This doubt frequently arise and cleared.Yet,it is agian and again raised.Section 4(1) says
'Gratuity shall be payable to an employee on the termination of his employment after he has rendered continuous service for not less than five years'
The Act hastened to add in Section 4(2)
'For every completed year of service or part thereof in excess of six months,the employer shall pay Gratuity to an employee at the rate of fifteen days wages based on the rate of wages last drawn by the employee concerned'
This is a labour welfare legislation and as such, the term advantageous to the labourer is taken for all purposes.
The courts also have come in favour of the employees and ruled that one need not necessarily complete the full term of five years for getting gratuity.