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Gratuity related question

Rahul Baweja (NA) (25 Points)

23 December 2014

HI,

Sorry for asking a dumb question.

I wanted to know if the company is deducting gratuity and if the employee leaves the company or is terminated from the job is company liable to pay the gratuity amount or the employee will not get anything?

Thanks

Rahul

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5 Replies

Deepak Gupta (CA Student) (15922 Points)
Replied 23 December 2014

Refer to Section 4(1) and 4(6) of the Payment of Gratuity Act, 1972. All your doubts will get resolved.

Attached File : 555789 1391709 payment of gratuity.pdf downloaded: 212 times

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@VaibhavJ (Believe!! Live your dreams!) (33516 Points)
Replied 24 December 2014

If you have completed 4yrs & 8 months then only you are elgible for ratuity..

See rules for details..

Thanks

J. K. Ratan (Compliance Advisor) (794 Points)
Replied 24 December 2014

Dear Rahul Any employee who has complete his 5 yrs of service to serve a company is eligible to get gratuity. Subject to condition

Roshan Thomas (C.E.O ) (356 Points)
Replied 24 December 2014

Employee will become eligible for gratuity after 5 years of continuous service. However the employer has the right to forfeit and adjust the gratutity due on valid grounds (like to recover any damages caused by the employee)

Rahul Baweja (NA) (25 Points)
Replied 25 December 2014

Thank you everyone for your response.

I understand that a person only become eligible after 5 years or later, but in case if a company is deducting gratuity than is there a law that it can be reimbursed?