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Payment of Gratuity (Central) Rules

Section:6 :Employee Nominations

Obligation : Ensure employees file valid nomination forms with the organisation

Type:Preventive Compliance Frequency: Monthly

Action to be taken:
On completion of one years service, obtain employee nominations for gratuity in Form F (Rules). Check all details in the nomination form for validity and return an attested copy of this Form to the employee.
Ensure that only family members are nominated if employee has a family. If an employee acquires a family, a fresh nomination has to be obtained in Form G. The employee is obligated to register any changes in nomination details with the employer in Form H. Nominations are to be valid at all times

Audit Requirement:
Do valid gratuity nominations exist for all employees ?

Supporting Documents:
Gratuity Nomination forms for all employees