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Need advice on claiming gratuity


19-Jun-2023 (In Labour & Service Law)
I'm an empoyee working for more than 10 years under 3 companies with one or more director, whether I'm eligible for gratuity or not as I want to leave the company. I'm having form 16 for past 8 years but no appointment letter. My salary is directly deposited in my account. Please guide me on above matter
Answers (1)

Answer #1
537 votes
Hi,
According to Payment of Gratuity Act, 1972 & Rules, an employee is eligible for getting gratuity after the completion of five continuous years in an organization. In you case you shall be eligible for gratuity if you satisfy the following criteria.
Meaning of Continuous Service

Gratuity shall be payable to an employee on the termination of his employment after he has rendered continuous service for not less than five years. An employee shall be said to be in continuous service for a period if he has, for that period, been in uninterrupted service and includes service which may be interrupted on account of sickness, accident, leave, absence from duty without leave, lay off, strike or a lock-out or cessation of work not due to any fault of the employee, whether such uninterrupted or interrupted service was rendered before or after the commencement of this Act.

If the amount of gratuity is not paid by the employer within the prescribed time to the person entitled thereto, the aggrieved person should make an application to the Controlling Authority under the Payment of Gratuity Act within the area where the employer's establishment is situated or where the employee was working at the time of termination. The controlling authority shall issue a certificate for that amount to the Collector, who shall recover the same, together with compound interest thereon at such rate as the Central Government may, by notification, specify, from the date of expiry of the prescribed time, as arrears of land revenue and pay the same to the person entitled thereto.

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