Contractual Employment and Gratuity: Is Long-Term Service Eligible for Benefits?

An employee has been on a contractual appointment on a yearly basis with a private university. His employment is renewed every year, and he has continued to serve for a total period of 5 years. Is he eligible for payment of the gratuity? If yes, how much?

Hi, According to the Payment of Gratuity Act, individuals who have completed five years of service in the same company will be eligible for gratuity, provided there is no break in their employment. Gratuity applies to all employees, regardless of whether they are in regular or contractual positions.