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Procedure against the company not settling the gratuity amount


09-Oct-2023 (In Labour & Service Law)
I have completed 5yrs 10 months in a private company in Bangalore, left job in Aug.2016 with 1 month notice period. Till now my gratuity amount is not settled by company. Company is making personnel allegation against me saying there is a design flaw in a project which you had involved, for that they are holding my gratuity. But as per my senior engineers guidance the designs flaws have happened, but at the time of my separation, seniors were already left the company. I need to claim my gratuity amount as per labour law. For any further clarification, please revert. Presently I am working in Oman, please contact me through mail.
Answers (1)

Answer #1
812 votes
Dear Client,

I am writing this response with regard to your query posted above. At the outset, I assume: (i) that in your employer’s establishment ten or more persons are employed, or were employed, on any day of the preceding twelve months, (ii) you have made the application claiming the gratuity from your employer, and (iii) your claim is against the employer whose establishment is located or situated in India territory.

Generally, it is made in Form I in accordance with the Rule 7(1) of the Payment of Gratuity (Central Rules). Said that you are very much eligible for the gratuity claim from your employer. Further, note that the amount of gratuity is payable to an employee on the termination of his employment, in your case the resignation. Furthermore, as per section 7(3) the employer shall arrange to pay the amount of gratuity within thirty days from the date it becomes payable to an employee upon termination.

It is pertinent to note that gratuity amount cannot be attached or impounded. Hence, you have legal resource to complaint to labour officer about the unfair practice of your employer.

Best regards,

Disclaimer: As to matters of law, I limit my response to the laws of India and the laws/rules/regulations of the state under whose jurisdiction the subject matters falls. Further, my response is limited to the facts presented by the client and laws in existence on the date of this response and at no subsequent time. This response is delivered to you in connection with the query raised/posted, and may not be utilized or quoted by you for any other purpose or relied upon by any other person or entity without prior consent. Further, this response does not create any attorney client relationship.

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