Umakanthan53
Labour Law & Hr Consultant
Piyadebose
Manager, Er And Training

Thread Started by #piyadebose

My question: Are contractual employees - (fixed tenure followed by renewal) eligible for gratuity payment at the end of 5 years? Will contracts be considered as continuous employment?
23rd January 2017
Dear PIYADEBOSE,
The nature or type of employment whether permanent, temporary, contractual i.e, FTC etc., is not at all relevant for determining the eligibility of an employee for gratuity under the Payment of Gratuity Act,1972. Any Fixed Term Contract of Employment if renewed consecutively and the employee renders a continuous service of not less than 5 years under the same employer, then he is eligible for gratuty under the Act. Every time the contract is renewed its each expiration gets automatically extinguished.
24th January 2017 From India, Salem
Reply (Add What You Know) Start New Discussion

Cite.Co - is a repository of information created by your industry peers and experienced seniors. Register Here and help by adding your inputs to this topic/query page.
Prime Sponsor: TALENTEDGE - Certification Courses for career growth from top institutes like IIM / XLRI direct to device (online digital learning)





About Us Advertise Contact Us
Privacy Policy Disclaimer Terms Of Service



All rights reserved @ 2019 Cite.Co™