06 February 2013
Respected sir, i am working with partnership firm in corporate sector in ahmedabad. my employer is deduct GRATUIY from my monthly salary but it will not shown in salary slip or not given in any appointment letter.
i thing they will not create any gratuity fund so what is the legel status if them deduct gratity with any reason. ( deducted gratuity will not refund to employee ) regards, dewang
02 March 2013
They would just be showing gratuity in your CTC (cost to company) and they are not deducting the same from your monthly salaries. This is a general practice followed by companies in India and there is nothing wrong.
They are obliged to pay gratuity only when employees have completed 5 years of service with them. Some companies are paying gratuity to employees even they have not completed 5 years of service but this depends purely on discretion/policy of employers.
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