Gratuity Payable In Case Of Employee Death Or Disablement

Dear Seniors,

Please, can anyone explain what the gratuity calculation is in the case of death or disablement of an employee? And, will an employee be eligible for gratuity even if he dies or becomes disabled on the very first day of joining? If so, what is the calculation method?

Regards,
Vissu.

Dear Vassu,

Gratuity calculation is one and the same in all cases. No gratuity is payable for less than one year of continuous service in the event of the death of the nominee or legal heirs of the employee. According to the Payment of Gratuity Act, 1972, one will notice that we fill up or receive the nomination form from the employee upon completion of one year of service.

R.N. Khola
(Labour & Legal Consultants)
09810405361