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Gratuity eligibility - Should leaves be subtracted from tenure? - CiteHR

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Anonymous
Working in a software company since 23/09/2013. What should be my last working day if I want to be eligible for Gratuity? Working for 5days a week, full time. I was on maternity leave from August 2017 to February 2018. Should these leaves be subtracted from tenure? If it is 4 years + 240 days, what are those 240 days? Working or including week off like Saturday and Sunday?
From India, Bengaluru
Madhu.T.K
3891

Maternity leave days which are paid leave days will be considered as working days for the purpose of calculation of gratuity. But in order to be eligible for gratuity you should have at least 5 years service. Though there are a few High Court judgments supporting that an employee who has not completed 5 years of service but has worked for 240 days in the fifth year is eligible for gratuity. But the same cannot be taken as a right until and unless the Gratuity Act is amended in tune with these judgments. Moreover, the 240 or 190 days (for establishments which work for 190 days) applies to daily rated workers and not for employees like you. As such if your employer refuses to pay gratuity the only option available is to file a case against the employer.
Never calculate gratuity in advance and then put the paper.If you are not interested to work with an employer who has given you employment for all the 4 years plus with 6 months maternity leave (yes, though as a right conferred on you) quit immediately. Forget the scope of Gratuity Act.

From India, Kannur
Anonymous
They have provided the employment plus maternity leave, I agree. But I have worked more than necessary. It's not because i am not interested to work with them I am planning to quit, it's because of other commitments. I do not want to forget the scope of Gratuity and quit. I think it's my right. And would like to avail it. Please do not provide such advises like quit immediately if you are not interested and all that.
From India, Bengaluru
suresh2511
244

If you know your rights why raised query in the foram? Work till 23.09.2018 and quit thereafter. Suresh
From India, Thane
nathrao
3124

""Please do not provide such advises like quit immediately if you are not interested and all that.""
When you put a query in a public forum,meant to advice, you will get different types of advice.
Accept the advice you like and leave the rest.

From India, Pune
Anonymous
@suresh2511..I wanted to know how many months should I work precisely. Its not exactly 5 years, but less, therefore not necessarily I should work till the date you have shared. I know my rights, Ofcourse but not the exact tenure! That's why I have raised in 'forum' hoping somebody with some knowledge about this would reply.
From India, Bengaluru
suresh2511
244

Dear Madam,
As per the provisions of Payment of Gratuity Act, 1972 you are required to work minimum period of 5 years than you are eligible for Gratuity and thereafter every 6 months and above it will be considered as 1 whole year.
You have already availed maternity leave of 7 months (Aug. 17 to Feb. 18) therefore do not take any risk for any shortfall. It is therefore, advisable to get yourself relieved only after 23.09.2018 for receiving gratuity amount.
There are cases where Courts have awarded judgments for payment of gratuity who had worked for 4 yrs. and 240 days but its on merit. There is no amendment in Payment of Gratuity Act to pay gratuity who have worked for 4 yrs. and 240 days. Your company will definitely refuse to pay you gratuity, if you get yourself released on or before 22.09.2018.
If your attendance record is satisfactory (without LOP) then you can leave only after 23rd July, 2018 and thereafter fight for gratuity thru Court.
Regards,
Suresh

From India, Thane
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