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narayanan

narayanan (Querist)
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02 March 2013 how is the gratuity calculated for LIC agents

@VaibhavJ

@VaibhavJ (Expert)
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02 March 2013 Hi,

Lic agents are not employee of co. so they are not paid any gratuity, can u eloberate more on question.

Thanks!!

narayanan

narayanan (Querist)
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02 March 2013 . your answer is not correct.LIC agents have getting gratuity. but not in the way of calculating as employees.

@VaibhavJ

@VaibhavJ (Expert)
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02 March 2013 Hi,

Gratuity is a part of salary that is received by an employee from his/her employer in gratitude for the services offered by the employee in the company. Gratuity is a defined benefit plan and is one of the many retirement benefits offered by the employer to the employee upon leaving his job.

An employee may leave his job for various reasons, such as - retirement/superannuation, for a better job elsewhere, on being retrenched or by way of voluntary retirement.

So it is clear that to receive Gratuity there must be employer employee relation.

Thanks!!

Message likes : 1 times

Santosh Mishra

Santosh Mishra (Expert)
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04 March 2013 Agreed with Vaibhav.

LIC may be paying any amount to its agent but there must be employee-employer relationship to term it gratuity as per Gratuity Act.

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