Dear Sirs
Please advise
Can any employer bypass gratuity act and settle for less that 50% of actual eligibility citing their internal rule/agreement?
Can employer prevent employee from taking legal action for settling less that eligible amount and incorporating clause in their settlelent letter that employee cannot take any legal action?
Please advise your valubale comments.
Regards
Arbind
From India, Calcutta
Please advise
Can any employer bypass gratuity act and settle for less that 50% of actual eligibility citing their internal rule/agreement?
Can employer prevent employee from taking legal action for settling less that eligible amount and incorporating clause in their settlelent letter that employee cannot take any legal action?
Please advise your valubale comments.
Regards
Arbind
From India, Calcutta
Dear Arbindsha,
I would like to draw your attention to Section 14 of the Payment of Gratuity Act,1972 which clearly states that the the provisions of the Act and the Rules made thereunder have overriding effect over the provisions of any other law or rules or contract or instrument in relation to the subject matter of gratuity.
Therefore, an emphatic no is the answer to your first query.
The right to gratuity is a legal right conferred by the PG Act,1972 on an employee and as such it can not be curtailed by means of any other instrument.
From India, Salem
6016I would like to draw your attention to Section 14 of the Payment of Gratuity Act,1972 which clearly states that the the provisions of the Act and the Rules made thereunder have overriding effect over the provisions of any other law or rules or contract or instrument in relation to the subject matter of gratuity.
Therefore, an emphatic no is the answer to your first query.
The right to gratuity is a legal right conferred by the PG Act,1972 on an employee and as such it can not be curtailed by means of any other instrument.
From India, Salem
Employer cannot evade responsibility to pay as per Payment of Gratuity Act 1972. Legal right to gratuity cannot be curtailed by any agreement or clause in appointment letter.
From India, Pune
From India, Pune
If the employee willingly accepts as a gentleman agreement for the lesser amount of gratuity with an understanding that he will not approach the court of law for balance of gratuity, it can be done within yourselves.
But in any case, if he approach the court for balance amount of gratuity after receiving the 50%, then you have to pay the balance amount also.
Please see all these into consideration.
From India, Hyderabad
But in any case, if he approach the court for balance amount of gratuity after receiving the 50%, then you have to pay the balance amount also.
Please see all these into consideration.
From India, Hyderabad
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Payment of Gratuity Act, 1972 & The Rules.ppt
THE PAYMENT OF GRATUITY ACT 1972.doc