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SAI RAMI REDDY (Private)     31 May 2014

Gratuity

Dear Sir

 

I worked for an organization for a period of 8 years 9 months.

 

I applied for gratuity in the month of april-2014. Its almost 2 months i haven't get any reply from the organization.

Even i have sent one reminder in May -2014.

Could you please tell me

1. with in how many days the organization should reply from the letter given date?

2. If they don't give me a reply for the next 3 or 4 months, what procedure should i follow?

3. if they sanctioned my gratuity can i ask them interest for late payment? what % of interest.?

 

Please give your suggestions.

Thanks in advance.



 1 Replies

Kumar Doab (FIN)     31 May 2014

Payment of Gratuity Act:1972: Sec: 1(3) (b)(c)(3A), 2(a)(s), 2A (1),2 (a)(i) (ii) (b) (i) (ii), 4(2)(5), 7, 7A,8,9

 

It is believed that the Act is applicable to the establishment…………………and you are eligible for the payment.

 

 

Formulae for calculation:

{( Basic+DA)/26*15*No. of years in service}

Basic+DA as per last drawn salary.

In last  year since  you have worked for >6M you may count it as 9Y.

 

 

 

What form of application was submitted by you; FormI or something else?

Do you have POD of application that you have submitted for payment of Gratuity?

If yes what is it: courier, Redg. post, speed post?

Accordingly obtain both POD and certified copy of run sheet of delivery boy/postman.     

Submit reminder to appointing authority, MD, Chairman by redg. post and attach copy of your application and POD and demand payment by redg. post only.

If you do not have POD, submit FormI again thru redg. post  with covering letter that you had submitted it on dated………………………but the payment is not released to you.

 

Retain bills of all calls made by you.
Record all calls (audio) and meetings (audio/visual). 
You may submit a follow up (even if by email, but preferably by redg. post) and narrate all representations made so far (mention dates, names , brief minutes of discussion………………………….) and conclude despite so many representations the notice of determination of Gratuity , payment of Gratuity has not been supplied to you and same may be supplied by redg. post only and that you are wiling to supply the postage prepaid self addressed envelope for sending redg. post to you/OR that postage prepaid self addressed envelope is attached for sending redg. post to you.


If you have it on record that establishment (HR or employer) has declined to pay the Gratuity then you may quote so and of course keep the record safely.

Even if no application is submitted by employee the employer has to supply the payment by cheque to employee within 30 days of separation, or has to tender interest@10%.pa.

If employer does not tender payment you can approach the Inspector under Payment of Gratuity or ALC and they may issue FormN.

 

 

 


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