Am I Eligible for Gratuity If I Leave After 7 Years with a Small Company?

Brij Mohan Vashist
In our company, the number of employees reached 11 in May 2022. I have been working here for the past 7 years. If I leave the company next month, would I be eligible for gratuity? If yes, for which period would it apply?
Madhu.T.K
Gratuity Eligibility After the Payment of Gratuity Act Application

On the 11th of May 2022, the Payment of Gratuity Act became applicable to your establishment. From that date onwards, anyone who joined the company prior to 5 years ago will become entitled to gratuity. The reason is that the date of joining remains the same, i.e., the date of actual joining. It is not the date of coverage of the Act that should be considered for all existing employees. Therefore, if you leave, you should receive gratuity for seven years.
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