Dear deepak,
If ten or more emplyees are working there then you will be eligible to have gratuity payment on completion of five years continuous service with the same employer.
With Regards,
R.N.Khola
From India, Delhi
363If ten or more emplyees are working there then you will be eligible to have gratuity payment on completion of five years continuous service with the same employer.
With Regards,
R.N.Khola
From India, Delhi
Hi, I agree with Mr.Govin Pawar. An employee who completed 4 years and 240 days in 5th year is eligible for Gratuity. regards prakash
From India, Madras
From India, Madras
Dear Deepak, But if the company gives you the offer letter with gratuity deductions its fine. Regards, Chandra sekhar
From India, Hyderabad
From India, Hyderabad
As per ruling of Hon'ble High Court , if any person completes the 4 year and in the 5th year he/ she has completed 240 days working , the concened is entitled to receive Gratuity benefit.
Thanks,
AK Sharma
From India, Pune
Thanks,
AK Sharma
From India, Pune
I agree with Mr.Govind Pawar. As per many recent case laws, it is held gratuity will be payable if an employee puts in 4yrs & 240 days days in the fifth Year. B.R.MoHAN Bangalore
From India, Bangalore
From India, Bangalore
PAYMENT OF GRATUITY ACT
Gratuity is payable on death even if the 5 years have not been completed .
This is for your information that if employees have not completed his 5 years, he is eligible for gratuity.
On Condition:
If an employee completed his 4 years in service and has completed 240 days in the 5th year then he is entitled for 5 years gratuity.
Section 4 of the Payment of Gratuity Act, 1972 provides that an employee will entitled to gratuity on completion of continuous service of 5 years and while clarifying the 5 years complete service, Andhra Pradesh Hight Court had held that the minimum period for becoming eligible for payment of gratuity should not be less than 5 years since it should be complete 5 year service. It was further clarified that the words or part in excess of six months' are only meant for the purposes of computation of gratuity for the subsequent year or years to first complete 5 years. It was also held that if an employee has worked for 4 years 11 months and 10 days, he will not be eligible for gratuity for want of completion of 5 years. Further in a subsequent case, MADRAS HIGH COURT while relying upon the clarification by the SUPREME COURT pertaining to 240 working days in one year will be deemed to be continuous service of one year meaning thereby that there should not be complete 12 calendar months' service. MADRAS HIGH COURT has further held that an employee, who has put in service of 4 Years 10 Months and 18 Days in the 5 years, will be entitled to gratuity.
Case Ref. : Mettur Beardsell Ltd., Madras v. Regional Lab. Commissioner (Appellate Authority under Payment of Gratuity Act), Madras etc., 1998 (3) LLN 414
Further in a subsquent case, MADRAS HIGH COURT while relying upon the clarification by the SUPREME COURT pertaining to 240 working days in one year will be deemed to be continuous serice of one year meaning thereby that there should not be complete 12 calender months' service. MADRAS HIGH COURT has further held that an employee, who has put in service of 4 Years 10 Months and 18 Days in the 5 years, will be entitled to gratuity.
Case Ref. : Mettur Beardsell Ltd., Madras v. Regional Lab. Commissioner (Appellate Authority under Payment of Gratuity Act), Madras etc., 1998 (3) LLN 414.
R K
From United States, Bentonville
Gratuity is payable on death even if the 5 years have not been completed .
This is for your information that if employees have not completed his 5 years, he is eligible for gratuity.
On Condition:
If an employee completed his 4 years in service and has completed 240 days in the 5th year then he is entitled for 5 years gratuity.
Section 4 of the Payment of Gratuity Act, 1972 provides that an employee will entitled to gratuity on completion of continuous service of 5 years and while clarifying the 5 years complete service, Andhra Pradesh Hight Court had held that the minimum period for becoming eligible for payment of gratuity should not be less than 5 years since it should be complete 5 year service. It was further clarified that the words or part in excess of six months' are only meant for the purposes of computation of gratuity for the subsequent year or years to first complete 5 years. It was also held that if an employee has worked for 4 years 11 months and 10 days, he will not be eligible for gratuity for want of completion of 5 years. Further in a subsequent case, MADRAS HIGH COURT while relying upon the clarification by the SUPREME COURT pertaining to 240 working days in one year will be deemed to be continuous service of one year meaning thereby that there should not be complete 12 calendar months' service. MADRAS HIGH COURT has further held that an employee, who has put in service of 4 Years 10 Months and 18 Days in the 5 years, will be entitled to gratuity.
Case Ref. : Mettur Beardsell Ltd., Madras v. Regional Lab. Commissioner (Appellate Authority under Payment of Gratuity Act), Madras etc., 1998 (3) LLN 414
Further in a subsquent case, MADRAS HIGH COURT while relying upon the clarification by the SUPREME COURT pertaining to 240 working days in one year will be deemed to be continuous serice of one year meaning thereby that there should not be complete 12 calender months' service. MADRAS HIGH COURT has further held that an employee, who has put in service of 4 Years 10 Months and 18 Days in the 5 years, will be entitled to gratuity.
Case Ref. : Mettur Beardsell Ltd., Madras v. Regional Lab. Commissioner (Appellate Authority under Payment of Gratuity Act), Madras etc., 1998 (3) LLN 414.
R K
From United States, Bentonville
Gratuity is included in the CTC and hence a part of the amount payable to the employee.
The company is showing gratuity as a part of CTC from day one. Hence, in all fairness, the gratuity amounts provided during the tenure of an employee who has worked for less than the period required for qualifying for gratuity, the amount provided towards gratuity should be paid to him as ex-gratia payment by the company. Many companies provided for gratuity only after completion of 5 years of service and do not make gratuity a party of the CTC.
From India, Mumbai
The company is showing gratuity as a part of CTC from day one. Hence, in all fairness, the gratuity amounts provided during the tenure of an employee who has worked for less than the period required for qualifying for gratuity, the amount provided towards gratuity should be paid to him as ex-gratia payment by the company. Many companies provided for gratuity only after completion of 5 years of service and do not make gratuity a party of the CTC.
From India, Mumbai
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Payment of Gratuity Act, 1972 & The Rules.ppt
THE PAYMENT OF GRATUITY ACT 1972.doc