Gratuity Payable or not
Karthikeyan
(Querist) 20 January 2016
This query is : Resolved
Dear Team,
Please advice on below scenario..
The management have decided to close one of our office and the employees will releived from their duties by FEB end.
Most of employees are employees for 3 - 4 years. As per gratuity Act they have not completed 5 years of service eligible but employees are asking gratuity.
Are we liable to pay grauity to the extend of amount accrued / deposited for these years.
Also furnish the relevant section from the Payment of Grauity Act.
Regards,
Karthieyan..
Guest
(Expert) 20 January 2016
Mr Karthikeyan,
Yours is purely a Commercial query. You may better consult your HR department or the CA/CS of yor organisation.
If not, hire services of some service laws expert to consult formally by showing background documents based on which the decision to close the office was made, as it is not merey a question of gratuity, but the legalities of lay off of the employees that has also to be taken care as per the labour/ indutrial laws.
You have posted the same question in another thread also, as follows:
http://www.lawyersclubindia.com/experts/Gratuity-Payable-or-not-580196.asp
Karthikeyan
(Querist) 20 January 2016
Appeciate your prompt reply... let me know as an employee am I eligible
Rajendra K Goyal
(Expert) 20 January 2016
No reply to repeated and commercial query.
Guest
(Expert) 20 January 2016
Mr. Karthikeyan,
It is better not to try to be smart. It is not your personal problem, rather a problem of the management, as your own query states, "Are WE LIABLE TO PAY grauity to the extend of amount accrued / deposited for these years."
Another sentence of your query, "Also furnish the relevant section from the Payment of Grauity Act'" reveals that it is an academic query, not a real problem, otherwise, as an employee you won't have asked for section, as only law students ask for relevant section of the Act to support their answers to academic queries. Payment of Gratuity Act being a small booklet, not only your company, but even you can well afford to buy and read that. Moreover, when you have already claimed in your duplicate query, "I know there are other legal formalities," you ought to know provisions of the Gratuity Act also along with other legal formalities.
Kumar Doab
(Expert) 20 January 2016
NO reply if the query is repeated and commercial.
