Understanding Gratuity Eligibility: Do Off Days and Holidays Count in the 240 Days?

Clarification on Gratuity Eligibility Calculation

The Madras High Court issued an order stating that if an employee has completed 4 years and 240 days of service, they become eligible to claim gratuity. This is in relation to the case of Mettur Beardsell Ltd., Madras v. Regional Lab. Commissioner (Appellate Authority under Payment of Gratuity Act), Madras, etc., 1998 (3) LLN 414. The Act specifies that the "employee has actually worked" when calculating the 240 days.

I require clarification on the following points regarding the calculation of the 240 days:

• Should Sundays or weekly off days be included?
• Are national and festival holidays to be considered?
• Should sanctioned earned leave days be included?

Regards,
Ravichandran M

Clarification on Gratuity Act Calculation

The Payment of Gratuity Act, Madras, etc., 1998 (3) LLN 414, states that an "employee has actually worked" should be considered when calculating 240 days. I need clarification on the following regarding the calculation of the number of days (240):

1) Should Sundays or weekly off days be included? - Yes
2) Should National and Festival holidays be considered? - Yes
3) Should Sanctioned Earned Leave days be considered? - Yes