Gratuity Amount Not Released Yet By the HR - salary structure

redstain6664u Started The Discussion:

I have worked for seven years for a pvt company and resigned in the march 2011, want to claim for gratuity after leaving the organisation , The HR management is not responding to the calls made nor the sms made to the HR, nor giving an appointment to meet them when contacted at the official number, what options do i have to get my gratuity. whom to contact then.

sethupathy-s -  Member Since: Apr 2009
Dear Redstain,

If You have documents to prove that you had worked for 7 years continuously, then no one can deny the gratuity money.

First you write a letter along with Form I to the HR and the Management stating about the claim of Gratuity for the period you have served.

Wait sometime for a reply. If they are not responding, take this matter to the Asst/Dy Labour Commissioner for your area with a request letter with form N for gratuity settlement. He will do the needful.

Excellent HR Services,

Attached FilesProvided by community member sethupathy-s. Join us to learn and grow with your peers.
File Type: doc FORM I pg act.doc (20.5 KB, 594 views)
File Type: doc FORM N.doc (31.0 KB, 429 views)
suvarnavp -  Member Since: Apr 2009
Hi Seniors,

With regards to gratuity, I have one query. I am working in a software company since Dec.2004. In Sept.2005 I had taken one month break. Again joined after one month. Till date I am working in same company. If I resign from this company, will I be able for gratuity? If yes, how much years of service will be considered?

Thanks & Regards,


sethupathy-s -  Member Since: Apr 2009
Dear all,

For the year 2005 what you have done reigned and rejoined?

If it is rejoined the calculation will be taken from that day onwards.

Please note that even one can out of duty /LOP etc., the 240 days rules applicable to consider that year as a part of continuous services.

Excellent HR Services,

Ajitsingh.Bhatia -  Member Since: Apr 2011
Dear all,

I joined company on 2 May 2005 as trainee on stipend (no Epf deduction) as an employee with appointment letter and got confirmed exactly after 1 year i.e. 2May 2006 (EPF deductions begin)and left it on 23rd Feb 2011. Do I stand eligible for gratuity?? And from where can I cite the clarity to company HR as they too are not sure, as 5 years are not completed.

Thanks in advance



sethupathy-s -  Member Since: Apr 2009
Dear Ajitsingh,

EPF deduction has no role in Gratuity calculation.

Your date of joining is the base for the calculation.
Hence you are eligible for gratuity.

Gratuity calculation = Your last drawn basic+DA X 6 years of service X 15/26.

Excellent HR Services,

boopchat -  Member Since: Mar 2009
My case also similar to Mr.redstain.I have worked for seven years in Software company(First Job). i resigned and properly relieved on Feb2011 when i was asked about my gratuity settlement, HR told gratuity was given long with my salary, but i didnt see any such component in payslip breakup. when i started explaining more about gratuity he told we didnt mention gratuity in offer letter so we wont provide gratutiy and he behaved very rudely. when i escalated this issue to manger he too replied the same and also told even if u do legally to claim gratuity we knew how to handle.

I dont know what to do.. with similar exp around 6 person left the company without getting Gratuity settlement (by fearing they will give bad remark in background verification). we are even ready to take legal action now.

so if we approach Asst/Dy Labour Commissioner will we get back our gratuity money


1. we all joined this company thru CAMPUS interview and served without break for 7 years.
  1. In our Offer letter, thr is no gratuity mentioned(Is this mandatory to mention in offer letter to claim Gratuity settlement)
  2. is thr any time frame, to ask for gratuity settlement after relieved date.

Please help us

sethupathy-s -  Member Since: Apr 2009
Dear Ram,

Many companies are not mentioned anything about gratuity in their Appt orders, which doesn't mean that they can deny it.

Suppose a company not mentioned anything about PF/ESI in their Appointment Orders, should they explain the same to the PF or ESI authorities for non deduction?

Please go through the Section 1 of this Act-

Section: 1
Short title, extent, application and commencement.
(1) This Act may be called the Payment of Grataity Act, 1972.
(2) It extends to the whole of India:
Provided that in so far as it relates to plantations or ports, it shall not extend to the State of Jammu and Kashmir.
(3) It shall apply toČ -
(a) every factory, mine, oilfield, plantation, port and railway company;
(b) every shop or establishment within the meaning of any law for the time being in force in relation to shops and establishments in a State, in which ten or more persons are employed, or were employed, on any day of the preceding twelve months;

for your reference I am enclosing the bare act of it. Please go through this.

Also note that if the company functioning more than one state then the Central Rules are applicable.

All the best Ram

Excellent HR Services,

Attached FilesProvided by community member sethupathy-s. Join us to learn and grow with your peers.
File Type: doc Payment of Gratuity Amendment Act 2009.doc (21.5 KB, 245 views)
File Type: pdf Payment of Gratuity Amendment Bill 2010.pdf (78.6 KB, 299 views)
File Type: doc PaymentofGratuityAct.doc (86.0 KB, 363 views)
File Type: doc Payment of Gratuity Central Rules 1972.doc (206.5 KB, 279 views)
vikash1017 -  Member Since: Nov 2009
Hi All,

You are eligible for gratuity and is not part of salary structure. will be payable after continuous service of 5 years. ("superannuation", in relation to an employee, means the attainment by the employee of such age as is fixed in the contract or conditions of service at the age on the attainment of which the employee shall vacate the employment; )

Mr S.Sethupathy has given right guidelines please follow and also request to Asst Labour commissioner for this.

Ajitsingh.Bhatia -  Member Since: Apr 2011
Dear Sethupathy, Thanks for the guidance. This will be of much help in this case. Regards, Ajitsingh


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