I request you to please clear my query regarding gratuity calculation. As per Payment of Gratuity Act of 1972, if employee having completed 5 and more years of service in a company then applicable for Gratuity but my question is, in that period employee on sick leave i.e. approx 2 years then he is applocable for Gratuity? please confirm my said said query. your co-operation will be highly appreciated.
08 January 2020
The employee should be in continuous period of service for 5 years for gratuity eligibility . In the referred case the employee was in sick leave. Please ensure the employer permit employee to take sick leave ( with loss of pay) and that employee is in the roll at the time of sick and his continuous period of service is 5 years , he is eligible for gratuity
Thanks for your reply of my query. he is on muster roll, but he is absence 1st year - 70 days 2nd year - 166 days 3rd year - 130 days 4th year - 58 days 5th Year - 85 days 6th Year - 45 days Total Days is 554 days then eligible for Gratuity? please confirm
23 January 2020
If the loss of pay is due to sickness certified by ESI / Government doctors or disability occured due to accident while on duty , the loss of pay will be considered as contionous service. Other wise there will be question of continuous service even though he is roll.