Umakanthan53
Labour Law & Hr Consultant

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Dear Sir, Under the shop and Establishment act (Retail Department store, above 50 Employees worked). No having any standing order, therefore an employee receiving a pension and settled provident fund. He is rejoining after 58 years, is he eligible or non-eligible for receiving a gratuity. Please inform us.
From India, Erode
Dear Soundhar,

In India, but for the provisions of the Child Labor ( Prohibition & Regulation ) Act,1986 which forbids employment of children below the age of 14 years and adolescents in certain specified hazardous occupations or processes, no statutory bar on entry into general employment nor any age of exit but for the service regulations of individual organizations in the non-Governmental sector. Therefore, it is the discretion of the individual employer to re-employ a superannuated person either as a regular employee/ a Fixed Term Contractual Employee or as a consultant on retainer basis. In the case of retainership, no gratuity is payable irrespective of the length of service as it is only a contract for service. In the case of regular employees, the re-employment is a fresh innings of service and as such gratuity would be payable as per the provisions of the Payment of Gratuity Act,1972; if the re-employment is on Fixed Term Contract basis, gratuity would be payable in proportion to the length of service notwithstanding the minimum qualifying service under the P.G A,1972.

From India, Salem
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