Peers,

Can someone give me an extract of the gratuity act and the exact definition of continuous service defined under the Act?

In my organization, we have associates traveling to other regions (outside India) where their payroll is different, or in other words, Indian laws are not applicable to them until they come back to India physically. Once they return to India and resign, will they be eligible for Gratuity?

Example -

If an associate named "Edward" joined the company in the year 2000 (he is now under Indian Payrolls / Indian Laws) and in 2004, he travels to Onsite (where the payroll and laws change) and returns to India in 2007 and resigns (breakage of continuous service occurred), can he claim for gratuity during his exit? Due to the break in continuous service (when Indian laws were not applicable from 2004-2007), should the gratuity be paid or not?

Edward has completed 7 years of service from his date of joining the organization. However, as there was a break in continuous service for 3 years in between, Edward might lose his Gratuity.

Can someone help me solve this problem? It would be great if justifications are provided with sections or anything related to the Act by my CiteHR Family members.

From India, Pune
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The bare act in PDF format is attached for detail Regards.
From India, Nasik
Attached Files (Download Requires Membership)
File Type: pdf gratuity_431.pdf (74.5 KB, 719 views)

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Sooner or later, you would have faced this situation. Now, to solve it, move on to the other side, i.e., the employee's arena. If any employee were to go abroad, why would he sacrifice his social security in the home country? There is another reason for the above - an employee pays for social security abroad but receives no benefits. Indians are contributing approximately $2 billion every year but receive no benefits abroad.

Surya

From India, Delhi
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