Rule 53. Time within which and the form in which a written application shall be made under sub-section (1) of Section 56

(1) Application for gratuity-(a) an employee or his nominee or his legal heirs, who are eligible for payment of gratuity under the Code, or any person authorised, in writing, to act on his behalf, shall apply, for gratuity personally or by registered post or electronically or otherwise, ordinarily within thirty days from the date the gratuity became payable, in Form-XII to the employer:

Provided that an application on plain paper with relevant particulars shall also be accepted. The employer may obtain such other particulars as may be deemed necessary by him:

Provided further that where the date of superannuation or retirement of an employee is known, the employee may apply to the employer before thirty days of the date of superannuation or retirement:

Provided also that an employee on fixed term employment shall be eligible for gratuity, if he renders service under the contract for a period of one year and he shall be paid gratuity at the rate of fifteen days’ wages, based on the rate of wages last drawn by him, for every completed year of service or part thereof in excess of six months;

(b) where gratuity becomes payable under the Code before the commencement of these rules, the periods of limitation specified in clause (i) shall be deemed to be operative from the date of such commencement;

(c) an application for payment of gratuity filed after the expiry of the period specified in this rule shall also be entertained by the employer, if the applicant adduces sufficient cause for the delay in preferring his claim, and no claim for gratuity under the Code shall be invalid merely because the claimant failed to present his application within the specified period. Any dispute in this regard shall be referred to the competent authority for his decision:

Provided that the competent authority shall dispose of the application for gratuity within six months from the date of the receipt of the application:

Provided further that the competent authority may, for reasons to be recoded in writing, extend the said period for a further period not exceeding three months.

(2) Notice for payment of gratuity-(a) within fifteen days of the receipt of an application under sub-rule (1) for payment of gratuity, the employer shall,-(i) if the claim is found admissible on verification, issue a notice in Form-XIII to the applicant employee, nominee or legal heir, as the case may be, specifying the amount of gratuity payable and fixing a date, not being later than the thirtieth day after the date of receipt of the application, for payment thereof, or

(ii) if the claim for gratuity is not found admissible, issue a notice in Form-XIII to the applicant employee, nominee or legal heir, as the case may be, specifying the reasons why the claim for gratuity is not considered admissible and a copy of the such notice shall be endorsed to the competent authority and to the Director, General, Labour Bureau, Chandigarh;

(b) in case payment of gratuity is due to be made in the employer's office, the date fixed for the purpose in the notice in Form-XIII under sub-clause (a) of clause (i) of sub-rule (2) shall be re-fixed by the employer, if a written application in this behalf is made by the payee explaining why it is not possible for him to be present in person on the date specified;

(c) if the claimant for gratuity is a nominee or a legal heir, the employer may ask for such witness or evidence as may be deemed relevant for establishing his identity or maintainability of his claim, as the case may be. In that case, the time limit specified for issuance of notices under clause (a) of sub-rule (2) shall be operative with effect from the date such witness or evidence, as the case may be, called for by the employer is furnished to the employer.

(d) a notice in Form-XIII shall be served on the applicant either by personal service after taking receipt or by registered post with acknowledgement due or electronically;

(e) a notice under sub-section (2) of Section 56 shall be in Form-XIII.

(3) Mode of payment of gratuity - The gratuity payable under the Code shall be paid through Demand Draft or by crediting in the bank account of the eligible employee, nominee or legal heir, as the case may be:

Provided that intimation about the details of payment shall also be given by the employer to the competent authority of the area.