Dear Friends,
One of my friends recently resigned from his position as VP-Projects at a reputed construction company in Chennai. He served the company with distinction for 4 years and 10 months. However, when he was relieved, he discovered that the company is not paying him the gratuity, claiming that he has not completed 5 years of service. I would like to know if he is eligible to receive the gratuity and, if so, what options are available to him. I would also like to mention that the company has a Gratuity Trust managed by LIC.
I am eagerly awaiting your prompt response.
Regards,
Deepak P
Chennai.
From India, Chennai
Acknowledge(0)
Amend(0)
2One of my friends recently resigned from his position as VP-Projects at a reputed construction company in Chennai. He served the company with distinction for 4 years and 10 months. However, when he was relieved, he discovered that the company is not paying him the gratuity, claiming that he has not completed 5 years of service. I would like to know if he is eligible to receive the gratuity and, if so, what options are available to him. I would also like to mention that the company has a Gratuity Trust managed by LIC.
I am eagerly awaiting your prompt response.
Regards,
Deepak P
Chennai.
From India, Chennai
Acknowledge(0)Amend(0)
Dear Deepak,
The 4 years and 240 days clause is applicable for those who are retired or deceased, not for resignation cases. For resignation cases, 5 years of service are compulsory. Hence, the person is not eligible to claim gratuity. The condoning or waiving of the period of 2 months will not be applicable for resigned cases.
Thank you.
From India, Kumbakonam
Acknowledge(0)Amend(0)
The 4 years and 240 days clause is applicable for those who are retired or deceased, not for resignation cases. For resignation cases, 5 years of service are compulsory. Hence, the person is not eligible to claim gratuity. The condoning or waiving of the period of 2 months will not be applicable for resigned cases.
Thank you.
From India, Kumbakonam
Acknowledge(0)Amend(0)
Dear Mr Deepak, Yes you are entitled for Gratuity even not less than 5 years service, Please find attached the judgment of Hon. Madras High court for Your reference. Thanks Sujeet
From India, Jaipur
Acknowledge(0)Amend(0)
From India, Jaipur
Acknowledge(0)Amend(0)
Dear Deepak,
Your friend is entitled to gratuity because of a deeming clause of completion of service of 5 years. I advise you to serve a notice to the employer in Form "I" demanding the amount of gratuity for 5 years of service in the following manner:
Rate = Salary/26
Amount of Gratuity = 15 X 5 X Rate
In case no reply is received or your claim is rejected, approach the Controlling Authority under the PG Act. In your state, the Assistant Commissioner of Labour is the proper authority. File your claim in Form "N" together with documents such as the appointment letter, salary slip, notice, etc. I am sure you will have your claim.
Additionally, you can also file a complaint with the Inspector under the PG Act, who happens to be the Government Labour Officer.
From India, Kolhapur
Acknowledge(0)Amend(0)
Your friend is entitled to gratuity because of a deeming clause of completion of service of 5 years. I advise you to serve a notice to the employer in Form "I" demanding the amount of gratuity for 5 years of service in the following manner:
Rate = Salary/26
Amount of Gratuity = 15 X 5 X Rate
In case no reply is received or your claim is rejected, approach the Controlling Authority under the PG Act. In your state, the Assistant Commissioner of Labour is the proper authority. File your claim in Form "N" together with documents such as the appointment letter, salary slip, notice, etc. I am sure you will have your claim.
Additionally, you can also file a complaint with the Inspector under the PG Act, who happens to be the Government Labour Officer.
From India, Kolhapur
Acknowledge(0)Amend(0)
Dear Mr. Deepak, As other members suggests, your friend entitled for Gratuity.even if he doesnt reaches 5 Years of tenure.it will be applicable only in chennai region.
From India, Hyderabad
Acknowledge(0)Amend(0)
From India, Hyderabad
Acknowledge(0)Amend(0)
No, the employee is not eligible.
Eligibility criteria for gratuity are:
1) Five years of continuous service.
2) If the employee dies within a minimum period (which may not be completed in 5 years), they are eligible.
From India, Chennai
Acknowledge(0)Amend(0)
Eligibility criteria for gratuity are:
1) Five years of continuous service.
2) If the employee dies within a minimum period (which may not be completed in 5 years), they are eligible.
From India, Chennai
Acknowledge(0)Amend(0)
boss. As you have mentioned about 240 days clause applicable to only retired on completion of 4.10 yrs. Please provide the supporting document to all of us.
From India, Ahmadabad
Acknowledge(0)Amend(0)
From India, Ahmadabad
Acknowledge(0)Amend(0)
Dear Mr. Deepak,
Yes, you are entitled to gratuity even with less than 5 years of service. Please find attached the judgment of the Hon. Madras High Court for your reference.
Thanks,
Sujeet
Yes, he is eligible for completion of 4.10 years of service. Contact the local Inspector of Factories and Assistant Labour Commissioner with the relevant relieved documents that show the continued rendering of service.
From India, Ahmadabad
Acknowledge(0)Amend(0)
Yes, you are entitled to gratuity even with less than 5 years of service. Please find attached the judgment of the Hon. Madras High Court for your reference.
Thanks,
Sujeet
Yes, he is eligible for completion of 4.10 years of service. Contact the local Inspector of Factories and Assistant Labour Commissioner with the relevant relieved documents that show the continued rendering of service.
From India, Ahmadabad
Acknowledge(0)Amend(0)Engage with peers to discuss and resolve work and business challenges collaboratively. Our AI-powered platform, features real-time fact-checking, peer reviews, and an extensive historical knowledge base. - Register and Log In.
Gratuity has to be paid after employee quits (TOI - 27-03-2021)_1.j pg
FORM-F-NOMINATI ON OF GRATUITY.pdf
Gratuity Form I.doc