Event / Article Details

Knowledge Series – Chapter 2: Understanding the Payment of Gratuity Act, 1972
Organized by South Gujarat Productivity Council (SGPC)

After the success of Chapter 1, the South Gujarat Productivity Council (SGPC) continued its impactful journey of professional learning with Chapter 2 of the Knowledge Series, focused on an essential social security legislation: the Payment of Gratuity Act, 1972. The session was held with the aim of enhancing awareness and compliance among HR professionals, employers, and business leaders regarding gratuity provisions.

📘 Topic in Focus: Payment of Gratuity Act, 1972

The Act mandates gratuity payments to employees who have rendered continuous service for five years or more, as a token of appreciation for their long-term contribution to an organization. The seminar explored the Act’s key provisions, calculation methods, recent amendments, employer obligations, and case-based scenarios.

🎤 Distinguished Experts:

1. Shri Nimish Patel
   Past President – SGPC
   President – The Labour Law Practitioner Association, Surat
   Shri Patel brought deep legal insight and years of practical experience, breaking down the nuances of the Act with clarity. His address highlighted employer responsibilities, compliance do’s and don’ts, and strategic HR practices to manage gratuity obligations.

2. Shri S. S. Dubey
   Assistant Commissioner of Labour, Surat Region
   Shri Dubey enriched the discussion with a government regulatory perspective. He explained procedures for filing claims, resolving disputes, and ensuring fair treatment of employees. He also touched upon recent policy trends and the department’s approach to enforcement.

🧠 Session Highlights:

• Eligibility and service conditions for gratuity

• Calculation methods and tax exemptions

• Employer obligations and penalties for non-compliance

• Case laws and real-life dispute resolution examples

• Interactive Q&A addressing practical workplace scenarios

The session was designed to be simple, practical, and legally sound, enabling participants to walk away with immediately applicable knowledge.

👥 Participants:

The event drew attendance from:

• HR professionals and compliance officers

• Factory and business owners

• Legal advisors

• Industrial relations consultants

The interactive nature of the session encouraged participants to raise real-world queries, many of which were resolved on the spot by the experts.

✅ Key Takeaways:

• Gratuity is a statutory right, not an optional benefit

• Employers must maintain proper records and ensure timely payments

• Legal non-compliance can lead to penalties and reputational risk

• Understanding the law helps create fair and respectful workplaces

🎯 Conclusion: A Step Toward Labour Law Excellence

Chapter 2 of the SGPC Knowledge Series further solidified the Council’s role as a thought leader in promoting labour law literacy and industry best practices. With valuable insights from both legal and government perspectives, the session empowered professionals to handle gratuity-related responsibilities more confidently and correctly.

📌 Stay connected with SGPC for more such knowledge-sharing initiatives.