Respected Members
I have a query on the gratuity payment made to employees on third party payrolls:
I will try to describe the situation in brief-
A company X has hired employees through two agencies- Agency A and Agency B. An employee working with Agency A is on its payroll, but the principle employer is company X. If the same employee moves to work for Agency B after working for 3 years with Agency A, will that person be entitled to receive Gratuity from Company X after 2 years of working with Agency B.
So the question is whether the terms of 3 and 2 years of the employee working with two separate agencies but under the same principle employer should be clubbed for payment of gratuity or not?
If yes, then please suggest some case law which will help validate the same.
The validation through a case law is essential for my query.
Thanking you
Snigdha
I have a query on the gratuity payment made to employees on third party payrolls:
I will try to describe the situation in brief-
A company X has hired employees through two agencies- Agency A and Agency B. An employee working with Agency A is on its payroll, but the principle employer is company X. If the same employee moves to work for Agency B after working for 3 years with Agency A, will that person be entitled to receive Gratuity from Company X after 2 years of working with Agency B.
So the question is whether the terms of 3 and 2 years of the employee working with two separate agencies but under the same principle employer should be clubbed for payment of gratuity or not?
If yes, then please suggest some case law which will help validate the same.
The validation through a case law is essential for my query.
Thanking you
Snigdha