Gratuity Amendment Bill: Is the Effective Date the Notification Date or Retroactive?

Recently, the payment of gratuity amendment bill has been passed by the parliament, and it shall come into force on such date as the central government may, by notification in the official Gazette. Does it mean that the effective date of this bill is on the date of notification or any retrospective date?

K.V. Aravindakshan

Dear Friend,

As the Gratuity Amendment Bill 2010 has been passed by both houses through a voice vote, according to the language of the bill, it will come into force on a date that the central government may appoint by notification in the official gazette.

Please tell me whether the effective date will be January 2007 or the date of notification for PSU employees because the BPE, the governing body of PSU, has already issued a circular stating that the gratuity limit will be 10 lakh with effect from January 2007.

Kindly clear the doubt as many PSU employees have retired between January 2007 and the present date.

Regards,
prem_ag

Dear Friends,

Can you please send me the notification of the new gratuity ceiling?

Regards,
Swarnali