My previous organization is not paying my gratuity. I have completed 5 years and 10 months. They are saying I am not eligible for gratuity due to termination from the organization. Is there any labor law that states they should not pay gratuity for the termination of an employee?
The management is lying and delaying payment for the last 2 years. Please help me.
Regards,
Naresh G
From India, Hyderabad
The management is lying and delaying payment for the last 2 years. Please help me.
Regards,
Naresh G
From India, Hyderabad
Eligibility for Gratuity Payment
Gratuity is payable irrespective of whether you are terminated, superannuated, or resign, as long as you have worked for a continuous period of 5 years. Therefore, you are eligible for gratuity.
You may complain to the labor commissioner of the area where you were working.
From India, Mumbai
Gratuity is payable irrespective of whether you are terminated, superannuated, or resign, as long as you have worked for a continuous period of 5 years. Therefore, you are eligible for gratuity.
You may complain to the labor commissioner of the area where you were working.
From India, Mumbai
Gratuity Withholding by Employers
Gratuity can be withheld by the employer under certain circumstances, such as willful omission or negligence causing damage or destruction to the property belonging to the employer. It can also be forfeited for any act that constitutes an offense involving moral turpitude, etc.
From India, Vijayawada
Gratuity can be withheld by the employer under certain circumstances, such as willful omission or negligence causing damage or destruction to the property belonging to the employer. It can also be forfeited for any act that constitutes an offense involving moral turpitude, etc.
From India, Vijayawada
I agree with Mr. Lalit M Sharma, Gratuity can be withheld under circumstances as mentioned above. Please let the forum know the exact reason for your termination so as to give appropriate view
From India, Ahmadabad
From India, Ahmadabad
Clarification on Gratuity Declination
Has the company declined in writing? If yes, who has signed the declination and what reason is stated in writing?
If the declination is verbal, did you document it and mention the names? Did you record the declination (audio/visual/witnesses)?
The declination and forfeiture of gratuity are two different issues. Gratuity can be forfeited only for reasons duly stated in the Act, and that too after providing the opportunity of natural justice, conducting a fair inquiry, and thereafter by issuing a speaking order.
Otherwise, termination for reasons other than those enshrined in the Act is no ground for declination. The employer has to supply the notice of determination of gratuity and payment of gratuity within 30 days, even if no application is made by the employee.
There is a provision for penalty and punishment with jail time for "WHOEVER" that contravenes the provisions of the Act, as per Sec:9.
You may post the details. If the employer is wrong, it is liable to pay interest at 10% per annum.
Did you submit Form I?
From India, Chandigarh
Has the company declined in writing? If yes, who has signed the declination and what reason is stated in writing?
If the declination is verbal, did you document it and mention the names? Did you record the declination (audio/visual/witnesses)?
The declination and forfeiture of gratuity are two different issues. Gratuity can be forfeited only for reasons duly stated in the Act, and that too after providing the opportunity of natural justice, conducting a fair inquiry, and thereafter by issuing a speaking order.
Otherwise, termination for reasons other than those enshrined in the Act is no ground for declination. The employer has to supply the notice of determination of gratuity and payment of gratuity within 30 days, even if no application is made by the employee.
There is a provision for penalty and punishment with jail time for "WHOEVER" that contravenes the provisions of the Act, as per Sec:9.
You may post the details. If the employer is wrong, it is liable to pay interest at 10% per annum.
Did you submit Form I?
From India, Chandigarh
Dear Seniors, Thank you very much for your reply. I sent an RTI application to the Labour Commissioner, and they responded by saying, "No information available; you can contact your jurisdiction only." Additionally, I have sent a request letter to that firm.
From India, Hyderabad
From India, Hyderabad
Only if an employee is terminated for an act involving moral turpitude, employer need not pay gratuity in such case.
From India, Mumbai
From India, Mumbai
You have not replied to the points raised by me. If you reply, specific inputs can be provided. You may submit Form I by Registered Post to the Managing Director of the company, with a copy to the Controlling Authority of Gratuity, which might be the DLC at the office of the Labor Commissioner at the location of the Registration Office of the company, and a copy to the ALC (preferably by hand under proper acknowledgment) at the local office of the Labor Commissioner.
Gratuity Forfeiture Conditions
It is reiterated that gratuity can only be forfeited for reasons duly stated in the Act, and that too after providing the opportunity for natural justice, conducting a fair inquiry, and thereafter issuing a speaking order.
If you are unable to handle the matter on your own, you may approach seasoned employees, Trade Union leaders, labor law consultants, service matters lawyers, and proceed further under their expert advice.
Regards
From India, Chandigarh
Gratuity Forfeiture Conditions
It is reiterated that gratuity can only be forfeited for reasons duly stated in the Act, and that too after providing the opportunity for natural justice, conducting a fair inquiry, and thereafter issuing a speaking order.
If you are unable to handle the matter on your own, you may approach seasoned employees, Trade Union leaders, labor law consultants, service matters lawyers, and proceed further under their expert advice.
Regards
From India, Chandigarh
I was terminated solely for taking a long leave due to jaundice for 15 days. After my resignation, they sent me a termination email. No other reason was given for forfeiting my gratuity. However, the management is mentally harassing me by delaying the process.
I submitted Form I on January 3, 2015, and a month has passed. I have doubts regarding Form N and do not understand the rules. Please explain the following blanks:
- Employer refused to entertain it/issued a notice dated ……… under clause ……… of sub-rule ……… of rule ……… offering an amount of gratuity which is less than my due/issued a notice dated ……… under clause ……… of sub-rule ……… of rule ……… rejecting my eligibility for payment of gratuity. The duplicate copy of the said notice is enclosed.
Thanks,
Naresh G
From India, Hyderabad
I submitted Form I on January 3, 2015, and a month has passed. I have doubts regarding Form N and do not understand the rules. Please explain the following blanks:
- Employer refused to entertain it/issued a notice dated ……… under clause ……… of sub-rule ……… of rule ……… offering an amount of gratuity which is less than my due/issued a notice dated ……… under clause ……… of sub-rule ……… of rule ……… rejecting my eligibility for payment of gratuity. The duplicate copy of the said notice is enclosed.
Thanks,
Naresh G
From India, Hyderabad
Dear Naresh Gratuity of an employee who is terminated for taking long leave cannot be forfeited ,if he is otherwise eligible as per POG Act.You may approach the controlling authority. Varghese Mathew
From India, Thiruvananthapuram
From India, Thiruvananthapuram
Please tell me how to calculate the interest on gratuity from the date of resignation. I resigned (illegally terminated) in November 2012, which was 5 years and 10 months ago. Coming to my issue, the Datamarshall HR is taking time to process it. Almost one month has passed, and I think he is just wasting time. I can wait for one more week, then I will send Form N to DCL.
From India, Hyderabad
From India, Hyderabad
Gratuity Calculation and Service Period
The service period for calculating gratuity is counted from the date of cessation of service to the date of joining. The amount of gratuity is calculated as: Salary (basic + DA) / 26 * 15 * Number of years of service.
Regards,
Varghese Mathew
From India, Thiruvananthapuram
The service period for calculating gratuity is counted from the date of cessation of service to the date of joining. The amount of gratuity is calculated as: Salary (basic + DA) / 26 * 15 * Number of years of service.
Regards,
Varghese Mathew
From India, Thiruvananthapuram
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