R.KARPOORASUNDARAM (ASSISTANT PROFESSOR) 20 February 2020

Graduity payment

Sir, In our organization, 7th pay is not implemented and we are in 6th pay scale. Some of our friends are going to retire soon. Our authorities told that our graduity will be 10 laks and not 20 laks since 7th pay scale is not implemented. Is it correct? Is payment of graduity linked to implementation of pay scale? Kindly clarify.

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1 Replies

Joy Bose 21 February 2020

Hello,
Are you a government employee or not?

If you are a private employee then according to the amendment done in the Payment of Gratuity (Amendment) Act, 2018, the upper ceiling of gratuity is fixed upto the amount of Rs. 10 lac. However, for Government employees, the ceiling of gratuity amount is up to 20 lac.

Regards,
Joy Bose