Payment of Gratuity Act

Applicability of the Act (Sec 1) & Definitions (Sec 2) – employee, superannuation, continuous service (Sec 2(A)), Wages Payment of gratuity (Sec 4) o Continuous service of not less than 5 yrs o Calculation of gratuity in case of seasonal employees, in case of employee employed after disablement, on ‘retrenchment’, for service beyond the age of superannuation, on resignation o Calculation of “15 days” wages in respect of mthly rated employee, piece-rated employee, daily wager for 26 days in a month o Entitlement to gratuity with better terms o Withholding & forfeiture of gratuity Power to exempt (Sec 5) – payment of gratuity vis-a-vis curtailment of benefits by management Determination of the amt. of gratuity (Sec 7) o Duty of an employer to determine gratuity amt. o Mode of payment of gratuity & pd. f limitation to Controlling authority o Rate of interest Recovery of gratuity (Sec 8) o Delay in payment of gratuity – effect o Default in payment of gratuity or wages on part of employer Act to override other enactments (Sec 14) 1 Wages Sec 2(s) – B+DA + incentive wages * + Food Allowance (In case it is paid to Hotel Employees). Nomenclature of ‘honorarium’ to the remuneration for the services rendered by a person where employed for work. Not a part of wages under the Act, 1972 (bonus, commission, HRA, OT, & any other allowance like ‘teller’s allowance’ not even if it is vide bipartite settlements) * Bonus & incentive bonus paid separately – Bonus would include incentive wages (Not even in case of a piece rated employees) Continuous Service

Read Sec 2(A) – in case of interruption of service due to illegal strike, the burden of proof lies upon the person who claims benefit under all circumstance. Where orders of Controlling / Appellate Authority put the onus on employee – HC held the normal rule by asking both the parties to lead evidence on the said issue. Other Issues Employee – if estopped from claiming gratuity after having once received a sum See if acceptance of gratuity estoppel against the statute [Sec 14] – Parry’s (Cal) Employees Union v. Union of India, 1980 Lab IC (Cal HC) Claim of gratuity for service beyond the age of superannuation, if also maintainable? Age of superannuation of an employee is not relevant for the purpose of payment of gratuity on his retirement / resignation.

Cannot be refused gratuity in terms of Sec 4(1)(b) for the period of service rendered beyond the age of superannuation. Cannot be contended that gratuity is payable for the service rendered by him upto the age of his superannuation u/Sec 2(r). Break in service to be seen Calculation of “15 days’ wages” for mthly rated employee Daily wages – to be calculated for actual no. of working days which is 26 and not 30. Not to be calculated just by taking ? of his wages for a mth of 30 days. Not by fixing his daily wages dividing his mthly wages by 30 “15 days’ wages” – Cal & Guj HC & SC: 15 days’ wages should be taken as wages earned in 15 days and not wages earned during a pd. of 15 days including the days on which the employee is not entitled to payment of wages 2.

Calculation of “15 days’ wages” for piece rated employee Avg. of total wages recd. by an empl for a pd. of 3 mths immediately preceding the termination of employment. Computed by dividing such total wages by the actual no. of days of work & not no. of days / no. of working days in the said pd. of 3 mths. (Wages payable for a day) x 15 Calculation of gratuity during pendency of disciplinary proceedings, & on dismissal for slowing down the work Gratuity cannot be withheld even if disciplinary proceeding is pending against an employee. Gratuity of an employee dismissed for willful slowing down of work cannot be withheld since there is no such bar in the Act.

No deduction whatsoever, except as stipulated by Sec 4(6) pertaining to forfeiture on account of dismissal of an employee because of certain misconduct can be made from the payment of gratuity as payable to an employee. Kar HC Held: Non-payment of gratuity to an employee on his retirement on account of some lapses during his service is not tenable as his service has not been termination for any lapses. Retrenchment compensation whether can be set off against gratuity Statutory liability u/Act, 1972 is not in lieu of any other entitlement, but stands on its own. Entitlement under two diff. laws would depend upon the satisfaction of the essential requisites for claiming the sum due under the relevant provisions of these two enactments 3.

Calculate the price
Make an order in advance and get the best price
Pages (550 words)
$0.00
*Price with a welcome 15% discount applied.
Pro tip: If you want to save more money and pay the lowest price, you need to set a more extended deadline.
We know how difficult it is to be a student these days. That's why our prices are one of the most affordable on the market, and there are no hidden fees.

Instead, we offer bonuses, discounts, and free services to make your experience outstanding.
How it works
Receive a 100% original paper that will pass Turnitin from a top essay writing service
step 1
Upload your instructions
Fill out the order form and provide paper details. You can even attach screenshots or add additional instructions later. If something is not clear or missing, the writer will contact you for clarification.
Pro service tips
How to get the most out of your experience with MyhomeworkGeeks
One writer throughout the entire course
If you like the writer, you can hire them again. Just copy & paste their ID on the order form ("Preferred Writer's ID" field). This way, your vocabulary will be uniform, and the writer will be aware of your needs.
The same paper from different writers
You can order essay or any other work from two different writers to choose the best one or give another version to a friend. This can be done through the add-on "Same paper from another writer."
Copy of sources used by the writer
Our college essay writers work with ScienceDirect and other databases. They can send you articles or materials used in PDF or through screenshots. Just tick the "Copy of sources" field on the order form.
Testimonials
See why 20k+ students have chosen us as their sole writing assistance provider
Check out the latest reviews and opinions submitted by real customers worldwide and make an informed decision.
Human Resources Management (HRM)
excellent, great job
Customer 452773, June 19th, 2023
Leadership Studies
excellent job
Customer 452773, August 26th, 2023
Business and administrative studies
Thank you for your hard work and help
Customer 452773, February 21st, 2023
business
Thank you for your hard work and help.
Customer 452773, February 13th, 2023
Data 564
excellent work
Customer 452773, April 11th, 2024
Philosophy
Thank you
Customer 452811, February 17th, 2024
History
Looks great and appreciate the help.
Customer 452675, April 26th, 2021
Business and administrative studies
excellent job thank you Your Score 166.25/ 175- A 1. Current Culture 15% of total grade 18.37 Criterion "1. Current Culture" has textual feedback Criterion Feedback I see interesting points, though, in general they are not about the culture.
Customer 452773, June 4th, 2023
Social Work and Human Services
Great work I would love to continue working with this writer thought out the 11 week course.
Customer 452667, May 30th, 2021
Business and administrative studies
excellent job! got an A, thank you
Customer 452773, May 24th, 2023
BUSINESSADMINECO535
excellent work
Customer 452773, October 6th, 2023
Sociology
THANK YOUUUUU
Customer 452591, March 18th, 2021
11,595
Customer reviews in total
96%
Current satisfaction rate
3 pages
Average paper length
37%
Customers referred by a friend
OUR GIFT TO YOU
15% OFF your first order
Use a coupon FIRST15 and enjoy expert help with any task at the most affordable price.
Claim my 15% OFF Order in Chat
Close

Sometimes it is hard to do all the work on your own

Let us help you get a good grade on your paper. Get professional help and free up your time for more important courses. Let us handle your;

  • Dissertations and Thesis
  • Essays
  • All Assignments

  • Research papers
  • Terms Papers
  • Online Classes
Live ChatWhatsApp