Clarity between gratuity eligibility service (5 or 4.8 yrs)?

Dear Sir,

I had completed my 4 years and 295 days in the Organisation and left the organisation. While Claiming the Gratuutiy amount first company denied to pay the gratuity stating that you are not eligible as per company policy. Post that I had given the reference  of case law of Mettus Beardsell Ltd., Madrs Vs. RLC(C) 1998 LLR 1072(Mad)

But still company is denying the pay the gratuity amount stating the following statement

"Under the provisions of Gratuity Act (Act) and the firms policy, gratuity is payable only upon completion of continuous services for not less than 5 years. 

 The criteria of 240 days given in the section 2A (2) of the Act, is applied only when the services of the employees in not a continuous services as defined in Section 2A (1) of the Act. In your case the services was continuous without any interruption, therefore, the benefit of section 2A (2) does not apply to you.

 Reference can also be had to the judgement of Andhra Pradesh  High court in the case of P Raghavulu & Son vs. Addl Labour Court, Andhra Pradesh, Hyderabad and Another, 1985-1 LLN 612 where it has been held that if any employee has worked for  4 years 11 months and 10 days, he will not be eligible for gratuity"

Kindly advice

Dear Sir,

I had completed my 4 years and 295 days in the Organisation and left the organisation. While Claiming the Gratuutiy amount first company denied to pay the gratuity stating that you are not eligible as per company policy. Post that I had given the reference  of case law of Mettus Beardsell Ltd., Madrs Vs. RLC(C) 1998 LLR 1072(Mad)

But still company is denying the pay the gratuity amount stating the following statement

"Under the provisions of Gratuity Act (Act) and the firms policy, gratuity is payable only upon completion of continuous services for not less than 5 years. 

 The criteria of 240 days given in the section 2A (2) of the Act, is applied only when the services of the employees in not a continuous services as defined in Section 2A (1) of the Act. In your case the services was continuous without any interruption, therefore, the benefit of section 2A (2) does not apply to you.

 Reference can also be had to the judgement of Andhra Pradesh  High court in the case of P Raghavulu & Son vs. Addl Labour Court, Andhra Pradesh, Hyderabad and Another, 1985-1 LLN 612 where it has been held that if any employee has worked for  4 years 11 months and 10 days, he will not be eligible for gratuity"

Kindly advice

Dear Sir,

I had completed my 4 years and 295 days in the Organisation and left the organisation. While Claiming the Gratuutiy amount first company denied to pay the gratuity stating that you are not eligible as per company policy. Post that I had given the reference  of case law of Mettus Beardsell Ltd., Madrs Vs. RLC(C) 1998 LLR 1072(Mad)

But still company is denying the pay the gratuity. Attaching the statment received from them.

Kindly advice

In 5^th year you have been in employment of the company for more than 240 days.

In this thread the descriptttion by SC and HC has been provided and thoroughly discussed.

Submit FormI to the company under proper acknowledgment and thereafter approach Controlling Authority.

In case of other employee company finally relented when the employee announced to initiate legal proceedings.

Discussion > Labour & Service Law > Gratuity > Query regarding gratuity eligibility

https://www.lawyersclubindia.com/forum/Query-regarding-gratuity-eligibility-74941.asp#.UYYx76KAqWM

Company can not have its own policy on the payment of gratuity.

It is statutory benefit it has to provide to employee.       

Has the central Govt. exempted your company under Sec 5 of the Act? If yes ask this HR person to provide you the certified copy of the exemption.

You should also draw the attention of this HR person to word “WHOEVER” in :

Section: 9
Penalties.

(1) Whoever...........................

............ Provided that where the offence relates to non-payment of any gratuity payable under this Act, the employer shall be punishable with imprisonment for a term which shall not be less than [36] [Six months but which may extend to two years] unless the court trying the offence, for reasons to be recorded by it in writing, is of opinion that a lesser term of imprisonment or the imposition 01; a fine would meet the ends of justice.

--------The HR person is not your employer. He is another employee in the company.

Submit FormI under proper acknowledgment to o/o appointing authority/MD by redg. post (avoid speed post/courier). After 10 days obtain POD (free of cost) and certified copy of the run sheet of post man (by paying Rs.10) from sub postmaster of PO from which redg. post was booked.

If the company does not pay gratuity, submit copy of FormI with POD of redg. post to Controlling Authority of Gratuity (which may be DLC in o/o Labor Commissioner at your location).

If company has not taken compulsory Insurance as per Sec4A and has not registered with Controlling Authority you (employee) are not at fault.

Company shall have to pay.

 If you are not able to resolve the matter in your favor on your own, approach your lawyer.

Notice period, weekly off, holidays are counted.

Go thru this thread carefully.

190 days in a year if company is operating on 5days/week and 240 days if otherwise.

Mention effective date of resignation/last day in office carefully in notice of resignation.

Hi Sir,

I am currently serving notice period, my joining date was 02-06-2008 and my last working day is 21-05-2013. I would like to know whether i am eligible for getting gratuity.

I have gone through the thread a lot of times and have even shown this forum to the HR still the HR is reluctant about providing any feedback and stalling.

You are eligible.

This HR person is not your employer. He is another employee in the company.

It appears he does not know how to read and can not count or he is adamant and recalcitrant.

Whatever it is you may approach the o/o appointing authority, MD, and submit FormI under proper acknowledgment.

Shift from verbal mode to written mode and let him or employer state whatever they want in writing.

You should also draw the attention of this HR person to word “WHOEVER” in :

Section: 9
Penalties.

(1) Whoever...........................

............ Provided that where the offence relates to non-payment of any gratuity payable under this Act, the employer shall be punishable with imprisonment for a term which shall not be less than [36] [Six months but which may extend to two years] unless the court trying the offence, for reasons to be recorded by it in writing, is of opinion that a lesser term of imprisonment or the imposition 01; a fine would meet the ends of justice.

 This section is for such individuals only.

The authority to represent as per the Act is Controlling Authority of Gratuity: which may be DLC at your location.

Hi

Kindly let me know the below employee for Gratuity eligibility

regards

Kiran

From period

DOJ:                            1-Aug-2008

Last day in office:         30-Apr-2013

If the employee has rendered uninterrupted service, employee should be eligible.

Refer to:

Section: 2A
Continuous service.

(2) (a) (i) (ii):

Count 4 years from DOJ.

In 5^th year count 190/240 days………………….the date of completion of uninterrupted service of 190/240 days shall be your date of reference to which calculation is to be made…………..

The Act is clear.

Hi Sir,

I worked in travel agency which is pvt.ltd firm for 4yrs8mths and i applied for gratuity but the company is denying ,plz suggest wht to do am i eligilabe or not and even i worked in a continiutity period there was no break in service period, plz reply 

thanks 

Ashima

9717189667

KINDLY INITIATE A NEW THREAD ALWAYS. THIS THRAED HAS BECOME TOO LONG.

Section: 1 :Short title, extent, application and commencement.

 (3) It shall apply to­ -

 (b) every shop or establishment within the meaning of any law for the time being in force in relation to shops and establishments in a State, in which ten or more persons are employed, or were employed, on any day of the preceding twelve months;

Section: 2: Definitions.

(e) "employee" means any person (other than an apprentice) employed on wages, [3] [***] in any establishment…………………………

If you are eligible then you may submit FormI preferably thru redg. post to appointing authority, MD………….and acknowledgment/receipt by redg. post.

The company should disburse gratuity within one month.

If you are finding it difficult to drill sense into the heads, you may entrust the matter to your lawyer. A phone call/legal notice from your lawyer may drill sense into the heads.

You have the option of approaching Controlling Authority of Gratuity which may be DLC in local o/o Labor Commissioner………….

It has been made to get compulsory insurance.

Section: 4A: Compulsory insurance

Your company might have not taken it and thus it might have defaulted on this count.

If company has not obtained it shall have to pay from its own resources.

Employee may draw the attention of concerned HR personnel, o/o appointing authority, MD, Chairman.. etc to the word “WHOEVER” AS MENTIONED IN SECTION 9:

Section: 9
Penalties.

(1) Whoever, for the purpose of avoiding any payment to be made by himself under this Act……………. shall be punishable with imprisonment for a term……………….. twenty thousand rupees, or with both:

And

Section: 8:Recovery of gratuity. 

Hi,

I was working continuously (5days working in a week) with a MNC from 5May2006 to 31st Jan 2011. As per my understanding from couple of discussions, I am elligible for the gratuity. I need it to be revalidated from experts like you.

Last couple of days back, I wrote an email to the company asking for the same. But got an written response that they will only pay gratuity to emplyees who complete 5years in their organization.

May I have your kind support to get exact idea whether I am elligbile for the gartuity or not, is there any clause for the employer based on which they will not pay employee gratuity?

If everything goes in favour of me means I can get my gratuity amount then let me know how can I claim and get the same amount from the company. My company was in Gurgaon and I stay in Delhi. Both seems are in NCR.

Please guide me to go in right direction.

Regards,

Sripati