At the time of appointment in the CTC gratuity amount is included. After 2 years of service, management asks the employee to resign. In the full and final employee is asking to pay the gratuity amount as management asks to give resign not on his own accord. Please suggest what to do from the employee side and employer side? Also, share any court order in this regard.
From India, Indore
From India, Indore
With two years service, the employee is not eligible to get gratuity as per the Payment of Gratuity Act 1972. All the CTC denoted is the expenditure incurred for the employee, it cannot be equated as entitlement. CTC is a non-statutory term, a sum derived to indicate the direct and indirect costs to the company with respect to its employees. It is indeed a trap or like the mannequins kept outside the textile shop, to attract the customers (to lure the potential employees here)
From India, Mumbai
1530From India, Mumbai
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Payment of Gratuity Act, 1972 & The Rules.ppt
THE PAYMENT OF GRATUITY ACT 1972.doc