Company is denying to pay gratuity

>> Other thread by the querist:

https://www.lawyersclubindia.com/forum/Company-is-rejecting-gratuity-after-working-4-9-years-91201.asp#.UtjLqtIW1MA

You have already noted the citations, judgments in your above mentioned thread and have gone thru many of the illustrations on Gratuity at LCI:

https://www.lawyersclubindia.com/forum/display.asp?cat_id=9&forum_id=49#.UtjNXdIW1MA

e.g;

https://www.lawyersclubindia.com/forum/Clarity-between-gratuity-eligibility-service-5-or-4-8-yrs--28768.asp#.UtjNn9IW1MA

>> You may also go thru:

----   https://www.lawyersclubindia.com/experts/Gratuity-law-420856.asp#.UlEEvdKAqWM

 

https://www.lawyersclubindia.com/experts/Applicablity-of-gratuity-427216.asp#.UlQXmtKAqWM

 

---- The Payment of Gratuity (Second Amendment) Act, 1984 (26 of 1984)., insertion of Sec2A on Continuous Service.

Refer to Payment of Gratuity Act 1972: Sec 2A: 2(a) (i) :

Count 4Y from DOJ,

Count 190 days to DOL.

 

>> If company does not pay you can proceed further as per provisions of Payment of Gratuity Act 1972: 4(a) (b)....................

 

>> It is Central Act; a statue and has statutory force. Company is bound to comply.

Penalty and punishment for violation is described in Sec9.

You may also demand to inform you Gratuity a/c number pertaining to you’re a/c with say LIC.............................and  that if company has collected the Payment of Gratuity from your gratuity A/c maintained with approved Insurer e.g. LIC and certified copy of the payment certificate and instrument of payment released by LIC to your company.

Alternatively you may peruse with LIC to find out the details even if thru LIC including thru RTI.

>> Since your company has already declined you may approach a competent and experienced labor consultant/service lawyer near to you, and understand the matter and merits of your case, in person. Your lawyer would give the citations and judgments and can clarify whether you can submit Form N also under Payment of Wages Act or not.

 

Let your lawyer's opinion that has seen all of your docs and has analysed your inputs in person be final in your case.

Hope this shall suffice.

How can I know, which insurer is appointed by company for maintaining Gratuity?

If It is LIC, I can try using RTI

Don't remain entangled with HR.

HR has already denied it to you.

Submit a final representation to good offices of appointing authority, MD under proper acknowledgment and demand to supply everything and Gratuity Rules of the establishment.

If company has its own trust to manage the Gratuity then the Trustees ca provide you every information.

If good offices also maintain studied silence or do not provide any relief then you have option to approach lawful authority as mentioned above. 

You can investigate and find on your own with your efforts.

You can try with officials in P&S of LIC, DLC-Gratuity/Controlling Authority of Gratuity, in o/o Labor Commissioner.

The judgments are available in the threads mentioned above.

You can also search at GOOGLE, indiankanoon and other legal sites.

Since your company has already declined you may approach a competent and experienced labor consultant/service lawyer near to you, and understand the matter and merits of your case, in person. 

Hope this shall suffice.

You can file a complaint before the authority for Gratuity - usually the labour commissioner - find out from the local labour office and file a complaint

you are definitely entitled for gratuity

Hi Sir,

Thanks for your reply.

I was said by some experts (out side forum) that if company has denied your claim, company would have some strong reason to deny. I have checked all my offer letter and company related documents, there is no where stated related to gratuity.

Any idea, what could be such points that company may deny? Is it related to hours of work per week?

I also fear that If I go in court against company, there is chance they may black list me in HR forums and my future career would be destroyed.

Please guide

There is no wage ceiling of gratuity.

Hence all employees are eligible. Thus employer should mention the statutory benefits it is liable to provided to employee in the appointment letter issued to employee.

Gratuity being statutory right can not be denied by any employer to any employee that is eligible and entitled. Since it is a social security tool the courts have been taking view of the matter accordingly and judgments favorable to the employees have been delivered.

The HR of the company has already communicated the reason for denying Gratuity to you in writing and you have quoted it in your post in this thread.

The Payment of Gratuity Act 1972 provides for complaint with Inspector, Controlling Authority of Gratuity, which can be pursued by employee of anyone authorized by employee.

 

NO employer NO HR personnel have any right or power to blacklist any employee in any forum.

Such practice may get termed as Illegal, Unlawful, criminal Intimidation, Defamation, Discriminatory Retaliation.........................and offender may get penalized.

If it indulges in any such practice then employee should generate proof, evidence, witness................... and charge such employer or any one........................................who indulges in such practice.

Employee(s) that are not united are exploited.

Employees that have their unions, IC’s, Work Committees, are members of Trade Unions are well protected from such exploitation.

The unions are known to make such offenders Famous overnight..............................

 

 you may approach a competent and experienced labor consultant/service lawyer near to you, and understand the matter and merits of your case, in person. 

Hope this shall suffice.

Hi, To become eligible for Gratuity one must complete 4 years and 240 days in organization. But I am having query about no. of working days followed by company, is it 5 or 6? I am asking this, because organization in which I worked, which was initially working for 6 days per week for alternate weeks. After few months, they changed the policy and started 5 days week working. Any restricted no. of hours should employee complete to be eligible?

You have posted that:

"After few months, they changed the policy and started 5 days week working. 

IN 5th year 190 days may be counted.

The Act and relevant sections has already been mentioned.

 

Hope you will succeed now.

I discussed this with lawyer, and according to them I should get, but they are not sure 100%,.

According to them, it may depend on interpretation of court at the time of hearing. And seeing our indian court's lengthy process, it is not profitable to fight for 70K for many years.

You should be eligible for interest @10%p.a for the period of delay.

It is your  call now to stake a claim for it or give it up.

Section: 7
Determination of the amount of gratuity.

 

(4)

(a) If there is any dispute as to the amount of gratuity payable to an employee under this Act or as to the admissibility of any claim of, or in relation to, an employee for payment of gratuity, or as to the person entitled to receive the gratuity, the employer shall deposit with the controlling authority such amount as he admits to be payable by him as gratuity.

 

(b) Where there is a dispute with regard to any matter or matters specified in clause (a), the employer or employee or any other person raising the dispute may make an application to the controlling authority for deciding the dispute.]