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AS   14 March 2017

Gratuity eligibility, calculation for software engineer

Hi,

I am Software Engineer and I resigned from my organization. I would like to know about Gratuity Eligibility and Calulation.

Some people said that to be eligible for Gratuity 5 years service is mandatory but some of my friends also said that if I am completing 4.8 + years then also I am eligible for this. 

Currently I am on notice period (3 Months) and I will be relieved by End of March and my total years of service will be 4.9 Years till that time. We work 5 days a week.

1) So I am applicable for Gratuity or not ?

2) Is there any reference of the Law for this ? A link / section statement of a Law/act. This will be helpful for me.

3) How the Gratuity gets calulated ?

 

Thaks.

 



Learning

 9 Replies

Kumar Doab (FIN)     14 March 2017

You are eligible.

Kumar Doab (FIN)     14 March 2017

The employer on its own should supply ‘Notice of Determiantion of Gratuity’ and payment within 30days from LWD.

Employee may submit FormI under proper acknowledgment.

Kumar Doab (FIN)     14 March 2017

There are enough threads on similar query at:

https://www.lawyersclubindia.com/forum/display.asp?cat_id=9&forum_id=49

e.g;

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

1 Like

Ritesh Maity (Labour Law Advocate)     14 March 2017

What does 4.9 years mean? 4 years 9 months?

You are eligible for gratuity if you have worked for 4 years and 190/ 240 days in the fifth year.

Calculation of gratuity = Basic+Da/26 x 15 x No. of years of service.

Upon cessation of emloyment, send FORM I immediately to the employer under registered post. 

1 Like

AS   15 March 2017

Thanks Kumar Doab and Ritesh Maity,

I spoke with my other friends who left the company and they have also completed the same period i.e. 4 years and 9 months but HR said they are not applicable and they have not received any Gratuity. 

If company don't pay gratuity what steps as an employee we can take ?

Ritesh Maity (Labour Law Advocate)     15 March 2017

If company does not pay gratuity, 

 

1. Send FORM I to the company immediately after cessation of employment under registered with a/d post. Wait for a month for payment/ rejection/ response from the company. If you do not get the payment within a month then you may approach controlling authority.

2. Apply in FORM N before the controlling authority. 

1 Like

Kumar Doab (FIN)     15 March 2017

Refer to above advise.

 

AS   15 March 2017

Thank You very much Ritesh and Kumar Doab for your advice and guidence.

Kumar Doab (FIN)     15 March 2017

Saying,asking, telling are all verbal mode of communication.

Transact in writing.

Verbal declinature by HR is of NOT MUCH favor to you.

Rather apply your skills and let designated person, even if this HR personnel, reply to you in writing.

 

At the above mentioned link there are many threads in which querist/employee's have posted that they have resolved the matter with their skills of reasoning, persuasion,negotiation, persistence.

Of course Submit FormI under proper acknowledgment and mention that ‘Notice of Determiantion of Gratuity’ and payment has not been supplied to you despite representations on dated...............by( say in person by phone call/email etc )..............to..............

 

 

1 Like

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