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Dear sir, Please clarify the eligibly of gratuity. Suppose a person joined as a daily wages (CL) on 1.1.1985 and he was joined as a employee on 1.1.87 and he is retired on 31.1.2018 and he is claimed is gratuity from 1.1.87 to 31.1.18 .
Now he approach the court and he is trying to claim the gratuity that the period he worked as CL ie 1.1.1985 to 1.1.1987 ( 2 years ).
So please clarify whether he is eligible to claim the gratuity for the period he worked as CL.
If so Please specify the section clearly.

From India
Insolvency N Gst Professional
Management Consultancy
Compliance Manager
+1 Other


Worker is entitled for gratuity from 1/1/85. It is continuous service which matters not whether he is daily wager.
From India, Pune

The principle is that gratuity is payable to an employee for the continuous service rendered. So whether gratuity is payable for the period of 'daily wages' depends on the definition of continuous service and employee as provided in the Payment of Gratuity Act 1972. The same is reproduced below:
2*["2A. Continuous service.- For the purposes of this Act,--

(1) an employee shall be said to be in continuous service for a period if he has, for that period, been in uninterrupted service,including service which may be interrupted on account of sickness, accident, leave, absence from duty without leave (not being absence in respect of which an order treating the absence as break in service has been passed in accordance with the standing orders, rules or regulations governing the employees of the establishment), lay-off, strike or a lock-out or cessation of work not due to any fault of the employee, whether such uninterrupted or interrupted service was rendered before or after the commencement of this Act;
(2) ..........
Section 2 (e) "employee" means any person (other than an apprentice) employed on wages in any establishment, factory, mine, oilfield, plantation, port, railway company or shop, to do any skilled, semi- skilled, or unskilled, manual, supervisory, technical or clerical work, whether the terms of such employment are express or implied, and whether or not such person is employed in a managerial or administrative capacity, but does not include any such person who holds a post under the Central Government or a State Government and is governed by any other Act or by any rules providing for payment of gratuity.
Reading the two together, if the employee has been continuing in service from 01.01.85 to 31.01.18 and has been discharging basically skilled, semi- skilled, or unskilled, manual, supervisory, technical or clerical work, then the employee is entitled to gratuity for the daily wages period too.

From India, Mumbai

As the learned member stated the gratuity is payable since the date of joining the company, no matter what the status/designation etc. He is eligible for gratuity from 1985. Only condition to be fulfilled was the continuous service for 5 or more years, which is not a dispute.
Thanks and Regards

From India, Hyderabad

Dear Friend, Be clarified that the employee is eligible for entire period of service from 1.01.1985 (date he joined as daily wage earner) till his separation dt. 31.01.2018.
From India, Mumbai

Before recruiting the person on the company roll on permanent basis, if he has been given a break in service for the casual period of service for some days and then he has been recruited on permanent basis on company roll in such case he shall not be entitled to gratuity for the period as casual worker. However, if no break in service is given in the service and taken on permanent roll, in that case he shall be entitled for gratuity.

From India, Mumbai
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