Hello Friends,
I have a query with regard to gratuity payment. What is the rule on the payment of gratuity for an employee who has been transferred within a group company and now decides to quit the group after serving for 3 years, with 2 of those years being with the parent company? Is he entitled to gratuity or will it be considered as a new company?
From India, Mumbai
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I have a query with regard to gratuity payment. What is the rule on the payment of gratuity for an employee who has been transferred within a group company and now decides to quit the group after serving for 3 years, with 2 of those years being with the parent company? Is he entitled to gratuity or will it be considered as a new company?
From India, Mumbai
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Dear Mr. Govind,
I agree with your view, but my efforts to convince management have been futile as they say that the companies to which they have been transferred do not state being a sister or group company. Therefore, they would not be entitled to gratuity. Is there any workaround to prove to management that they are wrong?
Thanks,
Regards
From India, Mumbai
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I agree with your view, but my efforts to convince management have been futile as they say that the companies to which they have been transferred do not state being a sister or group company. Therefore, they would not be entitled to gratuity. Is there any workaround to prove to management that they are wrong?
Thanks,
Regards
From India, Mumbai
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Dear Friend,
If you have transferred the employee to your sister concern, you are liable to pay the gratuity. Where are you maintaining the gratuity registers? If you need more clarification, you can call me.
Lakshminaryana
9866917232
From India, Hyderabad
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38If you have transferred the employee to your sister concern, you are liable to pay the gratuity. Where are you maintaining the gratuity registers? If you need more clarification, you can call me.
Lakshminaryana
9866917232
From India, Hyderabad
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Dear Lakshminarayana,
One company is named Mr. A, and the second company is named Mr. AB. The issue at hand is that Raju is an employee of Mr. A company, and he has been transferred to Mr. AB company. Both company managements are the same. Raju has worked for 3 years in Mr. A and 4 years in Mr. AB. My question is: Is Raju eligible to claim the gratuity amount from Mr. AB company, considering his total services of 5 years with Mr. AB?
Please explain the above case study.
M. Chaitanya Krishna
From India, Nellore
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One company is named Mr. A, and the second company is named Mr. AB. The issue at hand is that Raju is an employee of Mr. A company, and he has been transferred to Mr. AB company. Both company managements are the same. Raju has worked for 3 years in Mr. A and 4 years in Mr. AB. My question is: Is Raju eligible to claim the gratuity amount from Mr. AB company, considering his total services of 5 years with Mr. AB?
Please explain the above case study.
M. Chaitanya Krishna
From India, Nellore
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I think Mr. Chaitany has portrayed the case very well. The transfer letter has been issued by the HR Director and states that the other terms and conditions remain the same.
However, the total work period of the employee in the parent company stands at 2 years, and in the second company, it is 3 plus years. Now, the management is not willing to pay gratuity, stating that the period starts from the transfer to the second company and not from the beginning.
Please advise and share any law that clarifies the same under the gratuity scheme!
From India, Mumbai
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However, the total work period of the employee in the parent company stands at 2 years, and in the second company, it is 3 plus years. Now, the management is not willing to pay gratuity, stating that the period starts from the transfer to the second company and not from the beginning.
Please advise and share any law that clarifies the same under the gratuity scheme!
From India, Mumbai
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Thank you Sir, Appreciate your efforts.I shall await your feedback and quote from the legal book so that the employees Interest can be taken care of correctly. Regards, Saikumar S
From India, Mumbai
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From India, Mumbai
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Dear Sai,
I am enclosing two attachments that will meet your needs. These are the two judgments given by the Madras High Court, where the meaning of "Employee" has been elaborated. You may share them with your management to clarify any doubts they may have and to assist the person in need.
Regards,
P. Vathiraj
From India
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I am enclosing two attachments that will meet your needs. These are the two judgments given by the Madras High Court, where the meaning of "Employee" has been elaborated. You may share them with your management to clarify any doubts they may have and to assist the person in need.
Regards,
P. Vathiraj
From India
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Dear Mr Vaithiraj, Thank you for the feedback.I would need to speak to you for further clarification. Can i have your contact details please? Regards,
From India, Mumbai
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From India, Mumbai
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Dear Sai, My mobile no. is 9585 333 344. I am presently staying in Chennai. For any clarification, please feel free to call me. Whatever I know, I will update you. Regards, P. Vathiraj
From India
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From India
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Dear,
With reference to your query regarding payment of gratuity for the service rendered to the group companies, if the management of the companies is ignoring your legal dues, you have an option to file a claim under the Payment of Gratuity Act. Keep in mind to make both group companies respondents. Obviously, these group companies will comply and fulfill their obligations. You are eligible for gratuity amounting to Rs. 15 days' salary per year. The calculation will be done as per the provisions of the Gratuity Act, i.e., your basic salary multiplied by 15/26 times the number of years of service.
Regards,
R B Yadav
Advocate
From India, Gurugram
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With reference to your query regarding payment of gratuity for the service rendered to the group companies, if the management of the companies is ignoring your legal dues, you have an option to file a claim under the Payment of Gratuity Act. Keep in mind to make both group companies respondents. Obviously, these group companies will comply and fulfill their obligations. You are eligible for gratuity amounting to Rs. 15 days' salary per year. The calculation will be done as per the provisions of the Gratuity Act, i.e., your basic salary multiplied by 15/26 times the number of years of service.
Regards,
R B Yadav
Advocate
From India, Gurugram
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