Gratuity Rule: Most people know that gratuity is given if you work continuously for 5 years in an organization. But if you do a private job, then you should know that gratuity is given even if you work for less than 5 years.
Some people leave their jobs without thinking, and then regret it later. If you too have been working in an organization for a long time, then keep some things in mind before switching jobs. Especially, take steps to change jobs only after gathering information about gratuity.
If you miss out on gratuity for a few months, then my advice would be not to rush into changing jobs. You will benefit by changing jobs after taking advantage of gratuity, anyway, gratuity is the most discussed topic in the salaried class. Most people know that an employee gets gratuity after working continuously for 5 years in an institution. But if you do a private job, then you should know that gratuity is also available for jobs of less than 5 years. There are some special rules for this. If you have any questions related to gratuity in your mind, then you will find its answers below.
Question- What is Gratuity?
Answer- Gratuity is given by the company to its employees. It is a way of expressing gratitude to the employee on behalf of the company in return for continuous service.
Question- Are all private employees entitled to gratuity?
Answer- The Payment and Gratuity Act applies to all factories, mines, oil fields, ports and railways in the country. Along with this, employees of shops and companies employing more than 10 people also get the benefit of gratuity.
Question- After how many years of work does one get gratuity?
Answer- Generally, employees working continuously for 5 years in any institution become eligible for gratuity. But in some cases, gratuity benefit is available even for less than 5 years of service. ‘Continuous work’ is clearly defined in section 2A of the Gratuity Act. According to this, many employees can get the benefit of gratuity even if they do not work for the full 5 years.
Question- Do we get the benefit of gratuity before 5 years?
Answer- According to Section-2A of the Gratuity Act, if the employees working in underground mines complete 4 years and 190 days continuously with their employer, then they get the benefit of gratuity. Whereas, the employees working in other organizations become eligible for gratuity after working for 4 years and 240 days (i.e. 4 years and 8 months).
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