Madhu.T.K
Industrial Relations And Labour Laws
Lijesh.lakshman
Human Resource
+2 Others

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Dear Friends,
A friend of my mine who has completed 5 years of service in that company had shifted presently to a new one. when he approached the previous management for his gratuity, he was denied on the ground that he had gone on a sabbatical leave for 3 months (Permitted officially). Will this be considered as break of service or still he is eligible for his gratuity benefits. Can some guide me on this issue
with regards
Udaya

Any authorised leave does not amounts to break in service.
Let me clarify, sabaticle leave must have been approved by the management that does not amount to break of service.
Employer is misleading your friend and this is violation of labour Law ( The payment of Gratuity Act)
Badlu

Dear Udaya,
As per the Payment of Gratuity Act 1972, a person need to complete 5 years of continious service without any break, the service of a person should not be interrupted on account of sickness, accident, leave, etc.
So in this case the Sabatical leave is considered as break in service.
Regards,
Lijesh

Any leave approved by the management will be considered as working days for the purpose of eligibility for gratuity. I understand that Sabbatical leave is paid leave and not LOP. Even if the LOP is approved one, there is no break in service and hence there is no scope for holding of gratuity. Yet another view is that if in any year an employee was on leave without pay but for that no action is taken against such an empoyee, then it will be deemed as regularised and gratuity shall be paid for that year provided he/ she had worked at least for 190 days (not even 240 days)in that year. Hence his eligibility for gratuity is to be decided after getting such information like whether he had worked at least for 190 days or not.
Regards,
Madhu.T.K

Dear Professional,
One of our employee worked on 5.2yrs and after he took 1yrs sabbatical leave,its approved form line manager.Once his completed of sabbatical leaves,afterwards he was continuously worked on his present job. My question is whether he is eligible for gratuity for 5.2yrs or 6+yrs.
Kindly suggest me above stated that queries.
Regards
Pradeep Kumar
+91 9483775538

If it is an approved leave, he will get the benefit of 6 years gratuity. Madhu.T.K
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