Our company is a proprietorship company. Now owner decided to create a new Pvt Ltd company in new name with his family members.
Both companies will continue working for some time and after around one-year proprietorship will close and all business activities will conduct in Pvt Ltd. Company and entire staff slowly will shift to new Pvt. Ltd. Co.
My question is about gratuity.
Whether we should pay gratuity in proprietorship company or take over entire staff to new Pvt. Ltd. Company without payment of Gratuity?
Management is ready to pay and ready to take over the entire staff in new entity without payment.
Please share your legal opinion on this.
Both companies will continue working for some time and after around one-year proprietorship will close and all business activities will conduct in Pvt Ltd. Company and entire staff slowly will shift to new Pvt. Ltd. Co.
My question is about gratuity.
Whether we should pay gratuity in proprietorship company or take over entire staff to new Pvt. Ltd. Company without payment of Gratuity?
Management is ready to pay and ready to take over the entire staff in new entity without payment.
Please share your legal opinion on this.