GRATUITY

Resignation entails forfeiture of past service.  If you have resigned then the 13years service rendered by you might have been forfeited.  Therefore the question of payment of any gratuity does not arise.

Yes any employee is entitled to get gratuity after his 10 years service as per Payment of Gratuity Act,1972. It can be forefieted only in followintg circumstances:

1. If services are terminated, the gratuited shall be forefieted upto the loss quantified by the employer.

Full gratuity may be forefieted in the following cases:

1. Dissmisal for riotous, disorderly behaviour

2. Dimissed & convicted for the offence involving moral turpitude.

 

S.K. Singh

Advocate

If you have completed 5 years or more in service and resigned, you are entitled for gratuity. Gratuity is to be paid to any employee if he provides service for a minimum time of five years at a stretch with his employer in company. This payment also made to employee legal heir in the event of death. It is payable for 15 days per year for a period the employee has worked in the organization. An employee does not contribute any portion of his salary towards this amount. The Gratuity calculation is done as per the last average remuneration drawn and time in years served by an employee. For the Gratuity calculation the gratuity calculation formula is 1. basic/26 x 15 days x number of years of service OR 2. BASIC + DA (Last Pay drawn) X 15 /26 X No. OF YEARS WORKS