Max. 20 lakhs.......
MINISTRY OF LABOUR AND EMPLOYMENT
NOTIFICATION
New Delhi, the 29th March, 2018
S.O. 1420 (E).—In exercise of the powers conferred by sub-section (3) of section 4 of the Payment of Gratuity Act, 1972 (39 of 1972), the Central Government hereby specifies that the amount of gratuity payable to an employee under the said Act shall not exceed twenty lakh rupees.
[No. S-42012/02/2016-SS-II]
MANISH GUPTA, Jt. Secy.
MINISTRY OF LABOUR AND EMPLOYMENT
NOTIFICATION
New Delhi, the 29th March, 2018
S.O. 1419(E).—In exercise of the powers conferred by sub-section (2) of section 1 of the Payment of Gratuity (Amendment) Act, 2018 (12 of 2018), the Central Government hereby appoints the 29th day of March, 2018 as the date on which the said Act shall come into force.
[No. S-42012/02/2016-SS-II]
MANISH GUPTA, Jt. Secy.
Respected Sir, Will this new limit of Rs 20 Lakh will be applicable to someone who retired on 31/12/2017 from a private company ? Thank you .
No dear, the new amended value came into force from 29.03.2018.
But yes, if you queried for 31.12.2018.
It is mandatory for the employee to have completed minimum of five years in service to be able to receive gratuity.
It is not applicable to interns or temporary employees.
Gratuity is not paid as part of your regular monthly salary; it is only payable on the occurrence of any of the events like retirement or superannuation, death, etc.
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