Payment of Gratuity – India
Online Link to Act/Rule/Legislation
Initial Setup or Ongoing Maintenance
Initial Setup only
Filing and Maintenance Requirements
The Payment of Gratuity Act, 1972 ("Gratuity Act") entitles every employee in an establishment who has been in continuous employment of the establishment for more than 5 (five) years, to receive gratuity.
Under Section 9 (2) of the Gratuity Act, any employer who contravenes or makes default in complying with any provisions of the Gratuity Act or any Rule or order thereunder is punishable (a) with imprisonment for a term which shall not be less than 3 (three) months, but which may extend to 1 (one) year or (b) with a fine which shall not be less than Rs. 10,000/- (Rupees Ten Thousand), but which may extend to Rs. 20,000/- (Rupees Twenty Thousand) or (c) with both.
Application Guidelines / Responsible Persons / Comments