Gratuity
JIBAN C
(Querist) 18 January 2018
This query is : Resolved
Madam/Dear Sir,
I have resigned from central govt organisation after continuous service of 6 years 7 month and joined in central govt. PSU. As i have joined in psu, so my past service is not carry forwarded. However, they rejected my gratuity application, simply mentioning that i am not eligible for this benefit. Please suggest me whether i am eligible for gratuity with proper goverment order.
JIBAN C
(Querist) 18 January 2018
how come? then where has my service of 6 years 7 months gone? it was not carried forward to my present organisation i.e. PSU i have joined. please suggest with reason/ order.
Kumar Doab
(Expert) 18 January 2018
Pursue the applicable Gratuity Rules.
Answer lies in the Rules.
Check as per length of service required to claim Gratuity.
Kumar Doab
(Expert) 18 January 2018
If you wish you may attach/post extract/link to rules......
R.Ramachandran
(Expert) 19 January 2018
Having worked in the Central Govt., you are covered under CCS (Pension) Rules, 1972. You are not covered under the provisions of the Payment of Gratuity Act, 1972.
According to the CCS (Pension) Rule, an employee is entitled to Gratuity only on 'retirement'. In your case you have not 'retired' but resigned. Therefore, you are not entitled to the gratuity.
JIBAN C
(Querist) 19 January 2018
Thank you Sir. But I would like to quote CCS (Pension) Rules, 1972
Rule no 26, Forfeiture of service on resignation read with
26. GOVERNMENT OF INDIA'S DECISIONS
7. Release of Government servants for appointment in Central Public Enterprises. - A Government servant who has been selected for a post in a Central Public Enterprise/Central Autonomous Body may be released only after obtaining and accepting his resignation from the Government service. Resignation from Government service with a view to secure employment in a Central Public Enterprise with proper permission will not entail forfeiture of the service for the purpose of retirement/terminal benefits. In such cases, the Government servant concerned shall be deemed to have retired from service from the date of such resignation and shall be eligible to receive all retirement/terminal benefits as admissible under the relevant rules applicable to him in his parent organization.
Please clarify with the fact.
Sudhir Kumar, Advocate 
(Expert) 19 January 2018
Then when you know rule why are you posting query here. file CAT case.
R.Ramachandran
(Expert) 19 January 2018
Please go through carefully. Even as per Govt. of India decision 7 quoted by you, "In such cases, the Government servant concerned shall be deemed to have retired from service from the date of such resignation and shall be eligible to receive all retirement/terminal benefits as admissible under the relevant rules applicable to him in his parent organization."
A. Now, please tell, as to what is the retirement/terminal benefits admissible under the relevant rules applicable to you in your parent organization?
The answer to your latest query lies, in your answer to the question "A" above.
Guest
(Expert) 19 January 2018
Rules cannot supersede the main provision of the Act. Rule 26 of the CCS pension Rules pertains to qualifying service for the purpose of claim of pension, not for the purpose of gratuity. If the organization tries to link that Rule with the Rules of gratuity, that is wrong. Rules for the purpose of gratuity starts from Rule 50 and onward of the CCS Pension Rules.
You can challenge their decision in the CAT/competent court of law, as the provision of the Act is sacrosanct, not the rules of any organization, unless that is more advantageous than the provisions of law. So, pension can be denied, but not the gratuity.
P. Venu
(Expert) 19 January 2018
Which Central Government Organisation? Were you covered by the provisions of CCS(Pension) Rules? If so, provisions of Payment of Gratuity Act are not applicable.
