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Dear sir, I was working with the company based in Delhi for their Mumbai office, but after 15 years of employment, due to a significant loss in Mumbai, they started pressuring me to quit over the phone, not in writing. They also instructed a junior employee in the Mumbai office to gradually take over the office key and my responsibilities. Since my spouse is suffering from cancer, I was not in a position to consult a lawyer. The company was mentally harassing me and stated they could not afford my high salary, so I had to resign.

Now that I have resigned, they mentioned that the gratuity will be paid by LIC based on my 15 years of service. I would like to know how long it typically takes to receive this payment, as the company is not assisting me and I have not secured another job yet. I am in urgent need of funds for my spouse's treatment. I seek guidance on the timeline for gratuity payment and the correct procedure to obtain funds from LIC as soon as possible.

Regards, Asit Mumbai

From India, Mumbai
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Gratuity Claim Process

On resigning from the service, have you submitted Form I to claim your gratuity? If your company has subscribed to the Group Gratuity Scheme (GGS) of LIC, then your form will be sent to the LIC office. However, LIC does not pay directly to the employee. It pays to the company, and the company, in turn, pays the gratuity to the ex-employee. You need to find out whether the company has sent your form to LIC. Since the calculation is done by software, generally, LIC does not take a long time for the clearance of Form I.

Therefore, you need to find out whether your gratuity amount was received from LIC but your company used that money for another purpose. The financially weak position of your company lends credence to this suspicion. Anyway, you may send a written reminder to the company.

Thanks,
Dinesh Divekar

From India, Bangalore
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Generally LIC release the claim within 15-20 days. Please personally inquire in LIC office about your claim. If found paid to employer ask them to pay you. If they don’t approach labor office.
From India, Pune
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please find FORM -1 to claim Gratuity Amount .
From India, Visakhapatnam
Attached Files (Download Requires Membership)
File Type: pdf Gratuity Claim Form I.pdf (68.8 KB, 508 views)

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Dear Asit, Please submit your application to your employer by registered A.D. in Form I as supplied to you by Mr. S Venkata Ramana. After 15 days, submit an application in Form N to the Assistant Labour Commissioner (Central), having an office at Shram Raksha Bhavan, Shiv Srusti Road, Opp. Priyadarshini Bldg., Sion Chembur Highway, Sion, Mumbai 400 022, along with Form I and a copy of the A.D. card and your service-related documents such as the appointment letter, resignation, and last pay slip.

Then follow up with his office for the issue of a notice to the employer. If the employer is not responding, insist on an ex parte order at the earliest and also a recovery certificate addressed to the Collector of the area where the employer has an office or other property. It's always a difficult and time-consuming process to get the gratuity from an employer who is in financial difficulties. But you have to pursue it to get your rightful amount.

All the best.

From India, Pune
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Gratuity Payment Process

Even if your gratuity is deposited in the LIC Group Gratuity Scheme, it is the duty of the management to instruct LIC to clear the gratuity dues. Since your gratuity amount is deposited with LIC and LIC issues a cheque to the management, after encashment of the cheque, the management issues you a separate cheque. If the management is not cooperating, then you can contact the Labour Commissioner of your area to assist you in this matter. The Labour Commissioner may have the power to instruct the management or LIC authority to reimburse your gratuity promptly.

Thank you.

Regards, Sanjib Kumar Panigrahi
Manager - HR & Admin - Odisha

From India, Bhubaneswar
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Can Gratuity Be Claimed On Completion Of 240 Days During Fifth Year?

I resigned from the organization after completing continuous service of 4 years, 11 months, and 12 days. During my full and final settlement, the company refused to grant me gratuity, stating that I have not completed 5 years of service.

I have raised the issue on the grievance portal. After several reminders, I have finally been sent a notice from the 'Office of the Controlling Authority Under the Payment of Gratuity Act' to appear before them with all proof and witnesses to justify my claim.

Please suggest what I should do now?

From India, Bhubaneswar
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