If a person appointed as advisor in a company for a fixed term of two years and term extended for more than eight years. Is he eligible for gratuity on the closing of his contract?
From India, undefined
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Dear Pathak,

As per the recent amendment to the Industrial Employment (Standing Orders) Central Rules, employees on Fixed-Term Contracts (FTC) are eligible for proportionate gratuity regardless of the length of their fixed term. Additionally, if the advisor is not a consultant on a retainer basis, but has been continuously on a contract basis extended for more than 8 years, they would automatically be entitled to gratuity for the entire duration of service upon the conclusion of the contract.

Thank you.

From India, Salem
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If there is no provision in the Payment of Gratuity Act, how can a Full-Time Employee (FTE) with less than 5 years of service receive gratuity under a rule? We have Rule 25 under the Central Labour Regulations Act (CLRA) for ensuring the same wages for Contract Labour (CL) as that of regular employees performing the same job.
From India, Thiruvananthapuram
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Dear Mr. Pathak,

If the advisor had signed a fresh offer every 2 years instead of an extension, in such cases, he is not entitled to gratuity for the earlier period. However, as per the new Code on Wages, he may be eligible for gratuity for the current contract or any contract signed hereafter for FTE.

Regards,
Suresh

From India, Thane
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