Gratuity Eligibility and Retrenchment Compensation Inquiry
I require some details and clarity regarding my gratuity eligibility at my current company. Details are provided below, and I kindly request someone to give a clear picture of gratuity eligibility.
I joined my current organization on 23rd May 2012. Recently, I received information from HR and management that they will be closing this business unit possibly by mid-next year, 2017. They have informed a few employees, including myself, that our services will be required until December 2016, with a verbal communication to start seeking job opportunities elsewhere. They have confirmed that they will issue a relieving letter by October 2016, providing a three months' notice period.
As of October, I will have 4 years, 4 months, and 8 days of experience, and by December, I will have 4 years, 7 months, and 8 days (or 4 years and 222 days) of experience. Firstly, I would like to know if I am eligible for gratuity based on my service days until December and due to the company's termination/closure. If I leave before December on notice, will they still consider my gratuity even if I have not completed the full 4 years and 222 days?
Understanding Retrenchment Compensation
I would also like to understand more about the retrenchment compensation provided by companies to employees in case of BU closure or termination. How should I proceed if they offer benefits like 15 days of salary multiplied by the number of years of service? Is there a possibility for employees to request or revise retrenchment benefits?
I would appreciate it if someone could provide clear insights on this matter and offer advice. Thank you in advance.
Regards,
Bkmy
I require some details and clarity regarding my gratuity eligibility at my current company. Details are provided below, and I kindly request someone to give a clear picture of gratuity eligibility.
I joined my current organization on 23rd May 2012. Recently, I received information from HR and management that they will be closing this business unit possibly by mid-next year, 2017. They have informed a few employees, including myself, that our services will be required until December 2016, with a verbal communication to start seeking job opportunities elsewhere. They have confirmed that they will issue a relieving letter by October 2016, providing a three months' notice period.
As of October, I will have 4 years, 4 months, and 8 days of experience, and by December, I will have 4 years, 7 months, and 8 days (or 4 years and 222 days) of experience. Firstly, I would like to know if I am eligible for gratuity based on my service days until December and due to the company's termination/closure. If I leave before December on notice, will they still consider my gratuity even if I have not completed the full 4 years and 222 days?
Understanding Retrenchment Compensation
I would also like to understand more about the retrenchment compensation provided by companies to employees in case of BU closure or termination. How should I proceed if they offer benefits like 15 days of salary multiplied by the number of years of service? Is there a possibility for employees to request or revise retrenchment benefits?
I would appreciate it if someone could provide clear insights on this matter and offer advice. Thank you in advance.
Regards,
Bkmy