Need advice regarding gratuity. I joined in October 2004 and worked until May 2014. I was hospitalized and was on medical leave from June 2010 until December 2010. My company is paying me gratuity for the period from 2004 to 2010 after deducting my probation period of 6 months. Can someone advise whether they are correct in the calculation or wrong.
From United Arab Emirates, Abu Dhabi
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From United Arab Emirates, Abu Dhabi
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If you were continuously in the service of the organization until 2014, even if you were admitted to the hospital, they should pay you the gratuity until 2014. But if you resigned or terminated the services even for a single day, they have the authority to pay you the gratuity until your continuous services. At most, they can deduct the gratuity for the period you were on leave.
From India, Gurgaon
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38From India, Gurgaon
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I agree with Shweta.. You are eligible to receive the gratuity amount for the entire period you were working with the company
From India, Mumbai
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From India, Mumbai
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The Gratuity Act 1971 is applicable only for establishments in India. If you are employed in the UAE, as your profile says, please check with the respective labor laws authority of the respective country.
However, if you are employed in India, as per the law in your case, and if you had a HR professional & Human Resources (HR) Manager, you should be entitled to be paid till 2014. However, what I have observed in many companies is how the laws are manipulated, and thus, I always raise my voice for a change to revise these laws. To put it bluntly, I say these are "Unfair Practices of HR". Anyways, my friend, coming to your case.
As per the law, the eligibility for continuous years of service for qualifying for gratuity is 5 years. Describing it more for you, there are a few requirements on the part of the employee for claiming gratuity:
Most importantly, he should have worked for not less than five years for the employer.
The gratuity is calculated as follows: (Basic + DA) / 26 X 15 X Number of Continuous Years Worked.
A continuous year is a number of days of your service for a year of work, and as per the law, one continuous year is 190 days of work if working below ground (like mines, etc.) and 240 days if working above ground, including strikes, lockouts, any short temporary closure due to glitches, etc.
So, what your HR did is he took 2004 to 2009 as a period of gratuity, and as you meet all the criteria for that period, your gratuity is clear.
Now, due to your one-year break through medical leave, they (your HR and company) took your second term as 2010-2014 ineligible for the 5-year requirement. This is as per the law, but I say strategically and legally it can be challenged on any fair platform for justice.
1.) You need to prove what kind of medical leave you took, whether it was continuous or intermittent, or if you were on Leave Without Pay (LOP), etc. (Your association with the organization was not cut).
2.) You didn't resign and rejoin as a new employee.
3.) You worked from 2004 to 2009 and from 2011 to 2014 - January/March 2009 to November 2009 (for year 2009-10) and January 2011 to March 2011 (for year 2010-11) continuously till 2014.
Request the HR and company to at least reconsider their decision, if not, seek professional help to find a solution.
Try hard.
From Singapore, Singapore
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However, if you are employed in India, as per the law in your case, and if you had a HR professional & Human Resources (HR) Manager, you should be entitled to be paid till 2014. However, what I have observed in many companies is how the laws are manipulated, and thus, I always raise my voice for a change to revise these laws. To put it bluntly, I say these are "Unfair Practices of HR". Anyways, my friend, coming to your case.
As per the law, the eligibility for continuous years of service for qualifying for gratuity is 5 years. Describing it more for you, there are a few requirements on the part of the employee for claiming gratuity:
Most importantly, he should have worked for not less than five years for the employer.
The gratuity is calculated as follows: (Basic + DA) / 26 X 15 X Number of Continuous Years Worked.
A continuous year is a number of days of your service for a year of work, and as per the law, one continuous year is 190 days of work if working below ground (like mines, etc.) and 240 days if working above ground, including strikes, lockouts, any short temporary closure due to glitches, etc.
So, what your HR did is he took 2004 to 2009 as a period of gratuity, and as you meet all the criteria for that period, your gratuity is clear.
Now, due to your one-year break through medical leave, they (your HR and company) took your second term as 2010-2014 ineligible for the 5-year requirement. This is as per the law, but I say strategically and legally it can be challenged on any fair platform for justice.
1.) You need to prove what kind of medical leave you took, whether it was continuous or intermittent, or if you were on Leave Without Pay (LOP), etc. (Your association with the organization was not cut).
2.) You didn't resign and rejoin as a new employee.
3.) You worked from 2004 to 2009 and from 2011 to 2014 - January/March 2009 to November 2009 (for year 2009-10) and January 2011 to March 2011 (for year 2010-11) continuously till 2014.
Request the HR and company to at least reconsider their decision, if not, seek professional help to find a solution.
Try hard.
From Singapore, Singapore
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Thank you all for your comments. I was not terminated, and I did not leave the company in 2010. After recovery, I rejoined the company. I am in touch with HR and accounts to correct my gratuity calculation.
From United Arab Emirates, Abu Dhabi
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From United Arab Emirates, Abu Dhabi
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My company is not ready to pay me gratuity for my full tenure of 10 years. They mailed me a check for gratuity for 5 years from 2004 to 2010. They considered the salary that I used to get in 2010. I have not cashed the check and have been following up with my employer through emails regarding my gratuity. However, they never reply to my emails.
Please let me know what should be my next step. My company is in Noida. Please advise.
From United Arab Emirates, Abu Dhabi
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Please let me know what should be my next step. My company is in Noida. Please advise.
From United Arab Emirates, Abu Dhabi
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