GRATUTIY ELIGIBILITY - Gratuity Eligibility

sudeepkgupta
This is classic... people cant agree on a simple fact. Can some expert put this to rest - please provide link to the Supreme Court judgement..
Regards
hrguru@gmx.com
Mr. vanshikajain12 sory you are not elgibul for gratutity.
i am agree with dheepree.
As per GRATUTIY Act 1972.
he must work in 240 working days every year , at the same time he must finish 5 yrs full service.
if employee Death or Permanent disablement then there is no rules.
so you having only 4 years 10 Months 29 days so you are not elgibul.
Regards,
Guru.
mukeshhr1986
dear sir ,
Sorry for intrrupt. Actually you are right that who has worked 240 days in fourth year but now 270 days is necessary.
ritesh.satia@webenture.com
If someone gets terminated by the company. In that scenario, does the company is liable to pay gratuity in case the employee has completed 5+ years in employment.
Regards
Rajesh
Gigi Mathew
Employee who has completed 5 years of service is eligible for gratuity payment whether it is a resignaiton or a termination.
Gigi Mathew
Excerpt from the act is below
Section: 4
Payment of gratuity.

(1) Gratuity shall be payable to an employee on the termination of his employment after he has rendered continuous service for not less than five years, -
(a) on his superannuation, or
(b) on his retirement or resignation, or
(c) on his death or disablement due to accident or disease:
Provided that the completion of continuous service of five years shall not be necessary where the termination of the employment of any employee is due to death or disablement:
Provided further that in the case of death of the employee, gratuity payable to him shall be paid to his nominee or, if no nomination has been made, to his heirs, and where any such nominees or heirs is a minor, the share of such minor, shall be deposited with the controlling authority who shall invest the same for the benefit of such minor in such bank or other financial institution, as may be prescribed, until such minor attains majority.]
Explanation. : For the purposes of this section, disablement means such disablement as incapacitates an employee for the work which he, was capable of performing before the accident or disease resulting in such disablement.
ajeetvarma50
Hi,
As per the Gratuity Rules, U are not eligible to receive gratuity amount on completion of 4 years 11 months. For becoming eligible for gratuity amount, u have to complete minimum 5 years of service. Rounding of the months to nearest year will be done once the employee is eligible for gratutity amount. In other words, in your case, rounding of 11 months to 1 year to make it 5 years will not be done.
Regards.
Ajeet Kumar
Gigi Mathew
Same is my understanding. Rounding off cannot be considred for eligibility criteria, which should be complete service of 5 years. There on to calculate the total no. service beyond 5 years rounding off can be applied.
regards,
Gigi Mathew
cyclops_bala
Dear All,
When I was working with a Logistics company we provide gratuity for a person who served only 4.7 years also.
Kindly check with the HR People and I heard that we can avail gratuity once we completed more thean 4.6 years itelf. PLease correct me if im wrong.
k.mukundraj
Dear Cyclops_bala,
The Acts stipulates the minimum requisites. There is no governance for maximum limit. Companies are welcome to pay even Tax amount on behalf of the employee, in case of gratuity exceeding the ceiling.
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