Dear Seniors,
Please help me. If an employee dies before completing his 5 years of service (having worked for 2 years and 4 months), is he eligible for gratuity? If he is eligible, what is the service period we have to count?
Thank you.
From India, Hyderabad
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1Please help me. If an employee dies before completing his 5 years of service (having worked for 2 years and 4 months), is he eligible for gratuity? If he is eligible, what is the service period we have to count?
Thank you.
From India, Hyderabad
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Gratuity is payable only if an employee completes 5 years of continuous service in a company. However, in case the employee dies before reaching this period, on compassionate grounds, you can disburse 15 days' worth of pay for each year of service rendered.
From India, New Delhi
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From India, New Delhi
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Dear Mr. Kumar,
An employee's death while in service is a statutorily recognized mode of termination of employment, which requires no minimum continuous service of not less than five years for the payment of gratuity. Therefore, I believe that it is a legal obligation imposed on the employer to pay gratuity rather than a matter of compassion.
In terms of the method of calculation in such a case, the employer must determine the entitlement based on a period of one year or six months as envisaged under Sec. 2-A(1) of the Payment of Gratuity Act, 1972.
Thank you.
From India, Salem
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An employee's death while in service is a statutorily recognized mode of termination of employment, which requires no minimum continuous service of not less than five years for the payment of gratuity. Therefore, I believe that it is a legal obligation imposed on the employer to pay gratuity rather than a matter of compassion.
In terms of the method of calculation in such a case, the employer must determine the entitlement based on a period of one year or six months as envisaged under Sec. 2-A(1) of the Payment of Gratuity Act, 1972.
Thank you.
From India, Salem
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