Can gratuity be paid in advance for a person who had worked for more than 5 years, for medical treatment?

SANTOSH D
Can gratuity be paid in advance for a person who had worked for more than 5 years, for medical treatment?

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Can gratuity be paid in advance for a person who has worked for more than 5 years for medical treatment?
nathrao
Gratuity is paid only upon exit after complying with the terms for the payment of gratuity. If the company wants to help, they can provide ex gratia payment for medical treatment, which will be unrelated to gratuity.
Aks17
Hi,

As rightly mentioned by the learned member, the payment of gratuity arises only after the employee's services are severed by any of the following means: termination/retirement, permanent disablement, death, or superannuation only. Gratuity is not paid while a person is still serving the company/organization.

Thanks and Regards
tsivasankaran
Payment of advance as a loan to be recovered from the amounts payable at the time of exit is possible. Do not pay as an advance against Gratuity. You can pay an advance towards medical expenses. Issue a letter stating that considering the employee's request, the recovery is delayed. Also, mention that if the employee happens to resign in the meantime before recovering the advance, the same shall be recovered from the money payable to him at the time of exit.

Sivasankaran
Nagarkar Vinayak L
Dear Colleague,

It is commendable of you to consider assisting an employee in financial distress. However, the question remains: Is paying it from the gratuity, which is not yet due, the only option you have? I believe it is possible to provide him with a short-term loan, recoverable in suitable installments from his salary. There is no restriction for you to pay it from the gratuity by preparing appropriate documentation.

Regards,
Vinayak Nagarkar
HR Consultant
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