GRATUITY ELIGIBILITY 4years 7 months

Shawn (Querist) 13 February 2016 This query is : Resolved
Dear Experts,

I worked in a call centre for 4 years 7 months. All of us are employed with 2 days off in a week 2 two days off are different for employees since our company in functional 24x7. (5 days working for all employees in a week).

After releiving, when I checked with HR,
They said what I have read in the Gratuity Act is correct. 190 days for establishment which works less than six days. But our establishment works all 7 days. So it has to be 240 days & you are not eligible.

Please share your thoughts.

Am I eligible? if so, what I should do to get gratuity.

Regards,
Shawn.

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Guest (Expert) 13 February 2016
You do not qualify for gratuity, as per the Act.

Kumar Doab (Expert) 13 February 2016
Your terms of employment was 5days/week i.e. less than 6days/week.(5 days working for all employees in a week).

Call centers are covered by Shops & Estbs Act and are allowed to function 24x7.

Don't remain entangled with HR personnel alone.

Escalate to good offices of appointing authority/MD/Chairman.

If required Involve all affected employees/BOP employee's-trade unions.

Take a firm stand and pursue and let them give it a good beating of mind.

kavksatyanarayana (Expert) 13 February 2016
a minimum service of 5 years required for gratuity.

Rajendra K Goyal (Expert) 14 February 2016
Agree with the expert PS Dhingra.

Kumar Doab (Expert) 14 February 2016
The IT/ITeS/BPO/Call Centers: The idea and majority of them are from outside India.

Such companies claimed that they are not covered by labor laws and were categorically told that they are covered.

Such companies pleaded for exemptions citing their need to align with foreign clocks of their foreign clients.

Such companies are covered by Shops & Estbs Act were given permission (by exemption) to work 24x7 and employee women employees in evening shifts.

Such companies still remain establishments covered as : Commercial.

Such companies and its HR personnel have been making strange observations and since the employees in these sectors were not united and hence were isolated and suffered primarily due to ignorance, being ill informed and not being united.

Off late employees have united and affiliated with trade unions.

Such companies have been paying Gratuity to employees that persisted (even if they were not united).

There are many threads at LCI alone e.g:

http://www.lawyersclubindia.com/forum/details.asp?mod_id=103462&offset=1#.VsAZhkB-jMo

So the querist may persist and apply some skills.

5 years is not the requirement and has been clarified many times.

Shawn (Querist) 14 February 2016
Thanks Kumar... for the clarification.... even while going through other posts I had the same conflicting response...

Just to clarify.... not just HR even Management has the same thought on declining the gratuity. I will now consult with an advocate on how to proceed.

In more query, since you have mentioned shops & establishment act... I went through it and in the working hours section I read about overtime... In my prevoius company we were asked to work upto 12 hours for all 5 days and for 2 months due to project requirement. When I enquired about additional pay for extra hours they said our company policy does not have overtime concept, so no payment.

As they are covered under shops & establishments they should pay overtime. If so can I claim for the overtime salary now even after 1 year.. ?

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