Payment of Gratuity (Amendment) Bill 2017 introduced in Lok Sabha today

Friends,

I am attaching the Payment of Gratuity (Amendment) Bill 2017 as introduced in Lok Sabha today. The following amendments are proposed:

a) To empower the Central Government to notify the period of maternity leave for female employees, deemed to be in continuous service, in place of the existing 12 months.

b) To remove the maximum ceiling of Rs. 10 lakhs and empower the Central Government to notify the same through notifications from time to time.

Thanks

Effect of Gratuity (Amendment) Bill 2017 in the private sector

The Gratuity (Amendment) Bill 2017 has significant implications for the private sector. This bill aims to enhance the gratuity benefits for employees by increasing the maximum limit from Rs. 10 lakh to Rs. 20 lakh. This amendment seeks to provide better financial security and retirement benefits to employees in the private sector.

Employers in the private sector will need to adjust their gratuity policies to comply with the new regulations once the bill is enacted. The increased gratuity limit will benefit employees by ensuring they receive higher payouts upon retirement or resignation.

Overall, the Gratuity (Amendment) Bill 2017 is a positive development for employees in the private sector, as it enhances their financial well-being and retirement benefits.

Friends,

Lok Sabha passed the Bill on 15th March 2018.

Thanks

Can you clarify if the calculation of gratuity has also changed from 15 days to 30 days?