Gratuity
A statutory lump-sum payment made by an employer to an employee on retirement, resignation, or termination after qualifying continuous service.
Relevant Legislation
- The Payment of Gratuity Act, 1972
Frequently Asked Questions
Who is eligible for gratuity?
Under the Payment of Gratuity Act, an employee is generally eligible for gratuity after completing five years of continuous service with an employer, payable on retirement, resignation, or termination (with the five-year requirement relaxed in cases of death or disablement).
General legal information for reference only, reviewed for accuracy but not a substitute for advice from a qualified advocate on your specific facts.