Is Gratuity Applicable for 20 Years of Service Across Multiple Transfers? Seeking Legal Insights

Dear Seniors, I am seeking your legal opinion regarding the applicability of gratuity in the below case. A person has joined an organization, and during his tenure with the organization, he got transferred 5-6 times to different establishments of the organization without completing 5 years in any of the companies, though he has served almost 20 years in the organization.

Eligibility for Gratuity

My question is, whether he is eligible for gratuity. If yes, what would be the period/tenure of service? If it is 20 years, I request you to please provide the references/judgments. Can seniors help me with this issue?

Had the person been transferred to different locations but working with the same company, he would have been evidently applicable for gratuity for this long duration. From your query, I believe there is a Group M and has 5-6 different companies say A, B, C, D, E, F. The person was originally employed by A. He completed around 4 or so years of service and was then transferred to B. Likewise, he was transferred to C after a few years but before 5 years could be completed, and this just went on.

Transfer and Documentation

Now, in such cases, was the person given a relieving letter from the previous company and a fresh appointment letter from the new company? Or was the person given a transfer letter that stated he is being transferred from A to B (B to C and so forth) and that his tenure with his past companies would be merged with his tenure in the new company?

In the former case, there is no applicability for gratuity. In the latter case, I think he can be eligible. Though seniors can advise better here. Hope this helps.

Regards