Payment of Gratuity Act, 1972

Payment of Gratuity Act, 1972

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Payment of Gratuity Act, 1972

The Gratuity Act is an act that provides a scheme for the payment of gratuity to employees working in railways, ports, factories, oilfields, plantations, mines, shops or other establishments and for matters connected therewith or incidental thereto. The Act implies that an employee is eligible to receive gratuity if he has rendered continuous service for at least five years with an organisation. This gratuity is payable to the employee: a) On his superannuation, or. b) On his retirement or resignation. The Gratuity Act is very efficient and useful.



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