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Query regarding gratuity

Parul (consultant) (25 Points)

19 April 2012

Hi,

I need some help with the Gratuity laws.

If someone has completed 4yrs 10 months of continuous employment in an organization and had to quit the job due to health issues. Is he/she eligible for Gratuity?

Please suggest.

Regards

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3 Replies

Giridhar S Karandikar (Team Lead) (7548 Points)
Replied 19 April 2012

as per section 4(2) of the gratuity Act, completion of 5 years is the threshold for becoming eligible to receive gratuity. however as per the SC ruling in the case of Surendra Kumar Verma v/s Central govt Industrial Tribunal, the employee has to work for a continuous 240 days in the 5th year to be eligible to receive gratuity..

So as per your case, the person is eligible to receive gratuity, as he has completed continuous service of 240 days in the 5th year.

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Parul (consultant) (25 Points)
Replied 20 April 2012

Dear Mr. Karandikar,

Appreciate your immediate response. According to my organization, i am not eligible for any gratuity as i left the organization within 4yrs 10 months due to health issues.

So is there any document to support this, which i can present to the organization as a proof in order to get my gratuity.

Thanks & Regards

Vinod Ram (C A) (165 Points)
Replied 20 April 2012

Thanks for the great insight. I came across this site, about small business. Nice read on various topics, good information. It also has different categories to choose from. Pasting the link -

https://smallbusinessindia.intuit.in/category/money-finance/ "