Dear All, One of my Executive has worked continuously for 4 years and 9 months now he has resigned. will he be eligible for gratuity or after completion of 5 years only. please guide me. regards REx
From India, Secunderabad
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3From India, Secunderabad
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Dear Sir, Your Executive is not eligible to get Gratuity. Except death, no one is eligible to get gratuity without completion of 5years
From India, Madurai
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From India, Madurai
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If the employee has put in 240 days of continuous employment in the fifth year, he will be entitled to Gratuity. Vasant Nair
From India, Mumbai
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From India, Mumbai
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if he complete four years and nine month than calculate that in nine months he completed 240 days or not , if he complete than he is applicable for that thax
From India, Panipat
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From India, Panipat
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Dear Rexmartin,
An employee who has completed 5 years of service is eligible for payment of gratuity. If the continuous service of the said employee during the 5th year is more than 6 months, the same shall be deemed to be a full year, and the said employee will be eligible for payment of gratuity since he has completed 4 years and 9 months.
Regards,
RL Dhingra
Advocate
9818309937
Email: rld_498@rediffmail.com.
From India, Delhi
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An employee who has completed 5 years of service is eligible for payment of gratuity. If the continuous service of the said employee during the 5th year is more than 6 months, the same shall be deemed to be a full year, and the said employee will be eligible for payment of gratuity since he has completed 4 years and 9 months.
Regards,
RL Dhingra
Advocate
9818309937
Email: rld_498@rediffmail.com.
From India, Delhi
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Dear Mr. Rex Martin,
Please read Explanation 2 to Section 4 of the Payment of Gratuity Act 1972. It is provided that for every completed year of service or part thereof in excess of six months, the employer shall pay gratuity to an employee at the rate of 15 days' wages based on the rate of wages last drawn by the employee concerned.
Regards,
RL Dhingra, Advocate
9818309937
Email: rld_498@rediffmail.com
From India, Delhi
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Please read Explanation 2 to Section 4 of the Payment of Gratuity Act 1972. It is provided that for every completed year of service or part thereof in excess of six months, the employer shall pay gratuity to an employee at the rate of 15 days' wages based on the rate of wages last drawn by the employee concerned.
Regards,
RL Dhingra, Advocate
9818309937
Email: rld_498@rediffmail.com
From India, Delhi
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On the date of reliving, if employee completes five years of services, then I belive he is eligible for Gratuity. Regards Amitkumar
From India, Nagpur
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From India, Nagpur
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Gratuity Eligibility and Calculation
After the completion of 5 years, an employee is eligible for gratuity. You can calculate the gratuity as follows:
BASIC SALARY × 15 × YEARS OF SERVICE COMPLETED ÷ 26 = Gratuity.
For example, if the basic salary is Rs. 5000 and the years of service completed is 6 years, then the gratuity amount will be calculated as follows:
5000 × 15 × 6 ÷ 26 = Rs. 17,307.69.
From India, New Delhi
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After the completion of 5 years, an employee is eligible for gratuity. You can calculate the gratuity as follows:
BASIC SALARY × 15 × YEARS OF SERVICE COMPLETED ÷ 26 = Gratuity.
For example, if the basic salary is Rs. 5000 and the years of service completed is 6 years, then the gratuity amount will be calculated as follows:
5000 × 15 × 6 ÷ 26 = Rs. 17,307.69.
From India, New Delhi
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Gratuity Eligibility
On the date of relieving, if employees have completed four years and 240 days in the fifth year, then they are eligible for gratuity. The employer shall pay gratuity to an employee at the rate of 15 days' wages based on the last drawn basic wages of the concerned employee.
Regards,
Rajesh
From India, Delhi
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On the date of relieving, if employees have completed four years and 240 days in the fifth year, then they are eligible for gratuity. The employer shall pay gratuity to an employee at the rate of 15 days' wages based on the last drawn basic wages of the concerned employee.
Regards,
Rajesh
From India, Delhi
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I am afraid I cannot help but disagree with you.
An employee has to work for 5 years to become eligible for the payment of Gratuity. If in the fifth year, an employee puts in continuous service of 240 days, he is entitled to receive Gratuity.
The "Six Months" clause applies NOT for eligibility but for calculation purposes. Therefore, if an employee, in the fifth year, works only for a continuous period of SIX MONTHS, he is NOT entitled to Gratuity since in six months he could not have completed 240 days.
However, for calculation purposes, if an employee works for 5 years and six months, Gratuity in his case will be calculated for 6 years.
I am sure you will agree with this clarification.
Best Wishes,
Vasant Nair
Dear Rexmartin,
An employee who has completed 5 years of service is eligible for the payment of gratuity. If the continuous service of the said employee during the 5th year is more than 6 months, the same shall be deemed to be a full year. The said employee will be eligible for the payment of gratuity since he has completed 4 years and 9 months.
Regards,
RL Dhingra
Advocate
9818309937
Email: rld_498@rediffmail.com.
From India, Mumbai
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An employee has to work for 5 years to become eligible for the payment of Gratuity. If in the fifth year, an employee puts in continuous service of 240 days, he is entitled to receive Gratuity.
The "Six Months" clause applies NOT for eligibility but for calculation purposes. Therefore, if an employee, in the fifth year, works only for a continuous period of SIX MONTHS, he is NOT entitled to Gratuity since in six months he could not have completed 240 days.
However, for calculation purposes, if an employee works for 5 years and six months, Gratuity in his case will be calculated for 6 years.
I am sure you will agree with this clarification.
Best Wishes,
Vasant Nair
Dear Rexmartin,
An employee who has completed 5 years of service is eligible for the payment of gratuity. If the continuous service of the said employee during the 5th year is more than 6 months, the same shall be deemed to be a full year. The said employee will be eligible for the payment of gratuity since he has completed 4 years and 9 months.
Regards,
RL Dhingra
Advocate
9818309937
Email: rld_498@rediffmail.com.
From India, Mumbai
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I fully agree with Mr.Dhingra..! Because if an employee completes continuous service for more than 4 years and 6 months, this service is considered as 5 year of continuous service...! Mayur Parmar
From India, Mumbai
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From India, Mumbai
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