REGULATORY UPDATE: MINISTRY OF LABOUR AND EMPLOYMENT-PAYMENT OF GRATUITY (AMENDMENT) BILL, 2017.

The Ministry of Labour and Employment vide its notification dated 18th December proposes to amend certain provisions of the Payment Gratuity Act, 1972. The bill has been introduced in the Lok Sabha.

Highlights:

  • Removal of the maximum amount of gratuity currently capped at 10,00,000/- asking the Central Government to provide the revised ceiling.
  • Posting amendment of maternity benefit act which revised, the maternity leave from 12 weeks to 26 weeks in March 2017, the proposed bill provides that the central government may determine the revised period of maternity leave under the Payment of Gratuity Act, 1972 for the calculation of the period of continuous service for payment of gratuity.

Source:

http://164.100.47.4/BillsTexts/LSBillTexts/Asintroduced/205_2017_LS_Eng.pdf

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