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SANJAY ANKUSH MESTRY   17 July 2018

Gratuity

Hello Sir, i am working from last 5 years in a same company. We have more than 20 employees. My company does not have Gratuity policy so they say they are not entitle to pay gratuity even if you have worked more than 5 years. Also company do not deduct any PF from salary. Our salary pay is as per Cost to company (Only Profession tax and as per our Income tax liability amount is deducted from our monthly salary every). Is Gratuity a mandatory Rule or a policy which company can decide whether to implement or not?

 



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 8 Replies

Kumar Doab (FIN)     17 July 2018

Payment of Gratuity Act, 1972 is a statute and applicable Pan India and is a beneficial piece of legislation and gets liberal interpretation. Many states have also framed rules as per the Act e.g Maharashtra,  Gujarat.

Company/employer/attorney’s of employer in HR/Legal cells cannot decide by their sweet will that they shall not adhere to the Statute, enactments, law of the land..

If they violate they can be penalized as per provisions e.g; penalty and imprisonment per Sec;9.

Kumar Doab (FIN)     17 July 2018

Go thru;

Payment of Gratuity Act, 1972 - Chief Labour Commissioner

 

Payment of Gratuity Act, 1972;1,2,2A,4,6,7,9

As per your post the establishment should be covered by Payment of Gratuity Act and for PF as well.

Go thru;

Employees' Provident Funds & Miscellaneous Provisions Act, 1952

If employee’s wages are within wage ceiling for PF, establishment should cover employees and deduct employee’s contribution ( and show the same in salary slip) and add employer’s contribution and deposit with EPFO and provide PF number…….

The Gratuity is paid/claimed after separation.

 

There are many threads on similar query that you can search the SEARCH option in threads, Articles e.g;

Gratuity denied

 

 

SANJAY ANKUSH MESTRY   17 July 2018

thks sir can claim for gratuity

SANJAY ANKUSH MESTRY   17 July 2018

sorry can I claim for gratuity

Kumar Doab (FIN)     17 July 2018

Originally posted by : SANJAY ANKUSH MESTRY
Hello Sir, i am working from last 5 years in a same company. We have more than 20 employees. My company does not have Gratuity policy so they say they are not entitle to pay gratuity even if you have worked more than 5 years. Also company do not deduct any PF from salary. Our salary pay is as per Cost to company (Only Profession tax and as per our Income tax liability amount is deducted from our monthly salary every). Is Gratuity a mandatory Rule or a policy which company can decide whether to implement or not?

 

Till the time you are in employment you cannot.

As already posted above after separation employee can claim.

SANJAY ANKUSH MESTRY   17 July 2018

thank you sir

SANJAY ANKUSH MESTRY   23 July 2018

hello sir,. time period for claim gratuity after resignation

SANJAY ANKUSH MESTRY   23 July 2018

hello sir,. when I claim for gratuity after resignation, time period after resign regards

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