Upgrad
LCI Learning

Share on Facebook

Share on Twitter

Share on LinkedIn

Share on Email

Share More

srikanth (free)     23 March 2010

GRATUITY PAYMENT

Is gratuity necessary for new joinees. And if an employee dies before fifth year, what claim amount his nominee will get and what is the calculation for this. Is the same procedure is applicable for disablement due to accident.  Is it necessary only employer should contribute or employee can also contribute for paying the gratuity



Learning

 2 Replies

Reetu Dwivedi (Paralegal)     23 March 2010

Yes, gratuity necessary for new joiners. And if an employee dies  or  becomes disable before fifth year its payable.

 

Calculation of Gratuity:

W x Y x 15 ÷ 26 [W = Last Wage drawn i.e. basic +. DA; Y = number of completed years of continuous service (six months or less to be ignored and more than six months to be counted as full year)

 

In case of an accident while on duty, the ensured worker (under ESIC) suffering from any temporary disablement are provided temporary disablement benefit@ about 75% of wage till the injury heals. If it turns to be a permanent disability then it is paid in cash depending upon the extent of loss of their earning capacity. This benefit is available from day one of the employment.

 

It is employer’s liability paying the gratuity there is no provision for contribution.

 

 

1 Like

sudhirtelang (advocate)     22 April 2010

NOW PRIVATE SCHOOL TEACHERS ARE WITH INDEFINITION OF EMPLOYEEFOR GRATIUTY PAYMENT PURPOSE.WHETHERTHOSE RETIRED EMPLOYEE W.EF 1/4/1997 WILL GETGRATIUTYIF THEY GO TO LABOUR COURT.PLBRIEF AND GUIDI FOR CLAIMING GRATIUTY OF RETIRED PRIVATE INSTITUTION TEACHERS

SUDHIR TELANG

ADVOCATE

C/48/NEHRU NAGAR ,BHOPAL


Leave a reply

Your are not logged in . Please login to post replies

Click here to Login / Register