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PAYMENT OF GRATUITY (CENTRAL) RULES

1972

Related Legislation: - Gratuity Act, 1972

ABOUT THE ACT

Objectives:

The Central Gratuity Rules have been drafted to give effect to the various provisions of the Payment of Gratuity Act.

Applicability

The Central Gratuity Rules applies to all factories and establishments to which the Payment of Gratuity Act Applies, and where the appropriate government is the Central Government.

Applicability of Parent Act

The Payment of Gratuity Act extends to the whole of India and is applicable to all factories, mines, oilfields, plantations, ports, railway companies and any establishments where 10 or more persons were employed on any day of the preceding 12 months and every Shop and Establishment of that State, in which 10 or more persons are employed, or were employed on any day in the preceding 12 months. Every employee irrespective of his wages is entitled to receive gratuity if he has rendered continuous service of 5 years or more than 5 years. The Act is not applicable to apprentices and persons holding a post under the Central or State government who are governed by any other rule providing for payment of gratuity. The last drawn salary including Basic and Dearness allowance(DA). The maximum gratuity payable is Rs 20,00,000.

Related Sections Of The Act

Rule 1:  Short Title and commencement
Rule 1:  Short Title and commencement