Nathrao
Insolvency N Gst Professional
Aks17
Compliance Manager
Karwa
Business

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Gratuity applicability if a partnership firm ( run for 3 years) converted to LLP (running from last two years) and shifted to new working place. There was no written understanding with employees. Should we consider 3 years of working in partnership while calculating Gratuity for employees leaving LLP.
If only form and type of organisation has changed, liability for gratuity will remain. Otherwise some wise employer may see it as a way to escape welfare liabilities.
Hi
Payment of Gratuity should be applicable from day one so long as there are minimum of 10 employees in the company. If the above is fulfilled your period has to start from the day one at Partnership Firm. No other agreement to the effect is ever required for this Act.
Thanks and Regards

Gratuity is applicabe to both the types of firm (partnership firm and LLP). There is every possibility disolve of tenure of employment in partenership firm without an understanding with employees.
One should check the record of LLP, what date(DOJ) they maintained against each employee worked in that partnership firm.

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