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Please Help: Gratuity

Posted Date : 04-Nov-2011 , 11:52:55 am | Posted By: CA Ashish Gupt

Category : Corporate Law | Answers : 1| Comments : 0| Hits: 917

what is the eligibility to gat gratuitiy on the basis of continious services ?

Answers:
   Answer by: Ashish Karundia
Dear Ashish, The gratuity eligibility service as per Payment of Gratuity Act, 1972 is 5 years i.e. continuous service [Refer section 2(c) read with Section 2A of Payment of Gratuity Act, 1972]. However, an employee who has put in his service for a period of 240 days in fifth year will be deemed to have continued in the service for 1 year.[Refer Mettus Beardsell Ltd., Madrs Vs. RLC(C) 1998 LLR 1072(Mad)]. Hope the above suffice.
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