days. When we discussed this with our legal advisor, he suggested it is upto the management discretion to pay the gratuity or not. Which is correct??
Vinoth
From India, Chennai
We have came across the same case in our organization,an employee was working with us for 4 years 9 months and 4 days. When we discussed this with our legal advisor, he suggested it is upto the management discretion to pay the gratuity or not. Which is correct??
Vinoth
From India, Chennai
Dear Mr. Vinoth,
As per my earlier post, would like to once again confirm that 240 days worked in each calender year, upto 5 years is said to be eligible for gratuity payment; where the gratuity is paid @15 days salary of each completed year. They are certain companies where management decides to the gratuity a they take this as a welfare payment to employees but the provisions should not effect the Payment of Gratuity Act 1972.
From India, Visakhapatnam
As per my earlier post, would like to once again confirm that 240 days worked in each calender year, upto 5 years is said to be eligible for gratuity payment; where the gratuity is paid @15 days salary of each completed year. They are certain companies where management decides to the gratuity a they take this as a welfare payment to employees but the provisions should not effect the Payment of Gratuity Act 1972.
From India, Visakhapatnam
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Madras HC judg regarding gratuity is applicable if workmen is working 4 years 240 days..pdf