Dear Members,
There is no ceiling on eligible salary for gratuity and of course there is a ceiling on amount of gratuity payable.
Almost all the organizations show gratuity as a part of CTC (contingent notional cost) but deductions are not in accordance with law.
In some organizations employees are encouraged to take away their gratuity on completion of each year of service, starting from the very first year. I would request seniors to kindly advise on the correctness of the same.
From India
2There is no ceiling on eligible salary for gratuity and of course there is a ceiling on amount of gratuity payable.
Almost all the organizations show gratuity as a part of CTC (contingent notional cost) but deductions are not in accordance with law.
In some organizations employees are encouraged to take away their gratuity on completion of each year of service, starting from the very first year. I would request seniors to kindly advise on the correctness of the same.
From India
1) Gratuity is paid to all employees who served the organization continous 5yrs unblemished service
2) Salary has no role to fix an employee for eligiblity
3) Recently maximum Gratuity has been enhance to Rs.10 lakhs and total amount is also exempted from Tax
4) Even an employee dies before the completion of 5 yrs continous service, his nominies will be paid gratuity
From India, Tiruchchirappalli
2) Salary has no role to fix an employee for eligiblity
3) Recently maximum Gratuity has been enhance to Rs.10 lakhs and total amount is also exempted from Tax
4) Even an employee dies before the completion of 5 yrs continous service, his nominies will be paid gratuity
From India, Tiruchchirappalli
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FORM-F-NOMINATI ON OF GRATUITY.pdf
Gratuity Form I.doc