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Gratuity Is Not Started In Our Company, Director Said - CiteHR

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Shai89308

Executive Hr

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Ammu Shanvi

Human Resource

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G SHASHI KRISHNA

Senior Manager - Hr

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Aizant HR

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MARSHAL

Safety Officer

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Anish Katoch

Hr Executive

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PranjalR

Hr Recruiter

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Alka Pal

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Karthikeyan8195

Management Consultant

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Mohit Kumar Puri

Head Marketing

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Austex

Accounts Manager


V.K. Sorayan
Sir,
I am working in Limited Company at Haridwar, SIDCUL. Due to my excess leaves HR said that we are terminating you services from the company they have decided last day in the company 7 March 2013, and almost all formalities has already been completed, now i had asked to HR for gratuity. HR discussed the with Director, than Director said that \"gratuity is not started in our company\". I am working in the Company from 3 March 2007 and last day will be 7 March 2013. My services is continued, no break i have taken in this period.
Please tell me if i am eligible for gratuity. If yes so what is the process to get gratuity from company.
VKS

From India
vishalmgrhr
30

Dear VKS, Yes ,you are eligible for gratuity , fill the attached form & submit the same to employer via register post. you will get positive result .
From India, Haldwani
Attached Files (Download Requires Membership)
File Type: doc FORM Application for Gratuity by an employee.doc (25.0 KB, 2878 views)

soumik1570
112

First of all sir, did they show caused you before terminating on ground of excess leaves? Where you given appropriate chance to put up your clarification regarding the indiscipline?

Because from your words , it seems they have hurriedly completed the termination process, without following any proper rules[natural justice]. anyways it seems now its too late for all this queries, as they have already completed the process.

Now coming to your main query , you are eligible for gratuity claim. you have succesfully completed 5 years/4 years and 240 days in last year.

but your company is not having any gratuity fund a/c , --- in this case your employer is liable to punishment/imprisonment, as i suppose your ltd company is having more than 10 employees, so the employer is basically not following the statutory obligation.

now the law says....

In case the employee is not paid the due amount of gratuity he should apply, ordinarily within thirty days, in Form-I to the employer. Is an employer fails to pay due gratuity even after the receipt of notice in Form-1, the claimant employee or his nominee or legal heir, may within ninety days of the occurrence of the case for the application, should apply in Form-IV, to the Controlling Authority for issuing direction to the employer. After conducting the enquiry as prescribed, the Controlling Authority will determine the amount payable and direct the employer to make the payment. If the employer fails to comply with the direction the Controlling Authority can direct the Collector to recover the amount due and pay to the applicant.

please wait for seniors to pour more views into this....

From India, Calcutta
R B Yadav
114

Dear
I am agree with the view of Mr Mukherjee, the management has not given you an opportunity to represent your absence. The management has not followed the law of natural justice. You have an option to challenge the one sided order given regarding termination of your service. You can file an individual demand notice u/s 2-A of the Industrial Dispute Act, 1947 regarding your illegal and unjustified termination.
As such you have completed five year service and almost completed six year of service in the company, definitely you will be eligible for the gratuity benefit as provided in PGA. Ask your HR the reason why you are not eligible for gratuity and one more question which you can ask "Is gratuity will be provided to the workman on the sweet will of the director of the company or is it be drives from the provisions of the Payment of Gratuity Act.
Friend, no need to be worried, go ahead and definitely you will get success in this matter.
Regards
R B Yadav
Advocate

From India, Mumbai
V.K. Sorayan
Thank you all for best directions and solutions, I am extremely thankful to all of you for your advices.
Dear Sir,
Hear, I want to know one more thing that is "PAYMENT OF GRATUITY ACT 1972" is applicable in Uttarakhand.
VKS

From India
NISHCHAL.KUMAR
Dear VKS,
Yes ,you are eligible for gratuity, As per govt. policy.
The gratuity payable under the Payment of Gratuity Act, is liable to full or partial
forfeiture under different circumstances. Section 4(1) of Payment of Gratuity Act
1972 deals with payment of gratuity whereas Section 4(6) of the Act deals with
forfeiture of gratuity;
Section 4(1) reads as under:-
“Gratuity shall be payable to an employee on the termination of his employment after he
has rendered continuous service for not less than 5 years: -
i) on his superannuation, or
ii) on his retirement or resignation, or
iii) on his death or disablement due to accident or disease:
Provided that the completion of continuous service of 5 years shall not be necessary
where the termination of the employment of any employee is due to death or
disablement.”
aipnbsf.org/files/Payment.pdf - site

From India, Hyderabad
R B Yadav
114

Dear The provision of the PGA are applicable in the state of Uttrakhand. Regards R B Yadav Advocate
From India, Mumbai
Job Xavier
6

Unlike other statutory payments, companies are required to make payment of gratuity as per calculation under the Act when an eligible employee leaves or retires after 5 years of service.Most companies take the group scheme offered by LIC who then makes the payment to such employees.
In the instant case, once the employee can establish service beyond 5 years, the company can fulfill its obligation by making the correct amount and claim tax deduction as gratuity payment.
There is no question of someone saying we have no gratuity scheme as such benefits are mandatory for eligible employees.
JobXavier


9871103011
455

Dear contributing Members,

We have never tried to ascertain as to how many years of service Sh. VK Sorayan has put in his company. It is a important factor before giving him advice.I agree with my friend Sh.Job Xavier,who has mentioned the eligibility provisions of the Act.It is a Central Act,which states are bound to follow by framing their own Rules under the Act or by adopting the rules of other states.There is no question of start of scheme or not.In normal case,when a state is carved out from a big state,the newly formed state adopt the rules of its parental state through a gazette notification.For instant when State of Haryana was carved from Punjab, the labour Dept of Haryana adopted most of the regulations/rules prevailing in the State of Punjab through a gazette notification with suitable modifications suiting to their requirements.

My advice is if Sh Sorayan feels that he is eligible in terms of the provisions of the Act as explained by the members,he should file an application in the prescribed form with the Controlling Authority of the Area.

BS Kalsi

Controlling Member

From India, Mumbai
Ramnavghare
3

My Dear , Please read the legal provision for Payment of gratitity.as per provision you are sent to notice to company Regards Ram Navghare Manager - IR & Admin

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