If an employee takes long leaves in a serving year ( granted leave 1 month but not reported for more than 3 months) is he entitled for gratuity for that year and if he is reinstated this will considered as fresh joining?
From India, Mumbai
Dear Vinay,
May I ask you to go through Sec.2-A of the PGA,1972 which defines the term ' continuous service' for the purpose of computation of gratuity under the Act?
Any period of unauthorised absence declared as break in service by the employer as per the provisions of service regulations or standing orders of the establishment should be excluded from calculation of continuous service for the purpose of gratuity.
Overstayal of leave is an unauthorised absence. Unless such period is declared as break in service as stated supra, it has to be taken into account for computational purpose of statutory gratuity.
Unauthorised long leave taken by the employee does not automatically snap the tie of employer-employee relationship. Therefore, rejoining after such long unauthorised leave cannot be treated as fresh joining as if a sequel to a fresh appointment.

From India, Salem

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