Dear All,
A central government autonomous body is registered under the society under the society registration Act, 1860. The employees of the institute are covered under the EPFO. The Institute pays gratuity to the employees who retires from the institute but is holding the gratuity payment to the employees who are appointed on five years contact period and have resigned after serving more than five years to join other government institute. Is the action legally sustainable or does the institute has to necessary pay gratuity to all of its employees. Does the institute has to compulsorily follow the Gratuity Act 1972 or can still continue to follow the CCS ( pension) rule which does not provide for gratuity payment to employees appointed on or after 1/1/14 and is replaced by NPS. It may be noted that the institute still is continuing with the EPFO scheme and has not switched to the NPS.
regards
Hridan
A central government autonomous body is registered under the society under the society registration Act, 1860. The employees of the institute are covered under the EPFO. The Institute pays gratuity to the employees who retires from the institute but is holding the gratuity payment to the employees who are appointed on five years contact period and have resigned after serving more than five years to join other government institute. Is the action legally sustainable or does the institute has to necessary pay gratuity to all of its employees. Does the institute has to compulsorily follow the Gratuity Act 1972 or can still continue to follow the CCS ( pension) rule which does not provide for gratuity payment to employees appointed on or after 1/1/14 and is replaced by NPS. It may be noted that the institute still is continuing with the EPFO scheme and has not switched to the NPS.
regards
Hridan