Dear All,
We wish to seek clarification with regard to payment of gratuity to our employees. We are a mid size company having close to 600 personnel on our rolls. We do not wish to make a trust nor wish to become members of LIC or other recoganised financial body managing gratuity of employees. However, we continue to pay gratuity whenever an employee leaves or in case of death as applicable.
Will this be in order or it is manadatory to maintain either a trust or become members of an organised body for the management of gratuity?
Thanks & regards
Kalpana Rawat
From India, Delhi
1We wish to seek clarification with regard to payment of gratuity to our employees. We are a mid size company having close to 600 personnel on our rolls. We do not wish to make a trust nor wish to become members of LIC or other recoganised financial body managing gratuity of employees. However, we continue to pay gratuity whenever an employee leaves or in case of death as applicable.
Will this be in order or it is manadatory to maintain either a trust or become members of an organised body for the management of gratuity?
Thanks & regards
Kalpana Rawat
From India, Delhi
dear kalpana
you are absolutely right and most of the companies are doing the same what you are thinking.it is not necessary to take policy through LIC or from any other insurance company.
tks
js malik
From India, Delhi
you are absolutely right and most of the companies are doing the same what you are thinking.it is not necessary to take policy through LIC or from any other insurance company.
tks
js malik
From India, Delhi
Dear
This question is being asked by a number of persons keeping in view section 4 A of the Payment of Gratuity Act,1972. This section will become operational with effect from such date as may be notified by the appropriate Government while the Govt. has not issued any notification so far & hence this is not necessary to have Insurance under this Act. If any appropriate Govt. have issued any notification in this behalf then plz let us know also.
Regards,
R.N.Khola
(Labour Law & Legal Consultants)
09810405361
From India, Delhi
This question is being asked by a number of persons keeping in view section 4 A of the Payment of Gratuity Act,1972. This section will become operational with effect from such date as may be notified by the appropriate Government while the Govt. has not issued any notification so far & hence this is not necessary to have Insurance under this Act. If any appropriate Govt. have issued any notification in this behalf then plz let us know also.
Regards,
R.N.Khola
(Labour Law & Legal Consultants)
09810405361
From India, Delhi
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FORM-F-NOMINATI ON OF GRATUITY.pdf
Gratuity Form I.doc