Is Gratuity applicable for an absconding employee?
From India, Bengaluru
Dinesh Divekar

Dear Sandhya Prajwal,

While raising a query the members are expected to give completed background information. Have you raised the question as an HR professional or have you absconded and wanted gratuity from your company? In either case, please date of joining and the date of absconding.

By the way, to become eligible for gratuity, one has to serve for five years. After serving that long, why someone felt to a need to abandon the employment?


Dinesh Divekar

From India, Bangalore

Dear Sandhya-Prajwal,
Gratuity refers to the amount that an employer pays his employee, in return for services offered by him to the company. However, only those employees who have been employed by the company for five years or more are given the gratuity amount. It is governed by the Payment of Gratuity Act, 1972. Therefore Gratuity is applicable if employee has completed 5 or more year otherwise he is not eligible to get Gratuity benefit.


Gratuity is payable on the termination of service after completion of five years of continuous service, the termination of service could be for any reason including voluntary abandonment. Once the factum of termination exists, then the gratuity has to be paid within one month thereof, beyond that it attracts interest and penal provision for wilful violation of the PGA 1972.
From India, Mumbai

In the case of an absconding employee, the employer may have a legal obligation to follow a specific process to terminate the employee's employment. The process may involve issuing notices and giving the employee an opportunity to respond. If the employee fails to respond or cannot be located, the employer may need to take legal action to terminate the employment contract.

If an employee has absconded, the employer may have a right to withhold any payments owed to the employee, including gratuity. However, the specific rules and regulations regarding the payment of gratuity to absconding employees may vary depending on the laws of the country or state in which the employment contract was signed. It is advisable for the employer to consult with legal experts before taking any action regarding the payment of gratuity to absconding employees.

From India, Noida

Gratuity is payable to an employee on completion of 5 years continuous service and in each completed year of service,the employee should have worked for 240day. Your query is not clear. Since how long the employee is absconding? What action the organisation has initiated against him? How much service he has rendered continuously since the day he is absconding.
R R Kapoor

From India, Vadodara
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