Gratuity - moved from parent company to group company

517246471
Dear Sir, I have Joined X Company on 06-09-2009 and resigned (not volunteer ) and join Parent Company on 01-07-2012 and left parent company on 14-03-2016.
Earlier company was group company hence as per the management decision above things happen.
In My X (Group )Company offer Letter, It is clearly mention that You have been posted at the parent company name at .....Location
In My Y (Group Parent company) It is mention that since you have been hired from group company, that DOJ would be confirm date.
I would like to know whether I am eligible for gratuity for the period 06-09-2009 To 30-06-2012
If yes, Pl share section or reference,
umakanthan53
Dear friend,
If your narration is factually correct, you are eligible for gratuity for the period from 06-09-2009 to 14-03-2016.
umakanthan53
One important correction to my previous reply due to my excess of enthusiasm caused by the usage of the term " group company " in the original post. In fact, there is no such term in legal sense referred to as " group company" in any of the Laws relating to the constitution of legal entities. Rather it has gained currency in its colloquial usage while referring to more than one business entity owned by the same individuals or business houses with flexibility of informal transactions among the units when situations demand. Coming to the post again, the poster's services at X came to an end on his resignation whether it is voluntary or otherwise within a period of three years. Though the actual purpose of resignation seems to be joining Y in the same group, legally it is a voluntary shift of employment from one employer to another. One of the basic parameters for gratuity under the Payment of Gratuity Act,1972 is completion of a certain no of years of continuous service under the same employer. If the services of the employee is transferred between the employers under an agreement, it is different. Here in this case, the resignation effective from 30-06-2012 puts an end to the services under X. Confirmation of the services of an employee and its effective date whether actual or notional do not have any bearing on the right to gratuity. From the above perspective, the poster's claim for gratuity for the services rendered under X from 06-09-2009 to 30-06-2012 may not be maintainable.
L.Teck
There is one litmus test whether gratuity should start from which date in the event of a transfer or relocation from one company to an associate company. It depends on the terms of transfer. Some "ransfers" are new appointments and the employee is deemed to have left the service of the former company. So, look at the terms before you move to another associate company.
riteshmaity
If the continuity of the service remains, you are entitled to gratuity for the entire period (2006-2016)
Check my blog at www.labourlawhub.com
517246471
Dear Sirs,
Views of the experts are differing on the above matter therefore if I want to claim it, How can I proceed? pl guide.
Or else, It is highly appreciate if anybody can share recent case law.
riteshmaity
If you want to claim gratuity, you have to first apply before the company in FORM I. If the company fails to pay within a month from receipt of such application, then you have to apply in FORM N before the controlling authority under the Payment of Gratuity Act.
Check my blog at www.labourlawhub.com
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