Good Morning All,
If an organization has a manufacturing unit in one state and a corporate office in another state, under which jurisdiction will the gratuity rules apply for the organization? Will the state rules or central rules govern the payment of gratuity? Please guide me.
With regards,
Muralikrishna
From India, Nellore
If an organization has a manufacturing unit in one state and a corporate office in another state, under which jurisdiction will the gratuity rules apply for the organization? Will the state rules or central rules govern the payment of gratuity? Please guide me.
With regards,
Muralikrishna
From India, Nellore
Dear Muralikrishna,
In my opinion, state rules will prevail as in your case the appropriate government is the state since you do not have branches in more than one state. For more details, you may also go through section 2(a) of the Payment of Gratuity Act, 1972.
R.N.Khola
From India, Delhi
In my opinion, state rules will prevail as in your case the appropriate government is the state since you do not have branches in more than one state. For more details, you may also go through section 2(a) of the Payment of Gratuity Act, 1972.
R.N.Khola
From India, Delhi
Dear Sir,
With the manufacturing unit located in one state and the corporate office in another state, a Government Official (Central) has issued a letter stating that our factory shall be governed by central rules as per the Payment of Gratuity Act.
Please guide on the necessary steps to be taken.
Regards,
T. Murali Krishna
From India, Nellore
With the manufacturing unit located in one state and the corporate office in another state, a Government Official (Central) has issued a letter stating that our factory shall be governed by central rules as per the Payment of Gratuity Act.
Please guide on the necessary steps to be taken.
Regards,
T. Murali Krishna
From India, Nellore
Dear T. Murali Krishna,
Please reply in accordance with the appropriate government guidelines. If you believe that the Central Government officer's decision is correct, then proceed with compliance as per the Central Government Rules.
R.N. Khola
(Labour Law & Legal Consultants)
From India, Delhi
Please reply in accordance with the appropriate government guidelines. If you believe that the Central Government officer's decision is correct, then proceed with compliance as per the Central Government Rules.
R.N. Khola
(Labour Law & Legal Consultants)
From India, Delhi
Hello Murli,
If the rules of your company's Gratuity Fund are governed by the Payment of Gratuity Act, then the same yardstick shall apply both for your manufacturing unit as well as the corporate office. In a company, there cannot be separate rules for the payment of Gratuity only because they are in different states. But insofar as the compliance of statutory matters like the submission of returns, maintenance of records of gratuity payment, and visits by inspectors, will happen at the state level. To be more explicit, your manufacturing unit and corporate office will maintain records of employees' gratuity payment and returns for their respective units only.
From India, Calcutta
If the rules of your company's Gratuity Fund are governed by the Payment of Gratuity Act, then the same yardstick shall apply both for your manufacturing unit as well as the corporate office. In a company, there cannot be separate rules for the payment of Gratuity only because they are in different states. But insofar as the compliance of statutory matters like the submission of returns, maintenance of records of gratuity payment, and visits by inspectors, will happen at the state level. To be more explicit, your manufacturing unit and corporate office will maintain records of employees' gratuity payment and returns for their respective units only.
From India, Calcutta
Since the Payment of Gratuity Act, 1972 is a central act, we should not limit ourselves to any specific state. However, concerning compliance with statutory matters such as the submission of returns, maintenance of records of gratuity payment, and inspections, these will occur at the state level. It is advisable to secure insurance from a reputable company in the interest of both employees and employers. This insurance will provide our employees with additional financial support in case of unforeseen events.
From India, Delhi
From India, Delhi
Hi, is it possible to include gratuity and leave salary in monthly salary after completion of one year, please help me with your suggestions
From Qatar
From Qatar
Dear friend,
Gratuity shall be applicable to both manufacturing and corporate offices under the Payment of Gratuity Act, 1972. For maintaining records, respective state rules shall be applicable, as the case may be.
From India, Calcutta
Gratuity shall be applicable to both manufacturing and corporate offices under the Payment of Gratuity Act, 1972. For maintaining records, respective state rules shall be applicable, as the case may be.
From India, Calcutta
Hi Mahesh,
This is Syed. Please suggest to me. My manager advised me to include gratuity and leave salary in the monthly salary for employees who have completed one year and to revise the contract accordingly. Please advise if this is acceptable as per the law.
According to GCC law, employees will be eligible for leave salary and gratuity after completing one year.
From Qatar
This is Syed. Please suggest to me. My manager advised me to include gratuity and leave salary in the monthly salary for employees who have completed one year and to revise the contract accordingly. Please advise if this is acceptable as per the law.
According to GCC law, employees will be eligible for leave salary and gratuity after completing one year.
From Qatar
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