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Payment of Gratuity Act, 1972

  • The Payment of Gratuity Act, 1972 applies to Factory, Shops or establishments employing 10 or more persons,
  • Gratuity is a defined as a benefit given by the employer to the employee for rendering services continuously for five years or more. It is a monetary benefit usually given at the time of retirement. But there are certain rules which make an employee eligible to receive gratuity before the age of retirement or superannuation.
  • Form F (Declaration Form)
  • On the employee choice gratuity payable to him can be distributed amongst the nominees.