Commissioner of Labour

Payment of Gratuity Act, 1972

This Act is applicable to every establishment who engage 10 or more than 10 employees.

This Act provides for a Scheme for payment of gratuity to employees engaged in factories, shop or other establishments etc. An employee, who completes not less than 5 years continuous services continuous services except in the case of death becomes eligible to receive gratuity at the rate of 15 days wages for every completed year of services. The amount of gratuity, payable under Act is not is liable to attachment in execution of any decree or order of any civil, revenue and criminal court. This Act also provides for a mode for recovery of gratuity by the employees for his employer.

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