Mahesh Anand 08 April 2024
Contractual service of 3 yrs was converted to regular service without any break in service after 2.5 yrs. May I know if the contractual period of 2.5 yrs will also be added to regular service of 6 yrs 04 months while calculating Gratuity.
Is it mandatory for the private institute to pay Gratuity for 9 yrs or institute has a choice to pay for lesser period ie 6 yrs.
If I can get the ruling on the subject please.
T. Kalaiselvan, Advocate (Advocate) 08 April 2024
If the employee was employed by the same company as a contractual employee and subsequently absorbed as a regular employee, then the period of service served as contracutal employee also can be iombined towards gratuity calculation.
To be eligible for gratuity under the Gratuity Act, an employee needs to have at least five full years of service with the current employer,
All statutory dues are liable by Principal employer including payment Gratuity even to the contractual employee if their services are renewed every year continuously for 5years
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