Gratuity

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Gratuity

Meaning:

Gratuity is a lump-sum financial benefit paid by an employer to an employee as a reward for long-term service. It is given when an employee leaves the job after completing at least 5 years of continuous service, except in cases of death or disability. In simple words, gratuity is a “thank you” payment from the employer for loyal service.

Example:

If someone works at a company for 10 years and then leaves, they may receive a gratuity payment as a reward for their long service.

How to understand Gratuity:

Gratuity provides financial support to employees after they retire or resign.

It encourages employees to stay longer with the company.

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Gratuity

Meaning:

If someone works at a company for 10 years and then leaves, they may receive a gratuity payment as a reward for their long service.

How to understand Gratuity:

Gratuity provides financial support to employees after they retire or resign.

It encourages employees to stay longer with the company.

Importance of Gratuity:

Gratuity acts as a backup fund during job transitions and helps families financially if an employee passes away.

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Gratuity Meaning:

If someone works at a company for 10 years and then leaves, they may receive a gratuity payment as a reward for their long service. How to understand Gratuity: Gratuity provides financial support to employees after they retire or resign. It encourages employees to stay longer with the company.

Importance of Gratuity:

Gratuity acts as a backup fund during job transitions and helps families financially if an employee passes away.

Gratuity

Meaning:

If someone works at a company for 10 years and then leaves, they may receive a gratuity payment as a reward for their long service.

How to understand Gratuity:

Gratuity provides financial support to employees after they retire or resign.

It encourages employees to stay longer with the company.