if an employee having 3 years continuous service in the organisation and he retrenched from the organisation.Now is he eligible for gratuity or not?
From India, Delhi
From India, Delhi
Hi Mr. Pavani,
Mr. Khola is very much right. An employee has to complete 5 years of uninterrupted service in a single organization to be eligible for gratuity. If he is retrenched before completing the 5-year tenure, he is not eligible for any gratuity.
Mohan Rao
Manager HR
From India, Visakhapatnam
Mr. Khola is very much right. An employee has to complete 5 years of uninterrupted service in a single organization to be eligible for gratuity. If he is retrenched before completing the 5-year tenure, he is not eligible for any gratuity.
Mohan Rao
Manager HR
From India, Visakhapatnam
Hi, As per my understanding, PF no. should be the same for continuous 5 years, it doesnt matter if a person changes organisation or not. Sanjay HR Executive
From India, Delhi
From India, Delhi
Hi Sanjay,
Please give your valuable opinion on whether an employee is eligible to receive gratuity when they are retrenched after completing 3 years. Please do not divert the discussion to PF rules.
Mohan Rao
Manager HR
From India, Visakhapatnam
Please give your valuable opinion on whether an employee is eligible to receive gratuity when they are retrenched after completing 3 years. Please do not divert the discussion to PF rules.
Mohan Rao
Manager HR
From India, Visakhapatnam
hello sir, i am working as a HRExecutive .have no experience with labour law.can u share some laws like this with me.
From India, Mumbai
From India, Mumbai
Dear sir,
Sir, main ek company mein 7 saal se kaam kar raha hoon, is samay meri salary 3900 se hai. Ab main kisi karan job chod raha hoon, aur mujhe us company se full and final lena hai. To ab mujhe kitna hisaab milna chahiye.
Please mujhe bataye.
Please reply to me, sir.
Waiting for you.
From India, Delhi
Sir, main ek company mein 7 saal se kaam kar raha hoon, is samay meri salary 3900 se hai. Ab main kisi karan job chod raha hoon, aur mujhe us company se full and final lena hai. To ab mujhe kitna hisaab milna chahiye.
Please mujhe bataye.
Please reply to me, sir.
Waiting for you.
From India, Delhi
Mr. Kumarjay After completion of 5 years interrupted service in a single organisation, Yes the employee is eligible to claim gratuity from his employer as per the Gratuity Act. Mohan Rao Manager HR
From India, Visakhapatnam
From India, Visakhapatnam
Dear Mr. Rao, I mean that when a person turns 5 yrs in an organisation he is eligible for gratuity. Please tell me that how can we calculate gratuity.
From India, Delhi
From India, Delhi
Hi, Mr. Sanjay,
The employee who completes 5 years of interrupted service is eligible for gratuity, as I have mentioned on many occasions. The calculation of gratuity is as follows:
Last paid wages/salary divided by 26 days to arrive at per day wage/salary. Per day wage multiplied by 15 days for 1 year of service the employee had rendered in the organization to arrive at per year of gratuity. Per year of gratuity multiplied by the number of years of service he had given to the organization.
The employee's service must be 5 years or more without any break in service. The break in service within 5 years should not be counted towards the 5 years of service.
Mohan Rao Manager HR
From India, Visakhapatnam
The employee who completes 5 years of interrupted service is eligible for gratuity, as I have mentioned on many occasions. The calculation of gratuity is as follows:
Last paid wages/salary divided by 26 days to arrive at per day wage/salary. Per day wage multiplied by 15 days for 1 year of service the employee had rendered in the organization to arrive at per year of gratuity. Per year of gratuity multiplied by the number of years of service he had given to the organization.
The employee's service must be 5 years or more without any break in service. The break in service within 5 years should not be counted towards the 5 years of service.
Mohan Rao Manager HR
From India, Visakhapatnam
Uninterrupted service again means a particular number of days in a year right? Is it like 160 days minimum a year for 5 years to be eligible for gratuity or is it any other figure? Please confirm.
From India, Bangalore
From India, Bangalore
Hi all, I saw a High court decision in a magzine, that 4 years & 240 days should complete for gratuity. Is this ok?
From India, Delhi
From India, Delhi
Join Our Community and get connected with the right people who can help. Our AI-powered platform provides real-time fact-checking, peer-reviewed insights, and a vast historical knowledge base to support your search.