Gratuity rules for 5 working days employee

Good evening,

Employees who have completed five years of service are eligible to claim gratuity, under Section 4(1) of the Payment of Gratuity Act, 1972. But there are cases where people have been able to claim gratuity before the completion of five years. Section 4(2) of the Payment of Gratuity Act. This section provides a condition, stating that if you have worked for 6 months in your last year, meaning if you have worked in continuity, for four years and six months, or more than 6 months in that last year, you will be eligible to the payment of gratuity, at the mentioned rate.

There exists a ruling as per the Madras High Court stating that a person is eligible for gratuity if they have worked for, or over 240 days in their fifth year of working, but it is always the best option to remember six months of working in the fifth year. A person won't be eligible to claim gratuity if they have worked for less than six months in their fifth year. 

Please follow this detailed thread regarding the same topic to understand more: https://www.lawyersclubindia.com/forum/clarity-between-gratuity-eligibility-service-5-or-4-8-yrs--28768.asp

Hope this helped!

Regards,

Nandini

Hello Nandini, The above link is not working. Could you please again?

Hello there, you can always long press on the link and open the thread that way, through chrome. Please do let us know if this link isn't working that way either, and we will look into it further~

https://www.lawyersclubindia.com/forum/clarity-between-gratuity-eligibility-service-5-or-4-8-yrs--28768.asp