Gratuity Concerns: Will My Contract Years Count Towards Retirement Benefits?

I have been working for 7 years on a contract basis in a state PSU. During that time, I applied for a regular vacancy and got an appointment in the same company.

My concern is about how my gratuity will be calculated. Will they consider my contract years of service for calculating the gratuity during my retirement?

Dear Member, You have not provided your date of joining as a contract employee and as a regular employee. If there is continuity of service and the principal employer and your current employer are the same, you are eligible for gratuity. Please clarify your statement, "I have been working for 7 years on a contract basis."

By contractual service, I presume it was not under any contractor or outsourced payrolls but under the direct payrolls of the PSU, and the salary was paid by the PSU and not by the contractor. If this was the arrangement (generally called a fixed-term contract or FTC employment), your service under FTC will certainly be considered as service with the employer, and the same will be counted for the calculation of gratuity.