Gratuity Payment Issues: Who Can Help When a Company Won't Pay?

seshanrin
It is a very common practice among small companies to avoid payment of gratuities due to employees who have left the organization. Is there a grievance redressal department to whom the employee can communicate about non-payment of gratuity? I mean, whom should the employee contact other than the company to get the gratuity released.

Thanks,
Ramaseshan
abbasiti
Dear Ramaseshan,

If there is any grievance, they can approach the labor department.

Abbas. P. S.
seshanrin
Thank you, Mr. Abbas.

So, what I understand is whether the employee is a workman, supervisor, or manager, for the purpose of filing a grievance against the employer with relation to gratuity due under the provisions of the Payment of Gratuity Act but not paid by the employer, the Labour Enforcement Officer of the concerned state where the employer is situated is the competent authority for redressal of this grievance. Is my understanding correct?

Thanks for your advice once again.

Ramaseshan
umakanthan53
Dear Ramaseshan,

Please go through the Payment of Gratuity Act, 1972. If the Central Government is the Appropriate Government for the establishment, the concerned employee denied or not paid gratuity within 30 days of termination of his employment has to file his claim before the Controlling Authority for the area, normally the ACL (Central); in other cases, the Controlling Authority is appointed by the State Government.
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