Gratuity Eligibility 4 Years - 7months - PDF Download

Patel Pankaj
Dear Sirs,
I had worked with one private limited company from 01.10.2008 to 30.04.2013, completed 4 years & 7 months and at the time of my full & final company deducting 25 days of salary as a notice pay recovery, due to I had not completed 2 months notice period.
Can I Eligible to get Gratuity...?
Please give your valuable Inputs.
Thanks with best Regards,
Pankaj Patel
pradeepkc
The gratuity eligibility service as per Gratuity Act 1972 is 5 years.
pbskumar2006
Dear Pankaj ji,
For your doubt you may please see the attachment case law of MADRAS HIGH COURT decision on GRATUITY.
Regards,
PBS KUMAR
1 Attachment(s) [Login To View]

j_son
Dear Pankaj
The Eligibility criteria for Gratuity is 4 years and 240 days and if your organisation works for 5 days a week, the eligibility will be 4 years and 190 days.
Regards,
Mary
D.GURUMURTHY
Dear Sir,
If you worked in Tamilnadu, you are eligible for gratuity as per Madras High Court Verdict.
If you belongs to the other state, You are not eligible for gratuity as you have not completed 5 years service.
D.Gurumurthy
HR & IR Consultant,
Hyderabad.
pbskumar2006
Dear Mr. Gugrumurthy ji & Pankaj ji,

Some more clarifications on Gratuity.:

Clarity between gratuity eligibility service (5 or 4.8 yrs)?

The gratuity eligibility service as per Gratuity Act 1972 is 5 years. But as per the judgment from Supreme Court below and the quotation from the book quoted below it seems that the gratuity eligibility service is 4 years 240 days.

"Judgment from Supreme Court:

"Yes, by virtue of the judgment of Supreme Court rendered under the provisions of the Industrial Dispute Act in Surendra Kumar Verma vs. Central Govt. Industrial Tribunal,[(1980) (4) S.C.C.433)], it is enough that an employee has a service of 240 days in the preceding 12 months and it is not necessary that he should have completed one whole year’s service. As the definition of continuous service in Industrial Dispute Act and Payment of Gratuity Act are synonymous, the same principal can be adopted under the act also and hence an employee rendering service of 4 year 10months 11days is considered to have completed 5 years continuous service under sec.4(2) and thereby is eligible for gratuity."

Quotation from the book:

Law Book (Bare Act,2004) i.e. The Payment of Gratuity Act,1972 (Publisher: Law Publishers () Pvt.Ltd. 18A-S.P.Marg,Post Box-1077,Allahabad-211 001. Phone:623735,623741 Fax-0532-622276.

1. 4 years and 6 months (190 days = 1 year) where the company follows 5 day a week.

2. 4 years and 8 months ( 240 days = 1 year) where the company follows 5 day a week.

Is eligible for gratuity.The payment of gratuity ( second amendment) act, 1984 clarifies this. One needs to calculate the no of years and service completion as follows.

A company which follows 5 day week

D.O.J : 1.05.2000

01.05.2000 to 30.04.2001 - worked for 190 days

01.05.2001 to 30.04.2002 - worked for 190days

If we go by the above formula and if the person does not have any break in service he will be eligible for gratuity on 01.11.2004 "

Non clarity of this rule has created confusion among a lot of employees. As some hear that some companies are following the 4 years 240 days rule, while some follow the 5 year rule. Please help remove this confusion so that nobody rights of gratuity are being compromised on.

Expert may please give his comments and advice to this form……..

Regards,

PBS KUMAR
rajans68
Mr. Gurumurthy,
For your information , a decision by a High Court is valid throughout India
How can you give such wrong information that it is valid only in a particular state ?
Regards,
India
Vignesh TCS HR
Hello mr . Patel pankaj
gratuity eligible for only 5 years of your service in any organization or firm . Its rule of govt .
JAGDISH790
Dear Sirs,
I had worked with one private limited company from 04.01.2013 to 31.07.2017, completed 4 years & 6 months and 26 Days at the time of my full & final company Can I Eligible to get Gratuity
JAGDISH CHANDRA
sr-associates
I worked in a company for more then 5 years. after termination i requested to release Gratuity amount. But employer disagree making a point that, in between the contract period of one year , they break my service for 2 or 3 days and it will not come under continuous service. I heard somewhere that there is a supreme court judgement on this behail.
Pls advice
Shiju N
If you are knowledgeable about any fact, resource or experience related to this topic - please add your views. For articles and copyrighted material please only cite the original source link. Each contribution will make this page a resource useful for everyone. Join To Contribute