Respected Seniors,
The Payment of Gratuity Act, 1972 specifies minimum continuous service of 5 years to be eligbile for gratuity benefits, but is silent on the maximum number of service. It has simply mentioned the amount of Gratuity limit to be Rs.10lac.
Does it mean, a person who has more than 33 years, in the present case 37 years, is eligible for gratuity?, computed as under:
salary X 15/26 x 37 = gratuity amount, and the amount of gratuity is within the prescribed limit of Rs.10 lac as amended by notification dated May 24, 2010.
kindly guide.
regards
Harminder
From India, Delhi
1The Payment of Gratuity Act, 1972 specifies minimum continuous service of 5 years to be eligbile for gratuity benefits, but is silent on the maximum number of service. It has simply mentioned the amount of Gratuity limit to be Rs.10lac.
Does it mean, a person who has more than 33 years, in the present case 37 years, is eligible for gratuity?, computed as under:
salary X 15/26 x 37 = gratuity amount, and the amount of gratuity is within the prescribed limit of Rs.10 lac as amended by notification dated May 24, 2010.
kindly guide.
regards
Harminder
From India, Delhi
An employee is entitled for the entire service without any maximum limit, put in by him till the date of retirement to be counted for gartuity, provided that if the amount exceeds Rs.10 lakhs, he is leigible only for 10 lakhs.
B.Saikumar
Hr & Labour Law advsior
Mumbai
From India, Mumbai
B.Saikumar
Hr & Labour Law advsior
Mumbai
From India, Mumbai
Thanks Mr. Saikumar! I have further researched various judgement. This calculation formula is also applicable under Industrial Dispute Act. regards Harminder
From India, Delhi
From India, Delhi
If a person who had 30 years of service on retirement date is given 4 more years extension without break will he get Gratutity for 34 four years?
From India, Chennai
From India, Chennai
In my view,If the extension is in continuation of the existing tenure of service and he retires after 34 years of service, he should get gratuity for 34 years .
B.Saikumar
HR & Labour Law Advisor
Navi Mumbai
From India, Mumbai
B.Saikumar
HR & Labour Law Advisor
Navi Mumbai
From India, Mumbai
Respected Members,
I am employed in a tea company that operates several tea estates and factories. A significant number of our staff and workers have dedicated 35 to 40 years of service.
As we are aware, the minimum requirement for eligibility to receive gratuity is 5 years. However, the question that arises is whether there exists a "maximum limit on the length of service" for gratuity payment.
I would greatly appreciate a clear response, including any relevant legal judgments, if available.
Thank you
Mahesh Khandelwal
+918017099070
From India, Calcutta
I am employed in a tea company that operates several tea estates and factories. A significant number of our staff and workers have dedicated 35 to 40 years of service.
As we are aware, the minimum requirement for eligibility to receive gratuity is 5 years. However, the question that arises is whether there exists a "maximum limit on the length of service" for gratuity payment.
I would greatly appreciate a clear response, including any relevant legal judgments, if available.
Thank you
Mahesh Khandelwal
+918017099070
From India, Calcutta
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Payment of Gratuity Act, 1972 & The Rules.ppt
THE PAYMENT OF GRATUITY ACT 1972.doc