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Amit Jain   14 November 2017

Gratuity calculation for part year.

I joined my organisation on 4 June 2007 and my last date is on 30 Nov 2017. Will I be eligible for 10 years or 11 years Gratuity? I am in continuous employment since my joining date and have availed only earned leaves and weekend offs (as per company,s rules). Please help urgently!!!


Learning

 16 Replies

Rama chary Rachakonda (Secunderabad/Telangana state Highcourt practice watsapp no.9989324294 )     14 November 2017

Yes. You are certainily eligible. Minimum 5 years continuous working service is enough for qualifiation of gratuity.

M.S.R.Murty ( Manager (Admn))     14 November 2017

Dear Sir,

You are eligible to draw 10 years gratuity.

Amit Jain   14 November 2017

Hi, wanted to check why am I not eligible for 11 years?. As per the Act, if anyone has worked for more than 6 months, thats counted as one year. Further, definition of 6 months is 'any one who has worked for 120 days '. Hence, I should be eligible for 11 years Gratuity. Please let me know if I am incorrect. Regards

Amit Jain   14 November 2017

Hi Sir, Wanted to understand why am I not eligible to get gratuity for 11 years?

Kumar Doab (FIN)     16 November 2017

You may go thru:

Payment of Gratuity Act, 1972; 2(b,s), 4(2),7

https://www.labour.nic.in/sites/default/files/ThePaymentofGratuityAct1972.pdf

Some homework at your end shall make you clear.

Kumar Doab (FIN)     16 November 2017

 

Count, each year from DOJ to date of reference LWD.

If you have worked for 10Y05M26D then it is less than 10Y06M.

 

So employer may pay Gratuity for 10Y.

Gratuity= {( Basic+DA)/26*15* No of years}

Basic +DA as per last drawn salary.

Kumar Doab (FIN)     16 November 2017

 

Your LWD is yet to come and you may request (under proper acknowledgment) the employer to supply you the ‘Notice of determination of Gratuity’ and requisite forms (if any) and payment of Gratuity.

The employer is to supply ‘Notice of determination of Gratuity’ and payment of Gratuity, even if employee has not submitted any application, within 30days from LWD or interest @10%pa for the delayed period has to be paid.

Amit Jain   17 November 2017

Sir, If my last working date is 8th December, will I be eligible for gratuity for 11 years? Since my tenure will be 10 years 6 months (date of joining is 4 June 2007)

Kumar Doab (FIN)     17 November 2017

Dear LCI Querist @ Mr. Amit Jain,

Have you read the extent clauses and link posted for your benefit, carefully!

Or have you discussed with elders of your family, competent and experienced well wishers, seasoned leaders of employee’s unions, in case of difficulty!

Some of the homework is to be done by you.

Kumar Doab (FIN)     17 November 2017

 

If employee has worked for in excess of 6 months then it may be taken as 1Y for the purpose of calculation of Gratuity.

Kumar Doab (FIN)     17 November 2017

 

Calculate year wise from DOJ to LWD and it is simple.

 

Generically speaking; For the new date your tenure would be 10Y06M04D.


(Guest)

6 time wasting riddles by Mr. Kumar Doab, as a matter of playing merely number game on a vague query os the querist! The querist, as per his descripttion is still in service. No question of gratuity arises during service period.

 

 


(Guest)
Originally posted by : Amit Jain
I joined my organisation on 4 June 2007 and my last date is on 30 Nov 2017. Will I be eligible for 10 years or 11 years Gratuity? I am in continuous employment since my joining date and have availed only earned leaves and weekend offs (as per company,s rules). Please help urgently!!!

 

Vague query!

Last date of 30 November 2017 is yet to come. At first, you get relinquished from your job and then apply for gratuity. Your employer will look in to your eligibility and amount of gratuity as per the Payment of Gratuity Act. You need not worry for that. Come here with the problem, if any arises after your application for grant of gratuity to your employer.

 


(Guest)
Originally posted by : Amit Jain
Sir, If my last working date is 8th December, will I be eligible for gratuity for 11 years? Since my tenure will be 10 years 6 months (date of joining is 4 June 2007)

 

Vague query!

Earlier your last date of working was up to 30 November 2017 yet to come) and now your last date of working is 8th December, which is also yet to come. At first, you get relinquished from your job and then apply for gratuity. Your employer will look in to your eligibility and amount of gratuity as per the Payment of Gratuity Act. You need not worry for that. Come here with the problem, if any arises after your application for grant of gratuity to your employer.

 


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