Gratuity Payment Dilemma: What Should Employers Do When a Cheque Isn't Cashed?

We, as the employer, issued a cheque for gratuity payment, and the employee acknowledged the same. However, it has come to our attention that the ex-employee has not yet encashed the cheque.

Please advise on the necessary course of action that we, as the employer, should take next.

Once you have made payment to the concerned employee and obtained their acknowledgment towards the gratuity payment settlement, your responsibility as an employer is completely fulfilled.

Being a considerate employer, you can write a letter to the employee at their last known address as well as their permanent address, informing them that the payment instrument has not yet been encashed. Advise them to encash it as soon as possible and keep a copy along with the gratuity payment settlement documents.