Query regarding gratuity eligibility


  

Hi,

I joined my previous company on Jan 22, 2007 and left on 14th Nov,2012. Since I completed 4 years 240 days in that company I have asked finance team on the eligibility for gratuity, they themselves are not sure and after many follow ups they told me that they have included me in the list and sent it for LIC approval. After 2 months I got below reply.

"Had an update from LIC, they have rejected claims of those who have not completed five years service and your claim is also there in the rejected list."

I replied with few references from web where it is clearly mentioned that 4 years 240 days are sufficient to claim gratuity and asking for next level of contact (either from organisation or from LIC), but dint get any reply.

Please advice  on how to proceed  on this.

 

Thank in advance....

 

 

  

 
Reply   
 
FIN

If DOJ, DOL posted by you are correct you have completed 5 years.

Kindly go thru a highly informative thread at:

 

 

Discussion > Labour & Service Law > Gratuity > Clarity between gratuity eligibility service (5 or 4.8 yrs)?

 

http://www.lawyersclubindia.com/forum/Clarity-between-gratuity-eligibility-service-5-or-4-8-yrs--28768.asp

 

 
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Advocate

I suppose your employer is linked with the LIC for the Payment of Gratuity to employees. Gratuity eligibility cannot be prevented by the LIC.It is the prerogative of the employer to comply witht he gratuity act and decide.The LIC in accordance with the arrangengement should comply with the demand for grant of gratuity to employees.

 
Reply   
 
FIN

Mr. Gabriel has given valuable advice. Kindly follow it.

The employer and LIC are not above law of the land and courts of law.

The thread at the following link is highly informative.

Discussion > Labour & Service Law > Gratuity > Clarity between gratuity eligibility service (5 or 4.8 yrs)?

http://www.lawyersclubindia.com/forum/Clarity-between-gratuity-eligibility-service-5-or-4-8-yrs--28768.asp


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Mr Kumar and Mr Gabriel,

Thank you very much for your advice. After I asked for next level of contact, they stopped  responding to my mails. Please advise on  legal actions to proceed further...

Thanks in advance.

 

 

 

 
Reply   
 
FIN

Majority of the queries you are raising are discussed in detail in the LCI thread:

Discussion > Labour & Service Law > Gratuity > Clarity between gratuity eligibility service (5 or 4.8 yrs)?

 

You have posted that:

DOJ:          Jan 22, 2007

DOL:          Nov 14, 2012

 

Thus you have completed 5 years.Then why you or your company is maintaining that you have not completed 5 years in service?

 

You may submit Form I to appointing authority/MD, under proper acknowledgment.

You may obtain latest version from Head-HR or o/o Controlling Authority of Gratuity which may be DLC in o/o Labor commissioner.Later if required you can also submit copy for FormI to Controlling Authority of Gratuity under proper acknowledgment.

 

Refer to:

Payment of Gratuity Act, 1972

 

Section: 2A
Continuous service.

Section: 7
Determination of the amount of gratuity.

 

 

 

 
Reply   
 

Sorry for the confusion, my joining date is 22 Jan, 2008.

 
Reply   
 
Advocate

You are eligible.


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Reply   
 

Thank you Mr Kumar and Mr Gabriel for the replies. After somany follow ups with my previous company, I got my gratuity amount today.  As I mentioned earlier HR people were not even responding to my mails.  After I got  replies from you,  I sent this as a reference and told them that I will take legal proceedings. Then they replied back immediately and said that they will again check with LIC on this and surprisingly this time the answer was YES. atlast after six months I received the money.

Once again thank you very much.

 
Reply   
 
FIN

Company is liable and you are entitled to get interest on delayed payment which is probably @10%/pa.

You may demand the same in writing.

You are entitled to know the amount paid by LIC to your company. There are threads suggesting companies paying amounts less than the amount received from LIC. Demand copy of certificate of payment isseud by LIC.

Don't give up anything as a parting gift.


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