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Time Period For Getting Gratuity And PF - CiteHR

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Shai89308

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Ammu Shanvi

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amraghu
dear all,
My friend resigned to his job on Apr 2nd 2012.whats the time frame for getting Gratuity and PF.the company HR says that company has its own policies and gratuity and PF will be given within 3 months.He used to work for a company say X.X split into two viz. Y and Z.He resigned for Z company after working for it for 2 years. Colleagues who resigned even before one year didnt get PF.The HR people are saying that the company X didnt submit the required forms in the PF office ,so there is a delay in getting the PF amount.do the company people have right to stop PF citing the reason.the company has a high attrition rates(even employees who worked for 5 years want to resign bcos salaries are very less).i think bcoz of this the management is blocking the PF and Gratuity for some more time.please advice my friend about the legal action that can be taken on the company.is there any court like consumer court which recovers the lawey fees also from the employer....
thanks in ad

From India, Bangalore
saiseven
53

so far as P.F is concerned, it amy take two months waiting period and another 45 days for the settlement of the account if there are no hassles like inadequate information or mismatch of details etc.So afr as gartuity is concerned, the employer shall pay within 30 days of it becoming payable.You should take up the matter with P.F for the delay ofthe employer in submitting the P.f forms.
B.Saikumar
HR & Labour Law advisor
Mumbai

From India, Mumbai
amraghu
Thanks for you reply sir.can you please enlighten me on exact period of getting gratuity. is it 30 days after resigning.If we take up the matter to P.F office will they respond please let me know.will they punish the employer by charging any interest rate for the delay period.
thank you and regards.

From India, Bangalore
saiseven
53

Dear member
The employee shall make an application for payment of gratuity on resignation or retirement. Within 15 days of receipt of application, the employer has to inform in either Form L or M (central rules) whether the gartuity is payable or not. thereafter within 30 days of gratuity becoming payable i.e the date of resignation or retirement, the employer shall pay gartuity. Going by this procedure it appears that the gratuity is paid within 30 days of receipt of application.
As a victim of delay in settlement of P.F claim, you should be concerned with your interests. It is always advisable to settle the issues with the employer amicably. You may follow up the matter with the employer further.
B.Saikumar
HR & Labour Law advisor
Mumbai.

From India, Mumbai
amraghu
dear sir, I didnt understand what you said."within 30 days of gratuity becoming payable" and "30 days of receipt of application"-I am confused.please elaborate. regards.
From India, Bangalore
saiseven
53

Mr.Raghu,
Going by the language of the Section.7(3) of the Gratuity Act, it is safer to compute 30 days from the date of submitting application rather from the date of resignation.
B.Saikumar
HR & Labour Law advisor
Mumbai

From India, Mumbai
amraghu
dear sir,
"compute 30 days from the date of submitting application rather from the date of resignation"- date of submitting the application is in the hands of HR people.so whenever they submit from that date +30 days ,we get gratuity credited.is there any specific time line before which the HR people has to submit the application?.

From India, Bangalore
saiseven
53

the 30 day period is to be computed from the date of submitting application by the employee to the company but not by HR to the concerned department. HR may take their sweet time to transmit the application to the concerned department. The employee cannot eternally wait for his gratuity.
B.Saikumar

From India, Mumbai
amraghu
Dear sai sir,

as I said my friend resigned on Apr 2nd.May 2nd is the last working day.His form was submitted on 13th July 2012(60 days from relieving date as said by HR).Hr people are telling the time period for crediting PF into account is still 60 to 90 days.He asked them to credit at an earlier date.they are answering like we are doing free service to the ex-employees by looking into the PF matter.actually the employees should look after their PF issue by themselves.is it true?.but one thing here is that they are making it late.also Hr people are saying that the PF officials are in a confusion about Annexure K.he didnt get a job till now.As they are saying, does annexure K come into picture in this context.I heard that Annexure K is necessary for transfer of PF funds from one account to another new account.Also in EPFindia site if he trying to know the status of his PF application, its showing "your application is rejected and it is being sent to the address mentioned by you".

pls enlighten me on the above doubts..

thanks and regards.

From India, Bangalore
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