The contractor has hired employees and has been paying wages to his employees. If one of his employees leaves after 8 years of service, it is his responsibility to pay gratuity to that worker and he is suppose to pay it. Now whether the employee is eligible to gratuity or not is to be decided after verifying his service. Inorder to be eligible to gratuity one has to be in continuous service for five years. Now in order to constitute continuous service one has to work at least for 240 days in each year. In this case, if the employee has the habit of working for 10 days in a month, then it is doubtful whether he would attain continuous service. Please verify whether he use to work for 240 days in each year.
29th April 2010 From India, Kannur