Continuous service - Whether 240 days includes weekly off and notified holidays or they are excluded while calculating for gratuity?

subbaraodva
Respected seniors, What is the meaning of continuous service of 240 days. Whether 240 days includes weekly off and notified holidays or they are excluded while calculating for gratuity, EL’S
rkn61
240 days service is inclusive of weekly off, paid leave days, holidays declared by Company etc
Bhartiya Akhil
Dear Subbaraodva,
In the case before the division bench of AP HC, (G.Yadi Reddy v. Brook Bond India Ltd., 1994 LLR 328 (AP) (DB)) it was decided that while calculating the 240 days period the weekly off and holidays are to be taken into consideration.
subbaraodva
Thanks for your prompt reply. Now my question is if any employee works for 4 years and 8 months, then is he eligible for gratuity including weekly off and notified paid holidays
Aks17
Hi,
In general and as a principle it is 5 years of continuous service to be eligible for Gratuity payment as a right provided other conditions are fulfilled.
Thanks and Regards
bijay_majumdar
Considering having understood continuous services ,i.e 240 days concept,
Gratuity therefore becomes eligible on completion of 4 yrs and 240 days in fifth year.
sumitk.saxena
240 days includes only working days excluded week offs and notified holidays.
Bhartiya Akhil
Dear Sumit Kumar Saxena ji,
Your answer is contrary to my answer given with case law. Is there any subsequent case law contrary or is there any amendment in law? I will be thankful if you throw some light on it.
subbaraodva
Dear Akil Ji,
As per your reply, if any employee works for 8 months in 5 year then he is eligible for gratuity. right
KK!HR
Yes, As per PGA, it is continuous 5 years service that renders eligibility and it is further clarified that 240 days service in a period of 12 months entitles one to gratuity for that year. So read together that supposition of 4 years and 8 months continuous service suffices for eligibility for gratuity. There is supporting judgement of Tamil Nadu and Kerala High Courts in the matter.
If you are knowledgeable about any fact, resource or experience related to this topic - please add your views. For articles and copyrighted material please only cite the original source link. Each contribution will make this page a resource useful for everyone. Join To Contribute