This topic was discussed many times in the past. Please refer the following link
It is very common that Gratuity premium payable to LIC (Under Group Gratuity Plan) is presented in the CTC structure as part of CTC but not necessarily to be paid in case of exit before the completion of five years.
From India, Madras
He has not completed 5 Continuous years as mandated by the Act.
Please draw his attention to the provisions of law regarding eligibility of gratuity.
I am sure you have not deducted any amount towards gratuity.
From India, Pune
It is therefore advisable not to show the component of gratuity which is linked to prescribed rendition of service ( minimum 5 years) as per statute , as part of CTC in the appointment letter . However the statutory payment( under payment of Gratuity Act 1971) may be mentioned as one of clauses in the letter of appointment
From India, Chennai