InvestorQ : Does an employee get gratuity only when he/she leaves the organisation?
Gaurav Patel made post

Does an employee get gratuity only when he/she leaves the organisation?

Answer
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Nisha Chandani answered.
1 year ago


No. Gratuity is the part of the salary that an employer pays to an employee, at the time of the employee leaving his/her job, for the services that the employee has put in the company. It is like a reward for employee loyalty.

But the employee doesn’t receive gratuity only on voluntarily leaving the company. In fact, he/she is entitled to gratuity when he/she retires, is retrenched or resigns.


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Swati Naik answered.
1 year ago


An employee gets gratuity not only when retrenched but also to employees who complete five or more than five years with the company.