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KS (SM)     25 March 2010

Eligibility for Gratuity

Hi, I request the forum members to please clarify the following

The Madras High court order of 1996 says

Quote

'Continuous serVice' - Qualifying period

of service by an employee - Entitlement of Gratuity - An employee rendering continuous service for a period of 240 days in a year will be deemed to have continued in service for 'one year as stipulated by section 2A of the Act -Thus an employee who has P.ut in service for 10 months and 18 days for the fifth year subsequent to first 4 years should be deemed to have

completed continuous s6rvice of five years -His claim for gratuity is tenable. Para 5

Unquote

The order states 240 days of service in a year and also, 10 months and 18 days in the fifth year subsequent to previous four years as eligible for gratuity.

Request the experts to enlighten the above.

Best Regards

SS



Learning

 1 Replies

Isaac Gabriel (Advocate)     28 March 2010

Service below sis months is ignored and exeeding six moths shall be taken as one year.In the case given, he is eligible for gratuity as he is deemed to have completed five years of service.


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