24
The Payment of Gratuity Act 1972
Learning Objectives
In this chapter, the students come to know:
To whom gratuity is payable.
How to calculate the amount of gratuity payable?
When gratuity will be forfeited.
Procedure for nomination in respect of gratuity payment.
24.1 WHAT IS GRATUITY?
A gratuity is a reward to an employee, for his long and meritorious service with his present employer. It is just like the other retirement benefits, like provident fund and pension intended to help the worker after his retirement from service, either due to superannuation or some physical disability. Th e Payment of Gratuity Act, 1972 came into force on 16 September 1972. It is a social security measure and was passed to:
- Ensure the uniform pattern of ...
Get Business Law now with the O’Reilly learning platform.
O’Reilly members experience books, live events, courses curated by job role, and more from O’Reilly and nearly 200 top publishers.
