Gratuity Eligibility Of Senior Citizen Who Is Join In A Company At The Age Og 67yrs - CiteHR
Couvery
Consultant
Kritya Nand Jha
Dy. Mgr.(hrd)
+3 Others

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Dear HRs,
whether the Gratuity is applicable for senior citizens or not in private organization. The senior citizen employee worked for a period of 8months and he is claiming gratuity payment for 8 months.
Our payable structure is CTC. It includes additional benefits apart from his gross salary.

First of all let the forum know that how come a person at the age of 67 years joins a company as an employee, and if at all the employee has joined the company then what is the age of his/her retirement mentioned in his/her appointment letter. Please clarify
There is no ban on appointing a person of 67 yrs on fixed term contract .If he works for at least 5 years then he is entitled for gratuity as per POG Act. Varghese Mathew 09961266966
Well, the senior citizens often employed on contract basis and not as permanent employee as well a person can eligible for gratuity if he served continously for an organisation for five years. So, the employee who is already retired and is of 67 years of age working in your company for 8 months can not ask or claim for gratuity.
If a person is employed on Fixed Term Contract then he/she cannot claim Gratuity for 8 month of his/her employment. Also request your goodself to kindly let the forum know what all are the benefits included in the CTC apart from Gross salary as you mentioned in your query
Thank a lot to all for providing such a information in this regard, here I done one mistake in mention of that employee instead of 57yrs I wrote 67yrs sorry for this.
Actually in our company gratuity 4.81% is deducting on basic salary of employee and we showing this under additional benefits. In this case he is asking to pay his gratuity as he is senior person unable to continue his service with us....so please understand my problem i.e whether the gratuity is payable to him or not..

If your company is deducting an amount equivalent to 4.81% of basic salary as gratuity as a part of CTC, then a provision for gratuity must be shown in your books of accounts, so he is entitled to get his salary i.e. his cost to company. Seniors please advise if I am wrong.
As mentioned earlier please let the forum know what is the retirement age as per your company policy. If the retirement is 58 years (assuming) then also he is eligible for gratuity as he will be attaining/attained 58 years.

Greetings to all,
I worked in a company for 5 years 3 months, when I joined they didn't released any appointment letter as they had no provision/no-HR to take care of this work.
After 2 years they have registered the company under PVT.LTD firm and renamed the company, even though no official intimation provided to the employees.
I have left this company 2 years back and taken experience / relieving letter for 5 years 3 months.
Now when I sent a request for gratuity payment, they are trying to avoid by replying that I had been associated with that company only for 3 months, as they had been registered my records under the old company name which renamed latter.
Can some one please guide me if I can go legally to claim my gratuity. I have only relieving letter and bank statements as a proof that I was associated with that company for more than 5 years.
Thanks & Regards,

Dear Umraz, File claim before the Controlling Authority under Payment of Gratuity Act in your area or where your establishment was located.
If company is appointing a retired person (above 58/60 as case may be), company should keep him on contract basis with lumpsum. However, if company continues his employment as regular employee, as per Gratuity Act statute a person has to work for 5 years. A retired person is well known this Act. Company has to make provision from completion of first year about Gratuity. If he leaves company, company is not bound to pay any money on account of Gratuity.

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