An Organisation has received Gratuity Claim of its exit staff from LIC. The Organisation has allegations against the exit staff and decided not to pay. What does the law say in this regard?
Thanks in advance.
An Organisation has received Gratuity Claim of its exit staff from LIC. The Organisation has allegations against the exit staff and decided not to pay. What does the law say in this regard?
Thanks in advance.
Dear Prasanna
i doubt whether non payment of gratuity is legal or not? Please go through the given link and comment
https://www.labour.delhigovt.nic.in/act/payment_gratuity.html
Dear Shuvro, thanks for your response. I have gone through the rules of Payment of Gratuity. It says the following...
8. Notice for payment of gratuity.-(1) Within fifteen days of the receipt of an application under rule 7 for payment of gratuity, the employer shall-
(i) if the claim is found admissible on verification, issue a notice in Form 'L’ to the applicant employee, nominee or legal heir, as the case may be, specifying the amount of gratuity payable and fixing a date, not being later than the thirtieth day after the date of receipt of the application, for payment thereof, or
(ii) if the claim for gratuity is not found admissible, issue a notice in Form 'M' to the applicant employee, nominee or legal heir, as the case may be, specifying the reasons why the claim for gratuity is not considered admissible. In either case a copy of the notice shall be endorsed to the controlling authority.
I want somebody to confirm that the management can withhold payment of gratuity if it has genuine reasons.
Thanks.
CAclubindia
