I was an employee of a Private Limited Company, whose business is making paper mill machinery from 01-06-2007. On 1-1-2011, the management of the said company transferred me to another private limited company whose business is making paper. The directors of both companies are the same, and the registered office of the company is at the same address, but the CIN no., P.F., ESI no., etc., are different. I was covered under the group gratuity scheme of LIC. LIC transferred my gratuity fund from the fund of the 1st company to the fund of the 2nd company.

I resigned from the 2nd company on 02-04-2016. In the meantime, the 1st company has been closed. Now the directors of the 2nd company reject to pay the gratuity for the period from 01-06-2007 to 01-01-2011; they show my date of appointment as 02-01-2011. My question is, what is my date of appointment: 01-06-2007 or 01-01-2011?

From India, Kolkata
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You have mentioned that your Gratuity of the 1st company was with LIC, which was transferred to the LIC Gratuity of the 2nd company. Since the LIC fund is being transferred, there should not be any problem in making the payment, to the best of my belief. Please wait for other forum members as well as seniors' views.
From India, Ahmadabad
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Dear Suman,

Have you explained the same situation to your current management? They need to understand that when a third party like LIC is involved, they do not need to consider your gratuity as a liability. Since LIC has processed your claim, they will pay you accordingly. Your employer simply needs to fill out the form with your initial date of joining and let LIC determine the eligible amount for you.

What you can do is visit the relevant LIC office and inquire about your details, then communicate the same to your employer.

From India, Pune
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Your services were transferred with continuity of service from one group company to another group company. Consequently, you are entitled to gratuity from your original date of joining. Furthermore, your previous gratuity amount has already been transferred to your present employer account. Please take up the matter with the controlling authority under gratuity by submitting your gratuity claim to your present employer without further delay.
From India, New Delhi
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1. The contents of the letter need to be reviewed to understand whether it was a case of transfer or a new appointment.

2. Having said that, since an equitable transfer of interest has taken place, indicating a transfer between group companies, the date of joining in the 1st Company should be considered as the date of joining for determining the eligibility of gratuity.

3. LIC, or any other insurer, cannot settle any gratuity claim directly in favor of an outgoing employee. The Gratuity Trust or, in the absence of a Gratuity Trust, the employer, will be the disbursing entity.

4. If you are certain that an equitable transfer of interest has occurred, then the 'date of joining' in the LIC database must match the 'date of joining' of the 1st Company. This will provide clarity on how both companies have treated you. If the 'DOJ' in the LIC record aligns with your claim, you are likely to receive the claim. If the 2nd Employer disagrees, legal recourse can be pursued (after obtaining clear evidence on all the mentioned points).

From India, Hyderabad
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