Entitlement Of Gratuity Pdf Download

The formula for calculation of Gratuity is
Basic salary + DA * 15 DAYS * No.of years of service/26 days
regards
prakash

Please verfify the following:
In the third year that the employee did NOT complete 240 days of continuous employment, was the shortfall due to reasons which amount to break in service?
In this case yes he would be entitled to Gratuity after all he has completed more than five years' employment.
Vasant Nair

Hi,

Gratuity is payable on rendering continuous service not less than five years. – Sec.4(1)

The provisions of this sec. must be read with Sec2-A(2.a-ii) , which reads as follows:-

Where an employee(………………..)is not in cont. service…………………….for any period of one year or six months, he shall be deemed to be in cont. service under the employer –

a) for the said period of one year ,…………………………………..,has actually worked under the employer for not less than –

i)……………………………………………………………………………………………………………………………… ……

ii) two hundred and forty days , in any other case.

Conclusion : an employee rendering cont. service of 4 years and 11 months is entitled for Gratuity.

Case Law : This interpretation finds support in the following judgement.

Gist : In this case , the employee has served for 4yrs , 10 months and 18 days, which is definitely more than 240 days, He has ,therefore, put in 5 years service and is entitled to Gratuity.

- Mettur Breadsell Ltd. V. Reg. Lab. Com. , 1998(3) LLN 414 (Madras H.C.)

I.N.JHA

formula for Gratutiy is:
Last drawn Basic * 15/26 * No. Of Years of Service.
Some companies pay gratuity on the basis of 30 days instead of 15. it depends from company to company.
Shikha

he will not eligible for gratuity because he haven't complete 5 years continous service.
Regards
Charvaka Reddy

Dear All,
Don't Confusion, Read the below attachment which clear all doubts.
Thanks
Amit sharma

Hi,
Greetings of the Day!
please advise that the latest limit of Gratuity.
Sher Singh(HR)
9891758004.

Dear All,
Gratuity Calculation = {Lastdrawn(Basic+DA)*15*No.of years}/26
26 - no.of working days in a month
15 days after compeltion year of service
Regards
Charvaka Reddy

If the employees salary is structured in a CTC format what is the criteria of Gratuity payment, if the employee is terminated before compleeting 5 years? Would like to know the answer.

Dear
Gratuity is payable on actual Basic Wage & D A only. If the services are terminated before completion of five years then in that case no gratuity shall be payable.
With Regards,
R.N.Khola