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Prajakta (production engg)     05 September 2013

Gratuity

I was working in Falcon Electro-Tek since 2001-2010. In 2007 in copmany policy they started Gratuity rule but when I resigned and Claimed for gratuity they are giving me amount of only 3 years from 2007 -2010 only. Not calculating from my date of Join. Now company has been closed due to internal disputes. But they are giving gratuity to others as per their Joining date that means  who have been also worked their before gratuity rule started got his money from date of Join to till date. 

 

Company is doing this difference is rule and I have been left by properly giving notice period. So please suggest me how to fight against them.

 

Regards,

Prajakta Sawant



 9 Replies

Nadeem Qureshi (Advocate/ nadeemqureshi1@gmail.com)     05 September 2013

Send a legal notice to company & if the company is not ready to pay the amount then file a complaint before labour commissioner or you can file a writ against the company before HC or SC against this discrimination.

Prajakta (production engg)     05 September 2013

Hello Sir,

Thank you for your reply.

Please tell me what it means HC or SC you written above to file a compalint against them. And this gratuity amount is around 35000 so if I will send a legal notic them and if they will not respond so again to file a complaint in front of labour commissioer it should not the cost higher that will not benift me in claming graduity like this so plese suggest if we will Win for this case will it be possible to get that amount which we spend for this procedure?

Regards,

Prajakta Sawant

Rama chary Rachakonda (Secunderabad/Telangana state Highcourt practice watsapp no.9989324294 )     05 September 2013

For trainee employees no gratuity. I think you was in under trainee in between the period as you said.

Kumar Doab (FIN)     05 September 2013

>>> 

Payment of Gratuity Act, 1972

Shall apply to all establishments as per provisions laid in the Act.

If your company was covered by the provisions of the Act since 2001 then it has to disburse w.e.f 2001.

If you were not an apprentice appointed under Apprenticeship Act then you should be eligible.

 

 

Section: 1
Short title, extent, application and commencement

(3) It shall apply to­ -

(b) every shop or establishment within the meaning of any law for the time being in force in relation to shops and establishments in a State, in which ten or more persons are employed, or were employed, on any day of the preceding twelve months;

(c) such other establishments or class of establishments, in which ten or more employees are employed, or were employed, or, any day of the preceding twelve months, as the Central Government may, by notification, specify in this behalf.

(3A) A shop or establishment to which this Act has become applicable shall continue to be governed by this Act notwithstanding that the number of persons employed therein at any time after it has become so applicable falls below ten.]


Section: 2
Definitions.

(e) "employee" means any person (other than an apprentice) 

>>>> Thee employer has to notify the Controlling Authority of gratuity well in advance before closure of the establsihment.

 

THE PAYMENT OF GRATUITY (CENTRAL)

RULES, 1972

 

3. Notice of opening, change or closure of the establishment3) Where an employer intends to close down the business he shall submit a notice in Form C to the controlling authority of the area at least sixty days before the intended closure.

 

>>>>> The Controlling Authority of Gratuity is to ensure that the employer should calculate correct amounts of Gratuity.

Employer has to issue notice of determination of Gratuity, to employee with a copy to Controlling Authority of Gratuity.

Payment of Gratuity Act, 1972

 

Section: 7
Determination of the amount of gratuity.

 

 

>>>>> Approach Controlling Authority of Gratuity, if company has not paid corrt amounts to employees.


Attached File : 64674882 paymentofgratuityact(1).doc downloaded: 121 times

Prajakta (production engg)     06 September 2013

I was not Trainee their I was Production Engineer and they have given me confirmation letter after 6 months completion of probation period. Then i promotated to Production incharge after 5 years.

They are just saying that we started gratuity in 2007 and I left in 2010 so u will get for only 3years not for 9 years. But now the employess who joined before me and working their till current date received a gratuity for completed years from date of their joining not from 2007 when rule started. I have my relaving & experiance letter also and while working with them no issues with management nothing. Just company was shifiting somewhere far from i was staying so i searched a new job and after 1 month notice period i left. I got PF but not gratuity.

Regards,

Prajakta

Prajakta (production engg)     06 September 2013

Hello Sir,

Thanks for the detailed information.

I was not working their as a trainee i was permenant Employees working as a Prodction engg their since 2001-2010. As per my appointement letter I joined their as a production enggg and after 6 month i received confirmation letter. Company started gratuity rule in 2007 and i left in 2010 so they r giving me only for 3years but now the company has closed and other emplyess got a gratuity since date of joining not only from 2007. I refused to accept gratuity in 2010 given by them only for 3years. And now i heard from other employess that due to closing of company they got gratuity for the period for whole years they worked their. My collegues who were joined before me i.e. before 2001 also got gratuity for completed years in company.

So please guide me wheather i m eligible or not and how to proceed further.

Regards,

Prajakta

D.P.Jayakumar (Sr.Manager)     06 September 2013

D.P.Jayakumar

If you are appointed on probation from the date of joining and confirmed in the said position after 6 months, and you are not a trainee or an apprentice as per act, then you are eligible for full period gratuity from the date of joining to date of leaving. Please confirm whether there was any break in service. in that were you absent for a continuous period on grounds of health or any ailment? In such cases you should have worked for 240 days to claim continuous service for that year. To get your full gratuity you should file a claim for gratuity before the controlling authority in your region who will hear your case in the presence of your employer and give an order for payment of grautity if it is proved that you were in continuous service.

 

Prajakta (production engg)     06 September 2013

Hello Sir,

Thank you for the reply.

I was in continuous service for the period of 2001-2010 not taken any break for any kind of personal reason. Leaves adopted as per company rules. Just please confirm me that if gratuity has been started for 2007 so its manadatory to company to give gratuity from 2007 or for the period of years which I completed in organization?

Other employees got the gratuity as per their joining date not as per when they started the rule. Company saying  due to closure of company we released a fund not for those who left company who resigned before this colsure. I have not accepted the amount for 3years in 2010 and now got a news from my collegues that they got gratuity for whole years they completed. So i conatcted managemnet but they r refusing to give me for total 9 years. Just giving me for 3 years.

 

Regards,

Prajakta

Kumar Doab (FIN)     06 September 2013

As already pointed out:

Section: 1

Short title, extent, application and commencement


shall decide the applicability of the  

Payment of Gratuity Act, 1972

to the establishment, and no the whims and fancies of employer.

 If ten or more persons  were employed, on any day after inception of the company the Act should be applicable.

Approach your lawyer, and proceed under expert advice of the lawyer.



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