Dear Sir/Madam, We are an NGO that employs regular and contract staff. I wanted to know whether gratuity applies only to regular staff who have worked for not less than 240 days in one year and even to contract staff directly employed by the NGO who have served the NGO for more than five years on an 11-month contract renewed every year. Please suggest.
From India, Bangalore
From India, Bangalore
Gratuity is payable to all employees, regular and on fixed term contract, who have worked at least for 5 years. An employee on contract for 11 months renewed every time would certainly qualify for gratuity if the total service from the start of to the end contributes to 5 years. There is no relevance for 11 months contract. This act of giving break after eleven months would only be considered as artificial break, and you cannot get any benefit out of it.
An NGO should be working for others, their upliftment etc, right? Before getting in to that 'others' why don't you see the rights of people who work for you? Why do you keep them for a contract of 11 months only? If you are a genuine organisation, you should first understand what is required to be done in respect of your own employees/ volunteers. Give them whatever are required as per statute. If you had taken care of them you should never had appointed them under a fixed term contract.
From India, Kannur
4250An NGO should be working for others, their upliftment etc, right? Before getting in to that 'others' why don't you see the rights of people who work for you? Why do you keep them for a contract of 11 months only? If you are a genuine organisation, you should first understand what is required to be done in respect of your own employees/ volunteers. Give them whatever are required as per statute. If you had taken care of them you should never had appointed them under a fixed term contract.
From India, Kannur
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FORM-F-NOMINATI ON OF GRATUITY.pdf
Gratuity Form I.doc