As per Payment of Gratuity Act, it is 5 years and there are cases of refusing gratuity for an employee who had completed 4 years 11 months and 10 days (P. Raghavalu & Sons Vs. Addl. Labour Court, AP). However, once an employee becomes eligible for gratuity after having completed 5 years, any fraction of years in excess of six months shall be treated as one year for calculating the amount of gratuity. As such one who leaves after 6 years and seven months shall get gratuity for 7 years.
Similarly, continuous service has been intrepreted as uninterrupted service and one who has worked at least for 240 days (above the ground) or 190 days (below the ground, say mine) shall be treated as had continuous service.
Adopting this view there seems to be court verdicts allowing an employee to get gratuity provided he had worked for 4 years and 240 days in the fifth year. I do not have any copy of the said verdict. I believe that Madras High Court and Delhi High Court have made ruling as above mentioned.
Regards,
Madhu.T.K