Gratuity for Trainees: Should It Start from Day One or After Probation?

Hi,

The opinion of the members is solicited as we have a strong debate on the subject.

We have a trainee scheme for workers absorbed in the company rolls. The scheme starts from initial training and goes on under various heads before the guys move into the probation and subsequently confirmation. The guy joining as a trainee has to undergo training for about six years and subsequently lands up in the probation.

The question for debate is whether the gratuity is payable from the date of joining or from the date of probation of the particular guy. Can we have opinions on this, please?

Thanks and regards,
B. Peros Kumar

Hi,

Once the trainee/temporary/probationer, or whosoever, completes five years under one employer, they would become entitled to gratuity irrespective of the fact that on the date of joining, they were, in fact, taken as a trainee/temporary/probationer and were later confirmed or taken on the rolls of the company. This is as per the labor law jurisprudence, and one can refer to a case law on it.

Bharat

From the attached judgment, it will be clear that the period of traineeship is not to be excluded for counting the minimum 5 years for payment of gratuity. Bharat.