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Clarification on gratuity clause and validity
18-Oct-2023 (In Labour & Service Law)
Hi I would like to know the exact number of years that I need to serve to availing the Gratuity amount. It it 5 years or less than 5 years (4 years 240 days - including the Notice period) Thank You
Please take note of following -
As per the Payment of Gratuity Act of India the amount deducted from your salary is being refunded to you only in two context -
1. When you have left for heavenly Adobe during your employment which means you were employed at the organization at the time of your death. Your death need not required to be at office only (this being a clarification).
2. When you have continuously served in the organization for 5 continuous years and not less than that.
So 4 years and 240 days with notice period does not make 5 years. It should be 5 years then notice period.
As per the Payment of Gratuity Act of India the amount deducted from your salary is being refunded to you only in two context -
1. When you have left for heavenly Adobe during your employment which means you were employed at the organization at the time of your death. Your death need not required to be at office only (this being a clarification).
2. When you have continuously served in the organization for 5 continuous years and not less than that.
So 4 years and 240 days with notice period does not make 5 years. It should be 5 years then notice period.
Helpful?
19+
19+
Adv. Pulkit Prakash
Delhi | 400+ Answers
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MINIMUM FIVE YEARS WORKED WITH THE EMPLOYER IS MANDATORY YES INCLUDING THE NOTICE PERIOD. INCASE SOMEBODY WORKED 5 YRS AND 7MONTHS, HE IS ENTITLED FOR COMPLETE 6 YRS. IN THE FIRST FIVE YEARS IT SHOULD BE COMPLETE 5 YRS FOR ENTITLEMENT.
Helpful?
18+
18+
Adv. Surinder Singh
Delhi | 25+ Answers
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