Hello my name is Jayshri,
My joining date was 1st June 2005 and my resignation date is 10th December 2022 . Total service period is 17 years, 6 months and 9 days .
As per gratuity act and earlier discussion on this forum, this period should be considered as 18 years for gratuity calculation .
But my company says it's only 17 years, and they come up with reason that Gratuity is applicable from date of confirmation and not from joining date. (my probation period was 3 month).
1) But my understanding is probation period is also considered, while calculation of gratuity, if yes Please provide me relevant legal documents
2) My basic salary is 31444/- so experts please advise my final gratuity amt.
3) Can company set it's own rules about including or excluding probation period For gratuity calculation or its abide by government act to all organization?
Thanks with regards,
From India, Pune
My joining date was 1st June 2005 and my resignation date is 10th December 2022 . Total service period is 17 years, 6 months and 9 days .
As per gratuity act and earlier discussion on this forum, this period should be considered as 18 years for gratuity calculation .
But my company says it's only 17 years, and they come up with reason that Gratuity is applicable from date of confirmation and not from joining date. (my probation period was 3 month).
1) But my understanding is probation period is also considered, while calculation of gratuity, if yes Please provide me relevant legal documents
2) My basic salary is 31444/- so experts please advise my final gratuity amt.
3) Can company set it's own rules about including or excluding probation period For gratuity calculation or its abide by government act to all organization?
Thanks with regards,
From India, Pune
Section 2A of the PG Act 1972 does not make any exception for the period of probation in computing Continuous Service. Even interrupted service is counted subject to the provision thereof in the Act, so there is no question of the probation period being excluded. You can make use of the definition of Continuous service given in Section 2A of the Act and argue on the above lines to seek inclusion of the probation period for gratuity.
From India, Mumbai
1530From India, Mumbai
Hi Jayshri,
Hope that the first 3 months of your service was your probation period and you were not a trainee on stipend. If that is true then you are entitled to gratuity for 18 years, the calculation of which would be 15/30 x 31,444/- x 18 yrs = Rs.2,82,996.
From India, Kolkata
Hope that the first 3 months of your service was your probation period and you were not a trainee on stipend. If that is true then you are entitled to gratuity for 18 years, the calculation of which would be 15/30 x 31,444/- x 18 yrs = Rs.2,82,996.
From India, Kolkata
In an employment contract there shall be clauses on period of probation and confirmation of service thereafter. From your post, I assume that you had joined in your organization in the year 2005 as a permanent employee with 3 months probation. So, length of service shall be computed from the Day 1 of your entry into the company upto the final exit date (Date of relieving).
So the contention of your company that the probation period shall be excluded is absolutely wrong.
From India, Aizawl
So the contention of your company that the probation period shall be excluded is absolutely wrong.
From India, Aizawl
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Period of training shall be counted for the calculation of gratuity-HIGH COURT JUDGMENT.doc