Hi sirs, I would like to know whether gratuity benefits for the employee at super annutation/ retirement will be the same for the employee in case of death? Swapna Hyderabad
From India, Hyderabad
Dear Swapna,
Pl refer to sec.4(1)(c) of the Payment of Gratuity Act,1972. Termination of employment occasioned by death or disablement of the employee does not require the minimum qualifying service of not less than 5 years. All other things remain the same.

From India, Salem
Under Section 4 of the payment Gratuity Act 1972 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.

Termination of employment may result from

superannuation,

retirement,

resignation,

death,

disablement due to accident/disease.

As held in the case of darshan Engineering Works vs controlling authority where an employee continues to work after superannuation he will be entitled to gratuity for the entire period and not only up to his superannuation.

Under explanation to section 4(1) disablement means such disablement as incapacitate an employees from the work which he was capable of performing before the accident or disease resulting in such disablement. Under Section 4(4) if an employee continue in his is current employment after disablement at reduced wages, the gratuity for the period upto his disablement is to be calculated at such wages as he was being paid before disablement. The gratuity for the period after disablement is to be calculated on such reduced wages.

Under provision 1 to Section 4(1), the provision of continuous service of 5 years shall not be necessary where did termination of employment happened due to death or disablement. In case of death the amount of gratuity be paid to the nominee. If there was no nomination made gratuity shall be paid to the heir. Where the nominee or heir is a minor then the amount of gratuity shall be submitted to the controlling authority. The minor can use this fund when he attains majority.

see Payment of Gratuity Act, Rules, Forms, Returns & All Other Information

From India, Kolkata
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.





Contact Us Privacy Policy Disclaimer Terms Of Service

All rights reserved @ 2024 CiteHR ®

All Copyright And Trademarks in Posts Held By Respective Owners.