Is an Employee Entitled to Double Gratuity if Terminated Without Cause After 5 Years?

Kindly let me know if the services of an employee are terminated by the company after completing more than 5 years of service, for no fault of his own, is he eligible for double gratuity.

Generally, companies will not stop paying the gratuity unless there is any damage or loss associated with that particular employee. They may hold gratuity under disciplinary action; it all depends on the situation and management's decision. If you want an appropriate answer, please wait until our seniors reply.

Payment of Double Gratuity

We do not find any provision for the payment of double gratuity in the Payment of Gratuity Act, 1972, even if the company terminates the employee.

Kindly let me know if the services of an employee are terminated by the company after completing more than 5 years of service, for no fault of his, is he eligible for double gratuity.

Regards,
R.N. Khola

If the company terminates the employee, he is not eligible for gratuity. It is at the discretion of the management. There is no act or provision for double gratuity.

MANOKAVIN