Dharma (It Support Engineer) 05 May 2013
Hi, I have resigned from my current job after serving continuously 5 Years 4 months without any break. I have requested my employer for claiming Gratuity but they confirmed me that my current employer does not have any rule\plan for Gratuity.
My question here is that, is there is any specific parameters to be in place for an employer or employee to claim Gratuity??
Who to contact for help if I am eligible for Gratuity? My employer is not supporting me in this regards.
Kumar Doab (FIN) 05 May 2013
Gratuity: No limit on wages . Applicable to all employees.
Applicable to all establishments where 10 or more persons are employed.
Has your employer declined to pay in writing? Even if not you may submit a gentle representation narrating all representations till date (mention date, phone numbers, email, etc with brief minutes of representation) and statement of Mr/Ms……….Dept……designation……..name of company……….address……that Payment of Gratuity Act is not applicable to company and ask them to update you on the reason why it is not applicable or to provide you.
If the company is making verbal statements record it (audio/visual), for use at appropriate time in appropriate forum.
------Has the central Govt. exempted your company under Sec 5 of the Act? If yes ask your employer or HR person to provide you the certified copy of the exemption.
If payment of Gratuity Act is applicable to your establishment you may submit FormI without any delay to o/o Appointing Authority/MD under proper acknowledgment. Prefer Redg. post and avoid speed post/courier and demand acknowledgment in writing also from company.
After 10 days obtain POD (free of cost) and certified copy of the run sheet of post man (by paying Rs.10) from sub postmaster of
If company does not yield to your representations you may submit copy of FormI and its POD (under acknowledgment) to Controlling Authority of Gratuity which may be DLC in o/o Labor Commissioner.
FormI is attached. YOu may however obtain the latest version if any from authority or market.
You should also draw the attention of this HR person to word “WHOEVER” in :
(1) Whoever...........................
............ Provided that where the offence relates to non-payment of any gratuity payable under this Act, the employer shall be punishable with imprisonment for a term which shall not be less than [36] [Six months but which may extend to two years] unless the court trying the offence, for reasons to be recorded by it in writing, is of opinion that a lesser term of imprisonment or the imposition 01; a fine would meet the ends of justice.
--------The HR person is not your employer. He is another employee in the company.
If company has not taken compulsory Insurance as per Sec4A and has not registered with Controlling Authority you (employee) are not at fault.
------If you submitted notice of resignation you could submit FormI a month before effective date of resignation and company should have paid in a month’s time.
-------You may go thru Payment of Gratuity Act Sec 1, Sec2………(f), Sec3, Sec4A, Sec7, Sec8……….
-----Company shall have to pay, with interest.
If you are finding it difficult to handle it on your own, approach your lawyer to issue a legal notice.
There are many threads at LCI regarding Gratuity at:
e.g:
https://www.lawyersclubindia.com/forum/Query-regarding-gratuity-eligibility-74941.asp#.UYaBL6KAqWM
Dharma (It Support Engineer) 06 May 2013
Thanks Kumar for valuable information...
I have written communication from my employer, they are confirming as below:
###########
Mail from my employer:
as per our company policy there is no gratuity given to our employees and there was no deduction made from your salary towards gratuity.
###############
Looking forward with your sugesstion.
Kumar Doab (FIN) 06 May 2013
Payment of Gratuity Act is Statue. Gratuity is statutory benefit employer has to provide to employee, without any cost or deduction from employee.
It has already been pointed out to you that:
-----“Applicable to all establishments where 10 or more persons are employed.
Have there been ten employees employed in your company? You must be aware of it.
Refer to; Sec 3(b) (c) 3A. The complete Act has already been attached.
If yes the Act is applicable to the establishment, and you may submit formI as ap.
There is point or use of exchanging emails any more. The compnay has taken a stand and put the ball in your court.
-------“Has the central Govt. exempted your company under Sec 5 of the Act? “
You can find it out from the company, controlling authority of Gratuity.
Company/HR/employer-promoters-owners, can not formulate any policy as per its inner wishes, against the statue.
If the act is applicable to the company then as per the Act the person who has made such statement shall invite penalty/punishment/imprisonment for the company/employer as already pointed out, in previous post.
If you are finding it difficult to handle it on your own, approach your lawyer.
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