Shubhra (IT Professional) (44 Points)
22 August 2019Hi,
I joined an IT Company on March 16th, 2015 and my last working day is Sept 20th, 2019. The company is working for 5 days a week. Will I be eligible to claim Gratuity? How may days shortfall is there to be eligible ?
Regards,
Shubhra
An IT Employee
Kallol Sarkar
(Accountant)
(188 Points)
Replied 22 August 2019
You have to be in 5 years continuous service in the company, to be eligible for gratuity, that you are not to be so.
Shubhra
(IT Professional)
(44 Points)
Replied 22 August 2019
Please refer https://indiankanoon.org/doc/1503989/
“According to Section 2A of the Gratuity Act ,An employee is eligible for Gratuity for the service in 4 yrs 6 months (in case if employee employed in an establishment which works for less than six days in a week)”.
So, I am looking for clarification about my dates.
Kallol Sarkar
(Accountant)
(188 Points)
Replied 24 August 2019
You have worked 4 years 6 months 5 days.
You should have worked 5 years of continuous service to be eligible for gratuity, where continuous service means 240 days work in a calendar year.
for last period of 6 months 5 days, you have not done continuous service of 240 days. Hence not eligible.
But if you have worked, suppose, 4 years 10 months 5 days, you would be eligible for gratuity. In this case, 10 months 5 days is beyond 240 days limit. Hence 10 months 5 days would be treated as 1 full year. Hence eligible.
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