AJOY KR. MUKHERJEE (Asst. Accountant) 20 September 2020

Eligibility of gratuity

I am working in a Pvt Ltd mfg. company joined in the year 1990 but they are not issue any appointment letter to me. On 01.08.1993 they registered me in EPF & ESIC. My superannuation date is 01/11/2020. In the year 2012 company closed there mfg. unit. In this regard they inform to concerned DLC by a declaration that mfg. unit is closed and establishment is running with the following staffs mentioning the date of appointment and post hold. But the company's intention is to forfeited the gratuity amount. If so then how can I get the same. Your valuable advice is highly appreciated. Also I enclosed the copy of the letter submit to DLC

Thank you

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5 Replies

Nida Khatri 21 September 2020

A person is eligible to receive gratuity only if he has completed minimum five years of service with an organisation. Thus, as you have completed more than 30 yrs in the manufacturing company, you are more than entitled to demand the entire amount of gratuity as it was subtracted from your income. First of all, you should file a written notice to the company saying that if you do not receive the gratuity, you would be filing the suit demanding for the same in a civil court

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Dr J C Vashista (Advocate) 21 September 2020

You are still in service, therefore, your entitlement has to be calculated and paid when you are released/ retired/ out of service.

You are entitled for payment of gratuity and shall be paid.

Presently it is your apprehension and presumption, which is premature.

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AJOY KR. MUKHERJEE (Asst. Accountant) 21 September 2020

Thankyou very much for your prompt valuable advice. Now I want to clear the matter that the company divide my salary in 3 nos. company. Two of them was manufacturer. out of this two mfg. co. one is deduct prof. tax, epf and esic and another co. not deducted anything. Both are pay my salary through cheque. director of the both the co. is from same family father. mother, son and daughter in law. both mfg. unit are closed and their establishment is running. One company shown my salary from 01.08.1993 and another company shown from 01.04.2012. Please advice me the remedy to get the Gratuity. there is no appointment letter of the both company except the declaration submitted to DLC. can I approach to DLC or how to recover my gratuity claim.

With regards

P. Venu (Advocate) 27 September 2020

Having worked so long, appointment letter is not at all decisive issue. As regards to other issues or apprehensions, no definite opinion is possible unless all the facts and issues are discussed threadbare.

Ritesh Maity (Labour Law Advocate) 29 September 2020

It seems that you have joined the company in 1990 and was enrolled under ESI & PF 3 years later and your date of superannuation is in 2020. In the meantime it appears that the company has submitted a letter before DLC, Barrackpur declaring closer in 2012. However, as per the said letter, your employment was untouched. In this situation, there is no harm in claiming the gratuity after your superannuation.

You have to send Form I to the company after your superannuation and wait for 1 month.

If they do not pay, you have to make an application in Form N before the Authority appointed under the Payment of Gratuity Act, which is mostly at the Asst. Labour Commissioners.