Company is rejecting gratuity after working 4.9 years

1.Yes

2.No

Submit FormI by redg. post.

You can Submit FormI 1 month before date of retirement(effective date of resignation).

Hi,

Where can I get Form I, and my resignation date is 20th September and last date is 20th November.

Please guide me.

You may write to HR to supply FormI to you and notice of calculation of Gratuity.

The company is duty bound to supply these.

You can also obtain FormI from HR , local o/o Labor Commissioner, market, Internet/Google………………………….and can submit it now.

Although FormI is attached it you may confirm from HR, o/o Labor Commissioner if this si the latest format in use.

You have already rightly been advised that the right of gratuity has already accrued to you which cannot be denied to you by your employer.

Submit form 1 through registered post to the company if it do not accept by hand from you.

I am also giving them reference of supreme court judgement [(1980) (4) S.C.C.433)].

Is that sufficient to make them to listen?

Is there any more reference you can give me so that I can confirm them

You may first demand in writing: quoting Section 2A: Notice Determining Amount of Gratuity and then FormI and let company reply to you in writing.

If the company declines in writing or does not supply FormI or maintains studied silence, you may submit FormI by redg. post.

While in employment employee should refrain from quoting judgments. Remain amiable and gentle.

However it is up to you to decide what shall work best for you as you are closest to your employer and you understand the situation better than any one else.

 The Supreme Court Judgment quoted by you is of year 1980.

In year 1984 the section 2A was inserted in the Act, which is self explanatory.

Therefore any establishment and any HR personnel should comply with it.

Despite the clear provisions in the statue if anyone resorts to mislead and misguide there are provisions of penalty, punishment, imprisonment in the Act.

Emphasis may be put on ‘If Anyone’ as in the Section9……………………

If the establishment has obtained insurance from LIC/FI it has to tender full payment obtained from LIC to employee even if the amount of Gratuity calculated by Formulae for calculation of Gratuity is less than payment the employer has received from LIC.

 Employee may demand copy of payment certificate issue by LIC and thus amount received from LIC.

{If the establishment has not obtained insurance from LIC/FI it has to pay from its own resources. However you may limit yourself  up to demanding payment certificate and amount released by LIC/FI, and let company state that it has not taken insurance as per Sec 4A……………..}

Thanks for reply.

I asked company for Form I and they said they are not aware of this fact and I am not entitled for gratuity as I have not completed 5 years.

I am still checking for some legal facts.

Instead of asking verbally ask in writing.

Submit minutes of all verbal transactions and mention dates.

Submit FormI as ap by redg. post.

Yes,

I am waiting till I get relieved from here. They are not giving anything writing. They have only said that they will take legal opinion.

Hi,

I have received following reply from company

Hi Nilesh,

As per the Policy Gratuity shall be payable to an employee over completion of 5 years of service.

Thanks,

Is there any situation, that company can overrule the law and deny the Gratuity? Because it looks they are very firm, even if I had a word of legal action with them

Narrate all representations made so far in person, by phone, by letter, email etc ( mention dates, phone numbers, names and brief minutes of discussion) and conclude that despite asking many times company has not supplied the ‘Notice of Determination of Gratuity’, FormI to you and has also not paid the Gratuity.

Has the company obtained ‘Compulsory Insurance for Gratuity? If NO this may also be the reason as company shall have to tender payment from its own resources.

It has already been mentioned that if in a year employee has worked for 190/240 days he is eligible.

The courts of law have time and again clarified the ‘Actually Employed’ and ‘Actually Worked’.

You may submit FormI under proper acknowledgment.

This is the first step to be taken by you.

Approach a competent and experienced labor consultant/service lawyer near to you, and understand the matter in person.

well elaborated by Mr Kumar Doab