Gratuity Eligibility: Does Missing 7 Months in 5 Years Affect Your Claim?

Dear All, The Gratuity Act states that an employee should complete a minimum of 5 years of service for eligibility. If an employee completes 5 years but does not work for 7 months before completing the 5 years, is the employee still eligible for Gratuity? Please provide guidance.

Regards, Jayesh Borse

Even though the employee has completed 5 years, he should work for 240 days in each year. So, he is not eligible if he has not been paid for the 7 months or if he has LOP (Loss of Pay) for the 7 months. If he has been paid, then he is eligible for gratuity.

Regards

Would you kindly provide the date of joining and the date of leaving the service before I can offer any valuable suggestions? How many days were you in attendance in the fifth year? Was it due to your fault or due to the establishment/management?

Regards,
RL Dhingra
Advocate, Labour Law Consultant, Delhi
[Phone Number Removed For Privacy Reasons]
Email: [Email Removed For Privacy Reasons]