• Non-payment of Gratuity

Steps followed so far, after being laid off from company:

Number of days worked: 4 years 237 days. I was in IT department and the company had 5 working days.

1) Sent employer form "I" claiming gratuity, annexure in Payment of Gratuity Act 1972. Sent email reminders, no response for 2 months. (Registered post, received acknowledgement)

2) Sent form "N" to Assistant Labor Commissioner of designated area, no reply or any change after a month of receiving application.(Registered post, received acknowledgement)
Called the person, he gave told me to send application to Labor officer, again with application and form N. He also said it was a civil case. I didn't understand and without correct address the application gets rejected. The bangalore labour website doesn't have updated information/names. 

What should I do next?

Wait for reply from Labor Commissioner? If yes for how long? 

Or

Should I file a case in Labour Court in Karnataka? If yes how to go about it? Do I need to hire a lawyer? How much do lawyers generally charge for a case like this?

It would be great if someone with experience in filing such a case in Bangalore area can answer.
Asked 7 years ago in Labour

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3 Answers

1) there are number of lawyers on this website from bangalore

2) you need to hire a lawyer to take legal proceedings to claim your gratuity amount wrongly ddenied to you by the company

Ajay Sethi
Advocate, Mumbai
94692 Answers
7527 Consultations

5.0 on 5.0

If the establishment works for 6days/week or less than 6days/week................and employee has worked for 240/190days in a year then if employee separates in 5th year , then employee is eligible.

uninterrupted service which may be interrupted due to accident, sickness, absence for duty without any leave, leave, lay-off, lock-out, strike or cessation of work (due to not any fault of the employee) are considered as continuous service.

Whether such interrupted or uninterrupted service was rendered after or before the commencement of the Act.

If in case employee is not in continuous service of one year, he/she shall be deemed to be in continuous service of one year if; he/she has, immediately preceding twelve colander months, worked under the employer for not less than –

190 Days (in case of employee employed in mines below ground)

190 Days (in case if employee employed in an establishment which works for less than six days in a week)

240 Days ( in any other case)

An employee who is eligible for payment of gratuity under the

Act, or any person authorised, in writing, to act on his behalf, shall apply, ordinarily within thirty

days from the date the gratuity became payable, in Form 'I' to the employer:

An application under this rule shall be presented to the employer either by personal service

or by registered post acknowledgement due.

8. Notice for payment of gratuity.-(1) Within fifteen days of the receipt of an application

under rule 7 for payment of gratuity, the employer shall-

(i) if the claim is found admissible on verification, issue a notice in Form 'L’ to the

applicant employee, nominee or legal heir, as the case may be, specifying the

amount of gratuity payable and fixing a date, not being later than the thirtieth day

after the date of receipt of the application, for payment thereof, or

(ii) if the claim for gratuity is not found admissible, issue a notice in Form 'M' to the

applicant employee, nominee or legal heir, as the case may be, specifying the

reasons why the claim for gratuity is not considered admissible. In either case a

copy of the notice shall be endorsed to the controlling authority.

10. Application to controlling authority for direction.-(1) If an employer-

(i) refuses to accept a nomination or to entertain an application sought to be filed

under rule 7, or

(ii) issues a notice under sub-rule (1) of rule 8 either specifying an amount of gratuity

which is considered by the applicant less than what is payable or rejecting

eligibility to payment of gratuity, or

(iii) having received an application under rule 7 fails to issue any notice as required

under rule 8 within the time specified therein,

the claimant employee, nominee or legal heir, as the case may be, may, within ninety days of the

occurrence of the cause for the application, apply in Form 'N' to the controlling authority for

issuing a direction under sub-section (4) of section 7 with as many extra copies as are the

opposite party:

Provided that the controlling authority may accept any application under this sub-rule, on

sufficient cause being shown by the applicant, after the expiry of the specified period.

(2) Application under sub-rule (1) and other documents relevant to such an application shall

be presented in person to the controlling authority or shall be sent by registered post

acknowledgement due.

11. Procedure for dealing with application for direction.-(1) On receipt of an application

under rule 10 the controlling authority shall, by issuing a notice in Form 'O', call upon the

applicant as well as the employer to appear before him on a specified date, time and place, either

by himself or through his authorised representative together with all relevant documents and

witnesses, if any.

After completion of hearing on the date fixed under sub-rule (1), or after such further

evidence, examination of documents, witnesses, hearing and enquiry, as may be deemed

necessary, the controlling authority shall record his finding as to whether any amount is payable

to the applicant under the Act. A copy of the finding shall be given to each of the parties.

If a finding is recorded under sub-rule (4) of rule 11

that the applicant is entitled to payment of gratuity under the Act, the controlling authority shall

issue a notice to the employer concerned in Form 'R' specifying the amount payable and directing

payment thereof to the applicant under intimation to the controlling authority within thirty days

from the date of the receipt of the notice by the employer. A copy of the notice shall be endorsed

to the applicant employee, nominee or legal heir, as the case may be.

On receipt of the decision of the appellate authority, the controlling authority shall, if required

under that decision, modify his direction for payment of gratuity and issue a notice to the

employer concerned in Form 'S' specifying the modified amount payable and directing payment

thereof to the applicant, under intimation to the controlling authority within fifteen days of the

receipt of the notice by the employer. A copy of the notice be endorsed to the appellant

employee, nominee or legal heir, as the case may be and to the appellate authority

Where an employer fails to pay the gratuity due

under the Act in accordance with the notice by the controlling authority under rule 17 or rule 18,

as the case may be, the employee concerned, his nominee or legal heir, as the case may be, to

whom the gratuity is payable may apply to the controlling authority in duplicate in Form 'T' for

recovery thereof under section 8 of the Act.

T Kalaiselvan
Advocate, Vellore
84893 Answers
2190 Consultations

5.0 on 5.0

You have done all that you could do. Now engage a lawyer to file the case in the competent court to have your gratuity released to you. Check this portal for a Bangalore based lawyer.

Ashish Davessar
Advocate, Jaipur
30763 Answers
972 Consultations

5.0 on 5.0

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