Payment Of Grauity In Death Case Whereas Services Is Less Then 5 Yrs

dear sir
As per section 4 of the payment of gratuity act, the gratuity shall be payable to an employee on his death or disablement due to accident or disease, provided that the completion of continuous service of five years shall not be necessary where the termination of employment of any employee is due to death or disablement;
Under the circumstances, please pay the gratuity at the rate of 15 days salary per completed year of service in excess of 6 months to be rounded of to 1 year.

As per our company practice we will pay gratuity for all those years from his date of joining to attending the age of superannuation i.e. 58 years. Criteria of 5 years services is not considered in death case. Actual + Future gratuity we are paying.
Regards.
Ulhas

Dear Ulhas,
It is really very humane of your company management for this consideration for employees who die during employment service.
So if,
- Mr. X, aged 25 years, a confirmed employee who had just completed 5 months of service & had a fatal accident, then gratuity settlement will be 15 days salary (Basic + DA)** X 33 Years.
- Mr. Y, aged 25 years, a confirmed employee who had just completed 9 months of service & had a fatal accident, then gratuity settlement will be 15 days salary (Basic + DA)** X 33 Years.

- Mr. Z, aged 25 years, a confirmed employee who had just completed 5 Years 2 months of service & had a fatal accident, then gratuity settlement will be 15 days salary (Basic + DA)** X 33 Years.
** Last Drawn Salary
Please confirm my understanding.
Kind Regards,
Lancy Menezes

Hi Ulhas,
I also would like to know about this.
If any employees passes away during his service, is he eligible for gratuity up to his completed years of service + nos of years of service upto his probable retirement date?
Can you please revert with the details.
Regards,

who has served the organization for less than a year then gratuity calculation for one year only.
If it is more than year then his Joining date to attending the age of superannuation like your case of Mr.Z.
hope this will enough to resolve your query.
Regards.
Ulhas

Dear all,
As per Payment of Gratuity Act, it is compulsory to take insurance of the employees against the gratuity and in death case, Organisation has to calculate the gratuity up to the period employee has worked with the organisation as per formulas above given and organisation has to claim the rest period (as if he/she would have worked up to retirement age)'s gratuity from the insurance company, which has to be paid to nominee of the demised employee.
Regards,
Sunil Shelke

Dear All,
What if someone dies before completion of their 6 months of service...
Could someone share the documents of Gratuity Act and website too??
Regards,

MR.Kunal
Mr.atul has already clarified your doubts in his earlier reply. Kindly refer to it.
B.Saikumar
HR & Labour Law consultant
Chipinbiz Consultancy. Pvt.Ltd
Mumbai
Tel: 022-28324234

Dear Arun Talwar,
If termination is not for cause i.e. for any damages or loss to the company or the company reputation, then Gratuity should be payable.
Seniors, please confirm.
Regards,
Lancy Menezes

Dear All,
Happy New year to all of you.
I have one quiery if employee completed 4 years and 5 months service and he was absent/on leave for two months then he came to office and put his resignation with immediate effect can he eligible for gratuity? Pls advice.
W. Regards,
Anil