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Greetings!!!
HI my total work experience is 4 years 11 month, i will be completing my 5 years on this january 26th 2015.i hav put on resignation on Dec 8th... im in notice period . Jan 29 ,2015 is my last working day. will i be elligible for the gratuity amount.i hav joined this organisation on 26th Feb 2010. Awaiting for your reply...pls suggest me
Thanks & Regards,
Thalir

Yes, Gratuity Act entitles for gratuity Amount after Completing 4 Years and 6 Months (Please Refer Gratuity Act)
Thanks So much Deepak....Need one more help.....do u hav any idea how to calculate gratuity amount right now when i saw my appraisal paper they hav written 700 per month for my gratuity.... but can u tel me what is the exact calculation of gratuity amount. after completing 5 years how HR will calculate the gratuity amount..? Awaiting for your reply Deepak
Thanks & Regards
Thalir

The effective date of resignation tendered by you in notice of resignation can not be preponed or postponed by employer.
Thus you will be completing clear 5 years...
{(Basic+DA)/26*15*No.of year in service}
Here Basic+DA is as per last drawn wages.....
The employer can provide superior benefits and the Act allows it.....
IT IS WRONG THAT EMPLOYEE THAT HAS SERVED FOR 4.6Y IS ELIGIBLE...

Dear Mr. Ddoaba
I have nothing to add worth in this discussion but want to make you correct about your counter against Mr. Deepak.
As this is a place where lots of Green-Horns surf for better learning and understanding.
If an employee serve for a company for more than 4.5 yrs will be clearly entitled for a Gratuity.
Be firmed and confirmed before writing anything (Please Refer Gratuity Act)

Please note The Payment of Gratuity Act NOT AMENDED to Eligibility for any employee completing 4 years, 240 days continuous service. This 240 days to be considered as one full year for gratuity payments starts from sixth year onwards.
It is for INDIVIDUAL CO. OR ORGANIZATION to consider as a special case or as their own company policy to consider and pay Gratuity to their Employees for one who completes 4 years + 240 days ..+ continous service.
B. Sundararaman

HR, IR Consultant
PS: Please note the old Madras HC judgement is applicable only for that company and it is not Supreme Court Judgement to be considered as AMENDMENT IN THE PAYMENT OF GRATUITY ACT.

One very good explanation which I found from other post from this Cite HR Forum. thanks to ... please. Regards, bsr*

Attached Files
File Type: pdf Gratuity Eligibility.pdf (31.6 KB, 3293 views)

@Arunoday,
It is firmed and confirmed that any employee that serves in employment for more than 4.5 years shall not be eligible......as per PGA.
The condition of 6months 1day and above being counted as 1 year is in case employee has served for more than 5 Years....

Hello,

"During this period of minimum 5 years service, if in any calendar year of 12 months, if the employee, for reasons given, has not completed 365 days work but has completed 240 days (or as applicable), then it will be considered that the employee has completed continuous service for that year. So, if an employee joins on 01/01/2000, he completes 5 years on 31/12/2004, However, if the employee resigned on 31/08/2004, though he would have worked more than 240 days in 2004, it will not be considered as a full year in 2004, and so not 5 completed years. thus, he would not be eligible for gratuity."

As per Madras High Court order

In order to be eligible for gratuity, employee should have at least 4.8 yrs continuous years of service with the employer.

An employee is in service in a calendar year provided he has worked for

190 days in case employee is employed below the ground and (4.6yrs) - For mining staff {working below the ground}

240 days in any other case. (above the ground -4.8yrs) - For office/field staff

Hello All,
I am working in a private company and working since feb 2010, I have resigned on Jan 19.
I have completed 4.11 years in this company and now I am in notice period.
I will complete 5 years on 14th Feb.
Am I eligible for the Gratuity, as company management is saying notice period will not be counted for 5 years.
Please Guide.
Neha More


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