Dear seniors,
My question is one of our employee died by suicide because of family reasons, he is just a 43 days old and still under probation, so as company what will be our liability towards her. ours is PVT LTD company. we have ESI but she is out of that limit, we are in the process of registering with EPF and coming to gratuity....as she has not completed 5 years do we need to pay her? ( thats what i understood from the below rule).
as per the payment of gratuity act: in point no 6.....
6. Payment of gratuity.-
(1) Gratuity shall be payable to an employee on the termination of his employment after he has rendered continuous service for not less than five years-
(a) on his superannuation, or
(b) on his retirement or registration, or
(c) on his death or disablement due to accident or disease:
Provided that the completion of continuous service of five years shall not be necessary where the termination of the employment of any employee is due to death or disablement:
Provided further that in case of death of the employee, gratuity payable to him shall be paid to his nominee or, if no nomination has been made, to his heirs, and where any such nominees or heirs is a minor the shares of such minor, shall be deposited with the controlling authority who shall invest the same for the benefit of such minor in such bank or other financial institution, as may be prescribed, until such minor attains majority.
please help us as this is a very rare case......
thank u
MM
My question is one of our employee died by suicide because of family reasons, he is just a 43 days old and still under probation, so as company what will be our liability towards her. ours is PVT LTD company. we have ESI but she is out of that limit, we are in the process of registering with EPF and coming to gratuity....as she has not completed 5 years do we need to pay her? ( thats what i understood from the below rule).
as per the payment of gratuity act: in point no 6.....
6. Payment of gratuity.-
(1) Gratuity shall be payable to an employee on the termination of his employment after he has rendered continuous service for not less than five years-
(a) on his superannuation, or
(b) on his retirement or registration, or
(c) on his death or disablement due to accident or disease:
Provided that the completion of continuous service of five years shall not be necessary where the termination of the employment of any employee is due to death or disablement:
Provided further that in case of death of the employee, gratuity payable to him shall be paid to his nominee or, if no nomination has been made, to his heirs, and where any such nominees or heirs is a minor the shares of such minor, shall be deposited with the controlling authority who shall invest the same for the benefit of such minor in such bank or other financial institution, as may be prescribed, until such minor attains majority.
please help us as this is a very rare case......
thank u
MM