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Gratuity

(Querist) 23 May 2014 This query is : Resolved 
Sir,
My company is running under suspension of work since 2005 November & has sanctioned for revival scheme under BIFR act during 2012 from September. The company has not opened. Some representative of the company ask me to resign from the company. My designation is Executive Officer. Sir I want to know whether I will get Gratuity till date if I wish to resign on date? Please tell me about that because I am in very much trouble.

Regrds
Biswajit sengupta

In addition to above I want to know whether I will get Gratuity till the date of my resignation or that period when the cOmany has been declared sick by BIFR? Till date I am the employee of that company.
Kumar Doab (Expert) 23 May 2014
It is felt from your post that you are quite clear on the matter at your hands.


Payment of Gratuity Act, 1972:
is applicable to all employees and there is no wage ceiling.

Before you resign or contemplate resignation it shall be appropriate to visit in person a competent and experienced labor consultant/service lawyer in person with all documents on record, give inputs in person, spend quality time with lawyer and understand the options and merits in each option.


Your lawyer may opine that provisions of Section 22 of SICA may not operate.


Section: 2A:Continuous service.

For the purposes of this Act, -
(1) an employee shall be said to be in continuous service……………………-out or cessation of work not due to any fault of the employee,

You are not at fault for closure of the company.

Stake your claim.

This Act was enacted for social security and courts of law have been taking pr employee stance.

If your establishment is having its own trust to manage Gratuity download the Gratuity Rules and show these to your lawyer.

Usually it is stated that the Gratuity shall be governed by Gratuity Rules or Payment of Gratuity Act, 1972
whichever is more beneficial.

If your lawyer opines that you may resign then you may submit notice of resignation. Your lawyer may opine that you can demand notice of determination of Gratuity and/or you may submit FormI under proper acknowledgment 1 month before effective date of resignation.


Guest (Expert) 23 May 2014
You are eligible for gratuity in lieu of your service.
Rajendra K Goyal (Expert) 23 May 2014
You are eligible, agree with the experts.
BISWAJIT SENGUPTA (Querist) 24 May 2014
Respected Sir
I am eligible for gratuity that I know but Sir I want to know whether I am eligible for Gratuity till the date of my resignation or till the period at the time of Company declared Sick By BIFR?
Guest (Expert) 24 May 2014
You are eligible till the date of relief from service on your resignation.


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