Am I Eligible for Gratuity Benefits After Resigning? Seeking Advice on My Situation

Dear Sir,

I joined my current organization on 13.07.2010 and resigned from the job on 10.04.2015. The company will relieve me from the job on 08.05.2015. In this case, am I eligible to get gratuity benefits? Please help me and reply.

Thanks,
Ritesh

Congratulations on completing 5 years of service on 13.07.2015. Following this milestone, you will be relieved from your duties. It is certain that you are eligible for gratuity.

Regards

Dear Mr. Korgaonkar,

The individual is leaving on 08-05-2015. He is not completing 5 years of continuous service as of 08th May 15.

Thank you for pointing out a significant mistake of mine. I regret my error and appreciate your correction, which not only saved the questioner but also other readers from being misled by my response.

As you rightly mentioned, the questioner is not eligible for gratuity since they have not completed five years of service. However, if the questioner falls under the jurisdiction of the Madras High Court, they may benefit from the Madras HC Judgment in Mettor Beardsell.

Opinions on this forum are divided into two in such cases where the employee completes 240 days in the fifth year, as has been discussed in earlier posts several times.

I once again apologize for my mistake.

Regards

Dear Mr. Korgoankar,

My understanding of 240/190 days worked in every year would be that throughout the year, one has to put in 240/190 days of work (not work for 4.8 or 4.10 months and then claim gratuity).

The gratuity scheme was implemented for various reasons, one of them being to ensure that people do not keep changing jobs and have an incentive to continue with the same employer, considering the gratuity payments they can receive after a tenure of five years. This provides stability for both the worker and the firm.

Dear Nathrao,

You are very correct. However, to become eligible for gratuity, one must complete 5 years of continuous service. I have consistently taken the same stance in this forum, but there are varying views on the matter among many members. In fact, I had decided not to engage in discussions about gratuity like this and waste my time. In this particular instance, I mistakenly read the date of leaving as 05.08.2015 and provided the response.

Thank you.