Hello,
I am working in private software firm since 5 years, in India.
Recently, my company owner suggested me to get separate from company.
As, I have completed 5 years in company, Whether I am eligible for gratuity criteria ?
Right now, My Company have total 10 employees including me.
If company remove some employees in future, still Company is suppose to pay my gratuity ?
How gratuity is calculated ?
(My Basic salary in 15000 but there is no DA mentioned. )
From India, Pune
2I am working in private software firm since 5 years, in India.
Recently, my company owner suggested me to get separate from company.
As, I have completed 5 years in company, Whether I am eligible for gratuity criteria ?
Right now, My Company have total 10 employees including me.
If company remove some employees in future, still Company is suppose to pay my gratuity ?
How gratuity is calculated ?
(My Basic salary in 15000 but there is no DA mentioned. )
From India, Pune
Yes
As per the Payment Gratuity Act, you are entitle to get Gratuity if you have completed 5 years of the service irrespective of the reason of leaving- resignation, death, termination, transfer to another company
Yes, as per Gratuity Act and AS 15 of ICAI, company is liable to pay Gratuity
calculation will be as follows
Last monthly basic salary/ 26 X 15 X no. of years of service completed
DA is applicable only if mentioned
In your case, it will be 15000/26 X 15 X 5
You are eligible for Gratuity amount of Rs. 43269.00
Regards
Govind
From India, Mumbai
As per the Payment Gratuity Act, you are entitle to get Gratuity if you have completed 5 years of the service irrespective of the reason of leaving- resignation, death, termination, transfer to another company
Yes, as per Gratuity Act and AS 15 of ICAI, company is liable to pay Gratuity
calculation will be as follows
Last monthly basic salary/ 26 X 15 X no. of years of service completed
DA is applicable only if mentioned
In your case, it will be 15000/26 X 15 X 5
You are eligible for Gratuity amount of Rs. 43269.00
Regards
Govind
From India, Mumbai
Dear Govind ji,
Thank you for your reply. Your reply is correct. But you did not mention about the applicability of POG to any establishment. No doubt, in the article it is mentioned that the Act is applicable where 10 or more persons are working.
With due respect to you I would like to have clarification from you on your following quote.
"AS 15 of ICAI" means "Accounting Standard 15 of The Institute of Chartered Accountants of India". AS 15 is pertaining to employee benefits which includes many other benefits such as Medical Care, Insurance, Profit Sharing, Leave including sabbatical leave and many more, to my knowledge.
Do you mean to say that all such benefits are mandatory since written in AS 15?
From India, Mumbai
Thank you for your reply. Your reply is correct. But you did not mention about the applicability of POG to any establishment. No doubt, in the article it is mentioned that the Act is applicable where 10 or more persons are working.
With due respect to you I would like to have clarification from you on your following quote.
"AS 15 of ICAI" means "Accounting Standard 15 of The Institute of Chartered Accountants of India". AS 15 is pertaining to employee benefits which includes many other benefits such as Medical Care, Insurance, Profit Sharing, Leave including sabbatical leave and many more, to my knowledge.
Do you mean to say that all such benefits are mandatory since written in AS 15?
From India, Mumbai
Hi,
Please find following clarity
This Act is applicable to all states (except Jammu and Kashmir) and particularly to every factory,
mine, oilfield, plantation, port, Railways Company. It is also applicable to every shop or
establishment in which ten or more employees are/ were employed on any day during the preceding
12 months. The Act continues to be applicable to any establishment or institution even if the number
falls below 10 subsequent to its coverage. Central Government may by notification extend the
coverage to any establishment/institution.
In your case, even if your company's employee becomes less than 10 once the payment of gratuity is liable, they have to pay even the number goes below 10.
Regards
Govind
From India, Mumbai
Please find following clarity
This Act is applicable to all states (except Jammu and Kashmir) and particularly to every factory,
mine, oilfield, plantation, port, Railways Company. It is also applicable to every shop or
establishment in which ten or more employees are/ were employed on any day during the preceding
12 months. The Act continues to be applicable to any establishment or institution even if the number
falls below 10 subsequent to its coverage. Central Government may by notification extend the
coverage to any establishment/institution.
In your case, even if your company's employee becomes less than 10 once the payment of gratuity is liable, they have to pay even the number goes below 10.
Regards
Govind
From India, Mumbai
A standing order cannot violate Payment of Gratuity Act, please correct if I am wrong
From India, Mumbai
From India, Mumbai
SLA Consultants India the leader among all the institutes providing professional training programs and certifications.
Why should you choose SLA Consultants for your HR Generalist Training?
click on link....SLA Consultants India : HR, MIS, Accounts, Taxation Practical Training Inst. in Delhi NCR
Regards,
From India, Mumbai
Why should you choose SLA Consultants for your HR Generalist Training?
click on link....SLA Consultants India : HR, MIS, Accounts, Taxation Practical Training Inst. in Delhi NCR
Regards,
From India, Mumbai
Dear Seniors
please clear following points.
1. if any employee has died before completed of 5 years service then will he eligible for gratuity. how many days service is required for entitlement of gratuity.
2. Gratuity calculation will be only on basis salary or Basis+DA?.
From India, Dehra Dun
please clear following points.
1. if any employee has died before completed of 5 years service then will he eligible for gratuity. how many days service is required for entitlement of gratuity.
2. Gratuity calculation will be only on basis salary or Basis+DA?.
From India, Dehra Dun
Yes, in case of death, a person is entitled for Gratuity. Even if he has not completed 5 years service.
If person is alive, minimum 5 years continuous service is required.
If DA is part of the salary then basic + DA otherwise basic only.
Regards
Govind
From India, Mumbai
If person is alive, minimum 5 years continuous service is required.
If DA is part of the salary then basic + DA otherwise basic only.
Regards
Govind
From India, Mumbai
Thanks for reply Govind Sir
but my Question was how many days service is required for gratuity in case of death.
suppose that an employees has joined 01 October 2014 and suddenly he has died dated on 08 November 2014. is he entitled for gratuity.
please clarify.
From India, Dehra Dun
but my Question was how many days service is required for gratuity in case of death.
suppose that an employees has joined 01 October 2014 and suddenly he has died dated on 08 November 2014. is he entitled for gratuity.
please clarify.
From India, Dehra Dun
Please read it carefully, response is already there.
There is no minimum days service required for payment of Gratuity in case of death, Minimum 5 years continuous service required only in case of, if the employee is alive and terminated the services from either end for whatsoever reason
From India, Mumbai
There is no minimum days service required for payment of Gratuity in case of death, Minimum 5 years continuous service required only in case of, if the employee is alive and terminated the services from either end for whatsoever reason
From India, Mumbai
Community Support and Knowledge-base on business, career and organisational prospects and issues - Register and Log In to CiteHR and post your query, download formats and be part of a fostered community of professionals.
FORM-F-NOMINATI ON OF GRATUITY.pdf
Gratuity Form I.doc