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Gratuity query

sheetal bagul (B.Com) (47 Points)

08 June 2016

I need your opinion on gratuity rule. Actually meri sis ek NGO me job karti hai n waha shortage of fund ki wajah se meri sis ko b exist letter diya means staff half kar diya hai.... abhi meri sister ka 4.8 month hua hai n gratuity ke liye 5 years required hai... meri so 2nd n 4th saturday leave thi... abhi ye NGO ki problem hai not my sister mistake.... koi muze legal advice de sakta hai kya regarding this plzzzzz. its urgent.

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CA Shree Jain (Chartered Accountant) (1572 Points)
Replied 08 June 2016

This is one the most frequently asked question and there are various views available on it.

In one of the case, Madars High Court has held that an employee who has completed 4 years and 240 working days in 5th year will be entitled for gratuity i.e. 4 years 10 months and 11 day.

Although, there is no amendment made in the gratuity act, hence the confusion. If you ask me i will take it as, if your establishment is in Madaras then 240 working days in 5th years will be considered else you can only claim when you complete 5 years.