Thursday 9 October 2014

Interpretation- Five year service for Gratuity

In one famous case, the Hon’ble Madras High Court has held that an employee rendering continuous service for a period of 240 days in a year, that is, the fifth year will be deemed to have continued in service for one year as stipulated under section 2A of Payment of Gratuity Act, 1972. 

Accordingly, an employee who has put in his service for 10 months 18 days for the fifth year subsequent to first 4 years should be deemed to have completed continuous service of five years and is entitle to gratuity. The Hon’ble High Court also distinguished the earlier ruling of Hon’ble Andhra Pradesh High Court wherein it was held that an employee who has been worked for 4 years and 11 months and 10 days having not completed five years of service will not be entitled to gratuity.


To get the supporting case law for this do write us on juristicsolution@gmail.com



IMPORTANT: 

Information in this blog is being provided as-is without any warranty/guarantee of any kind.

This blog is intended to provide information only. If you are seeking advice on any matters relating to information on this blog, you should – where appropriate – contact us directly at juristicsolution@gmail.com with your specific query or seek advice from qualified professional people.

We encourage you to take steps to obtain the most up-to-date information and to confirm the accuracy and reliability of any information on this blog in general by directly communicating with us.

No comments:

Post a Comment

Medical Bonus under Maternity Benefit Act

  Under the Maternity Benefit Act in India, eligible female employees are entitled to receive a medical bonus as a form of financial assista...