Hi, Which date to be taken for calculation of Gratuity amount — - date of joining or date of joining to PF fund ? kindly help. regds
From India, Hyderabad
From India, Hyderabad
Certainly. Gratuity becomes payable from the date of joining the establishment. From the year 2000, the date of joining PF is also the first day of employment. The date of admission to PF has changed from 240 days, 180 days, 120 days, 90 days after the date of joining employment, and finally from day one since 2000 (I do not remember the exact date of effect).
Thanks & regards,
From India, Pune
Thanks & regards,
From India, Pune
Thanks. in this case staff joins when no pf was given at that time, around 5 years ago, she was brought under pf fund. she almost served nearly 10 years of service....! regds.
From India, Hyderabad
From India, Hyderabad
She is eligible for gratuity for 10 years. The amount will be 15 days' salary for every completed year of service. The salary to be taken into account would be the last drawn average salary.
Regards
From India, New Delhi
Regards
From India, New Delhi
Hi, Either for PF or for Gratuity calculation, an Individual’s DOJ to the organisation should be taken as first day. Regards M. Helen
From India, Madras
From India, Madras
Understanding the Applicability of the Gratuity Act
As the Gratuity Act is applicable for 10 or more employees, please don't confuse it with the EPF Act. Even where the EPF Act is not applicable (with less than 20 employees but more than 10 employees), the Gratuity Act is applicable. The date of joining in the organization has to be taken into consideration for calculation.
Regards,
S. Sethupathy, Excellent HR Services, Erode.
From India, Selam
As the Gratuity Act is applicable for 10 or more employees, please don't confuse it with the EPF Act. Even where the EPF Act is not applicable (with less than 20 employees but more than 10 employees), the Gratuity Act is applicable. The date of joining in the organization has to be taken into consideration for calculation.
Regards,
S. Sethupathy, Excellent HR Services, Erode.
From India, Selam
We agree with the views represented by Sethupathy, and accordingly, the Date of Joining in the organization shall be considered for the purpose of Gratuity calculations.
From India, Jaipur
From India, Jaipur
Dear All Subject - Re: Gratuity calculation - Start date to be taken for calculation Basic Salary *Number Of Years *15 Day/ 26 5000*15*5/26
From India, New Delhi
From India, New Delhi
Gratuity calculated from the date of joining & it is 15 days per year like Gratuity= basic*No of working years*15/ 26
From India, Pune
From India, Pune
My name is M. Srinivas, and I am new to this forum. I am seeking clarification regarding a situation involving a friend who is part of a group of around 30 employees. This friend joined the company in June 2006 but was only brought under the Provident Fund (PF) scheme in September 2009. In this scenario, what are the eligibility criteria for my friend to receive Gratuity?
Thank you.
Regards
From India, Bangalore
Thank you.
Regards
From India, Bangalore
Any employee is eligible for gratuity computation as well as for admission to PF from the date of their joining the employment. You mentioned your friend joined in June 2006 but was brought under PF from September 2009. Admission to PF may be late, but it should be from the retrospective effect, that is, day one in the job. May I request you to please clarify why there was a delay of almost 3 years for admission to PF and whether it is effective from June 2006 or September 2009? Moreover, despite the discrepancy in the admission date of PF, their gratuity can be computed from the date of joining in June 2006. The employer firm has a record of the date of joining, so there is no problem in computing gratuity from June 2006.
Thanks & regards,
From India, Pune
Thanks & regards,
From India, Pune
First, thanks for your information. Actually, in his company, the PF facility will be given after the completion of 1 year. However, due to the recession period, they have not enrolled anybody in the PF scheme. Therefore, he was eligible for PF from 2009.
Gratuity Calculation Concern
My doubt is if management is not willing to provide gratuity from the date of joining, i.e., if they say they will calculate gratuity from the date of joining to PF, then what can my friend do?
Waiting for your reply.
Thanks in advance,
M. Srinivasa
From India, Bangalore
Gratuity Calculation Concern
My doubt is if management is not willing to provide gratuity from the date of joining, i.e., if they say they will calculate gratuity from the date of joining to PF, then what can my friend do?
Waiting for your reply.
Thanks in advance,
M. Srinivasa
From India, Bangalore
Dear Srinivasa Ji, since the recession period is over, the employer may be persuaded to consider your friend's actual services from the date of joining. Otherwise, short of 5 years, your friend would not be eligible for gratuity. If the employer is adamant, your friend may prove that he was in employment from 2006 and seek the intervention of the Labour Commissioner (State) of the area where the firm is located, who is a competent authority to decide disputes in gratuity cases. Before filing an appeal with the concerned Labour Commissioner (State), your friend has to claim gratuity in writing, stating the full length of service from 2006. After 30 days of the claim, if it is not settled by the employer, the employee can lodge a complaint with the Labour Commissioner (State) of the area. When successful, please do post your story on this site for the guidance of others concerned.
Thanks & regards,
From India, Pune
Thanks & regards,
From India, Pune
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