The Payment of Gratuity Act, 1972, mandates employers to pay gratuity to employees who have completed at least five years of continuous service upon retirement or leaving their job. This applies to both private and public sector employers with ten or more staff. Even if service was on a contractual basis or involved short breaks, eligibility can still be met if the 240-day attendance criteria is satisfied, confirming your entitlement to gratuity.
In 1972 the Government passed the Payment of Gratuity Act. So as per the Act, it is a payment made to an employee by the employer either at the time of retirement or when he is leaving the job. It is given to the employee once he has completed at least 5 years of continuous service.
It is mandatory for any employer in the private sector or public sector who has 10 or more employees to pay gratuity to all employees.
Hence, you left your job and you completed the 5yrs of service. Thereby you are eligible to get your gratuity amount.
Sir, A query. whether 5 year contineous service even on contractual basis qualify for gratuity. As I was given 2 days break between every year, whether based on 240 days attendance criteria, can I request for Gratuity?
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