Dear Client,

According to the law, an employee is eligible to receive gratuity if he has rendered continuous service for at least five years with an organisation. This gratuity is payable to the employee:

a) On his superannuation.

Resignation.

The rules suggest that once an employee becomes eligible to receive gratuity, he can apply within 30 days from the date it becomes payable. Further, if the date of retirement or superannuation is known, then too, the application can be before 30 days.

However, an employer cannot reject an application by the employee after the expiry of 30 days, if the delay happened due to a valid reason. The rules further clarify that no claim for gratuity shall be invalid merely because the claimant has not filed his application within the specified period.

An employer is required to specify the amount payable and mention the date of payment within 15 days of receipt of application. The payment must be made within 30 days from the date of receipt of application.

In case employer rejects the application of an employee for the payment of gratuity, he will be required to specify the reason for rejection.

The payment of gratuity can be made in cash, demand draft, or by cheque.

An employee or nominee/ legal heir can complain to the controlling authority, i.e., the assistant labour commissioner, in case of dispute under any of the following conditions:

a) If the employer refuses to accept the application filed for the payment of gratuity;
b) If the amount of gratuity paid is less than what an employee feels should be paid;
c) If after receiving the application, the employer fails to specify the amount payable to the claimant and/or fails to make the payment within the specified time.

Any complaint must be filed with the assistant labour commissioner within 90 days from when the event occurred. However, the commissioner can accept the complaint filed after 90 days if applicant can explain reason for the delay.

If you have filed a complaint, make sure you are present on the time and venue as fixed by the commissioner as your absence can lead to the application being dismissed. But if there was a genuine reason for your absence then you can apply for a review within 30 days for the re-hearing.

However, if your employer fails to appear on the required date even then the commissioner may proceed with the hearing for your benefit.

Regards

Sir there are judgement of court which state that if a person has complete 4 years and 240 days of service in 5th year then he is eligible for the gratuity. Refer the judgement Mettur Beardsell ltd vs. regional labour commissioner.

File a complaint with the labour commissioner regarding payment of gratuity.

As per gratuity act 1972 five years of continuous service is required to claim the gratuity amount. it's paid at the time of retirement, resignation, superannuation, disablement, death… for death and disablement 5 years continuous service not required.

it can be claimed under Indian Contract Act and not in the Gratuity Act and can also be claimed under The Insolvency and Bankruptcy Code, 2016 as operational creditors of the amount of claim i.e 1 Lakh.

but can approach against the same and claim under Contract Act. 

gratuity is applicable to a permanent employee who completes 5 years of continuous service with the organisation.

2) if you have completed  4 years 240 days service in the Organisation are also eligible to get gratuity benefit 

Yes, they are right.

The right for payment of gratuity accrues for service for a period of 5 years or more.

Since you have worked for a period less than 5 years, you are not entitled for gratuity.

This is mandatory for the relief so the bank is right in rejecting your application.

Dear Sir,

You may approach High Court or Civil Service Tribunal or Labor Commissioner as may be the case and get suitable orders on the basis of some of judgments which are in favor of releasing of gratuity even if employee not completed 5 years but completed  4 years 6 months.

1. You are entitled to gratuity since you have completed more than 4 years and 10 months.

2. To be eligible for gratuity, an employee should have worked for 4 years and 8 months and in your case you have worked for more than the minimum requirement and you are legally entitled to receive gratuity from your previous employer.

3.  Send a legal notice to your previous employer to settle your gratituty amount at the earliest and if is not settled, complain against the employer to the labour commissioner for his intervention to settle the matter.

"Judgment from Supreme Court: "Yes, by virtue of the judgment of Supreme Court rendered under the provisions of the Industrial Dispute Act in Surendra Kumar Verma vs. Central Govt. Industrial Tribunal,[(1980) (4) S.C.C.433)], it is enough that an employee has a service of 240 days in the preceding 12 months and it is not necessary that he should have completed one whole year’s service. As the definition of continuous service in Industrial Dispute Act and Payment of Gratuity Act are synonymous, the same principal can be adopted under the act also and hence an employee rendering service of 4 year 10months 11days is considered to have completed 5 years continuous service under sec.4(2) and thereby is eligible for gratuity."

1. 4 years and 6 months (190 days = 1 year) where the company follows 5 day a week. 2. 4 years and 8 months ( 240 days = 1 year) where the company follows 5 day a week. Is eligible for gratuity.The payment of gratuity ( second amendment) act, 1984 clarifies this. One needs to calculate the no of years and service completion as follows. A company which follows 5 day week Doj 1.05.2000 - 01.05.2000 to 30.04.2001 - worked for 190 days 01.05.2001 to 30.04.2002 - worked for 190days If we go by the above formula and if the person does not have any break in service he will be eligible for gratuity on 01.11.2004 "

yes it is 5 years with exemption to the period of less then 5 years only in case of death and disablement only.

Yes. Minimum of 5 years service required for pay Gratuity. You are not eligible.