Gratuity year calculation in the case of natural death of employee on premises. ( actual service year OR calculate till retirement ) ?
From India, Rajkot
1From India, Rajkot
According to Section 4 in The Payment of Gratuity Act, 1972
Provided that the completion of continuous service of five years shall not be necessary where the termination of the employment of any employee is due to death or disablement.
Please make a note that the time period of over 6 month or more is consider as 1 year i.e. the year of service rounded off the nearest integer.
For example- If you have completed the 5 year 7 month in the services, the length of service for gratuity calculation would be 6 years. Similarly, if you have completed the 5 year 5 month, the period for gratuity calculation would be 5 years.
According to Section 4 A in The Payment of Gratuity Act, 1972
-It is mandatory where no.of employees is more than 500 then every employer has to obtain an Insurance for payments towards the gratuity from LIC under the Lic of India Act, 1956 or any other prescribed Insurer
In such cases, the deceased will be eligible for gratuity till his date of actual retirement.
Regards,
Amit
From India, Delhi
Provided that the completion of continuous service of five years shall not be necessary where the termination of the employment of any employee is due to death or disablement.
Please make a note that the time period of over 6 month or more is consider as 1 year i.e. the year of service rounded off the nearest integer.
For example- If you have completed the 5 year 7 month in the services, the length of service for gratuity calculation would be 6 years. Similarly, if you have completed the 5 year 5 month, the period for gratuity calculation would be 5 years.
According to Section 4 A in The Payment of Gratuity Act, 1972
-It is mandatory where no.of employees is more than 500 then every employer has to obtain an Insurance for payments towards the gratuity from LIC under the Lic of India Act, 1956 or any other prescribed Insurer
In such cases, the deceased will be eligible for gratuity till his date of actual retirement.
Regards,
Amit
From India, Delhi
Hai I am Mathivanan, When one worker was join the duty not completed 5 years of eligible services for getting Gratuity, bur during the service period he was death, my question is he is eligible for getting Gratuity and Notional Gratuity also. Pl. clarify. Thanking you.
,
From India, Chennai
,
From India, Chennai
Employee is eligible for Gratuity from the Date of Joining till the date of Death.6 Months & above Service to be rounded off as 1 Year.Less than 6 Months Service to be ignored.you should furnish Employee Date of Joining & Date of Death to give actual Calculation of Number Years of Service
From India, New Delhi
From India, New Delhi
Community Support and Knowledge-base on business, career and organisational prospects and issues - Register and Log In to CiteHR and post your query, download formats and be part of a fostered community of professionals.
Gratuity calculation.doc
Gratuity Calculation tool.xls