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Narayanswamy R (employee)     17 July 2012

Gratutiy

Hello Sir/Madam

I had worked in an Organisastion from 17th March 1999 – 6th Feb 2004.  I had not received my Grautity. the period is 4 years 11 months 21 days. Can you please advice, I am eligible for Gratity,? Please help.



Learning

 15 Replies

c.p.s. ramachary (1500)     17 July 2012

Eligibility criteria for gratuity:

1.The staff strengthe in the organisation must be 10  and above

2. Five years continuous service

Please check up if there were any breaks in the service rendered by you on account of sickness, leave, absence from duty without leave (not being absence in respect of which an order treating the absence as break in service has been passed in accordance with the standing order, rules or regulations governing the employees of the establishment), lay off, strike or a lock-out or cessation of work not due to any fault of you, whether such uninterrupted or interrupted service was rendered before or after the commencement of this Act.

Please consult a lawyer practicing in Labour Court or Industrial Tribunal for further necessary advise. 

Narayanswamy R (employee)     17 July 2012

Hi Thanks.. does this mean 4 years 11 months 21 days is not considered as 5 continous years of servi9ce.

c.p.s. ramachary (1500)     17 July 2012

Yes it means so. However please check up your service record based on the payment of salaries you have recieved

Kumar Doab (FIN)     17 July 2012

Payment of Gratuity Act, 1972

 

Section: 2A
Continuous service.

For the purposes of this Act, -

(2) (a)for the said period of one year, if the employee during the period of twelve calendar months preceding the date with reference to which calculation is to be made, has actually worked under the employer for not less than -

 

(i) one hundred and ninety days, in the case of an employee employed below the ground in a mine or in an establishment which works for less than six days in a week; and

(ii) two hundred and forty days, in any other case;

 

(b) for the said period of six months, if the employee during the period of six calendar months preceding the date with reference to which the calculation is to be made, has actually worked under the employer for not less than -

(i) ninety-five days, in the case of an employee employed below the ground in a mine or in an establishment which works for less than six days in a week; and

(ii) one hundred and twenty days, in any other case;

 

Explanation: For the purpose of clause (2), the number of days on which an employee has actually worked under an employer shall include the days on which -

(i) he has been laid-off under an agreement or as permitted by standing orders made under the Industrial Employment (Standing Orders) Act, 1946 (20 of 1946), or under the Industrial Disputes Act, 1947 (14 of 1947), or under any other law applicab1c to the establishment;

(ii) he has been on leave with full wages, earned in the previous year;

(iii) he has been absent due to temporary disablement caused by accident arising out of and in the course of his employment and

(iv) in the case of a female, she has been on maternity leave; so, however, that the total period of such maternity leave does not exceed twelve weeks.

The act is clear.

PF and Gratuity are covered under Social Security Laws. The gratuity act is to benefit the employee and employer should on its own arrive on a conclusion which benefits the employee.

SC and Madras HC judgements are enclosed.

SC judgement:

"hence an employee rendering service of 4 year 10months 11days is considered to have completed 5 years continuous service under sec.4(2) and thereby is eligible for gratuity."

 

HC judgements is also attached.

Kindly go thru a very informative thread at LCI:


Forum Home > Labour & Service Law > Gratuity > Clarity between gratuity eligibility service (5 or 4.8 yrs)?

 

at the following link:

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

 

 

 

Learned SC and HC have set aside the tantrums and opinions of employers and have reaffirmed the provisions of the act. Supreme Court and High Court have not disputed the provisions of the act. Both have precisely validated the provisions of the act. The controlling Authority of Gratuity understands the bare act and provisions and judgment of the courts.

In all probabilities Controlling authority shall take start from DOJ and then take date of reference.

Valuable advice of learned experts/members is sought.


Attached File : 641985599 13 13 gratuity 20 20madras 20hc 20judg 5b1 5d 1 .pdf, 641985599 paymentofgratuityact(1).doc, 641985599 surendra kumar verma etc vs the central government ... on 23 september, 1980.pdf downloaded: 381 times

Dipti (Sales)     18 July 2012

Hey Hii

 

I'm started my job in actually 01st April 2007 but they give me joing letter in date01 dec. 2007 & now I want leave this job in july 2012 so can i eligable for gratutiy 

 

and there is any official site for gratutiy 

 

Dipti 

Kumar Doab (FIN)     18 July 2012

 

 

@ Dipti,

How was the salary paid to you; in cash, by cheque, or DD, or bank transfer? Did the company issue any salary slip? Did the company ask you to sign voucher for payment of salary in cash.

Companies adjust salary under expense in its books. It must not be very difficult fore the labor authorities to find that you were on rolls of the company and company employed you.

How were you marking attendance? Did you submit any leave and have leave approval copy? Have you been sending work reports and getting assignments tasks to do?

Was your name entered in muster?

Have you been issued any I. Card? and so on.

You may copy all records and keep it in your personal file.

You may look into SE act applicable to your state, and as per the act employee might have violated the act by not issuing letter of appointment e.g.

As per The Delhi Shops and Establishments Act, 1954:

34.    EMPLOYER TO FURNISH LETTERS OF APPOINTMENT TO EMPLOYEES.

If your appointment is counted from Apr07 you are eligible.

You may go thru the Payment of gratuity Act attached and mentioned above:

Section: 2A
Continuous service.

(2) (a) (b)

 

DASHRATH (LAWYER)     19 July 2012

whether the payment of gratuiety Act will prevail upon the wage settlement,  wherein the benifit under the settlement  is more, however the same is expired?

Dipti (Sales)     19 July 2012

I have record that I'm working in the company from april 07 but on letteer they mention dec07 & they pay me by cash but i give them sign on vouchers 

 

also what is 

Section: 2A
Continuous service. 

where I can read this

 

also inforum me that on internet I'm found some 240 days as year what is that exact 

 

Dipti 

Kumar Doab (FIN)     19 July 2012

641985599_paymentofgratuityact(1).doc

is already attached in this thread. If you have record then you can establish.

You may refer to SE act applicable to your state. Employer has to issue appointment order/letter.

e.g. The Delhi Shops and Establishments Act, 1954

34.  EMPLOYER TO FURNISH LETTERS OF APPOINTMENT TO EMPLOYEES.

(c) Failure to maintain records—if single offence

(d) Can an Inspector require an employer to produce the  record in his office for
inspection?

Companies adjust salary under expense in its books. It must not be very difficult fore the labor authorities to find that you were on rolls of the company and company employed you.

 


Attached File : 1069641902 delhi shops & establishments act, 1954.pdf downloaded: 205 times

Bharat (Sr Manager Design)     24 July 2012

Dear Sir,


I joined my current organization on 29-10-2007 and my last day of employment date is 27-08-2012 (about 4 years and 10 months).

Request you to please suggest if I am eligible for the gratuity.

Also like to mention here we are 5 day a week working and our organization have some tie-up with LIC.

Request you to please advise on the same, I will be very grateful to you.

Thanks & Regards

Bharat

Kumar Doab (FIN)     24 July 2012

Payment of Gratuity Act, 1972

 

Section: 2A
Continuous service.

For the purposes of this Act, -

(2) (a)

(i) one hundred and ninety days, in the case of an employee employed below the ground in a mine or in an establishment which works for less than six days in a week; and

PF and Gratuity are covered under Social Security Laws. The gratuity act is to benefit the employee and employer should on its own arrive on a conclusion which benefits the employee.

Supreme Court and High Court have not disputed the provisions of the act. Both have precisely validated the provisions of the act. The controlling Authority of Gratuity understands the bare act and provisions and judgment of the courts.

You may submit form I to employer and controlling authority under proper acknowledgment from both.

Bharat (Sr Manager Design)     26 July 2012

Dear  Mr. Kumar,

 

Thanks for the advise

Just want to confirm once again does this mean i am eligible for the gratuity.

Regards

Bharat

Kumar Doab (FIN)     26 July 2012

As per provisions of act, interpretations by SC, HC you should be.

The first call is to be taken by your employer. Has it refused in writing?

You may submit form I to employer and controlling authority.

You have the option of approaching a competent and experienced service lawyer.

 

Bharat (Sr Manager Design)     26 July 2012

No! They haven’t refuse till now but according to their statement it should be complete 5 year service.

Further on same; they are ready to check with legal (what the Act say). Only after that I will have the clear picture.

Regards

Bharat


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