Considering Resignation After Extended Maternity Leave: Am I Eligible for Gratuity?

I joined a company in May 2013. In September 2015, I took 90 days of maternity leave. Following that, I utilized 20 days of earned leave and subsequently took an additional 148 days of leave as extended maternity leave (Leave without pay). Despite the maternity leave, I have continued working for the same company and am now considering resigning. Would I be eligible for gratuity?

Your post does not mention the total length of service. If you have 5 years of service and within that period, there is a loss of pay period that remains unregularized, then these 148 days will be considered a break in service, making you ineligible for gratuity.

Ideally, you should receive gratuity as per the Act.

Hi Madhu, thank you for your reply. I have been with this company for 5 years and 2 months.

Any unauthorized leave taken by an employee, which is not declared as a break in service by the employer, has to be taken into account for the purpose of computing continuous service in any period. Unless it is declared as a break in service, such an interruption has to be deemed as a non-interruption only as per Sec. 2-A of the Payment of Gratuity Act, 1972.

Therefore, if your information is correct, you are entitled to gratuity for the entire period of leave on loss of pay too.

Thank you for your response. Even though I took 148 days of leave, my company sent me best wishes for completing 5 years with them. Therefore, as you mentioned, I believe I am eligible for gratuity. Thank you for the detailed information.