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Gratuity Policy

Gratuity Policy

Gratuity is a retiral benefit. As per the Payment of Gratuity Act 1972, this policy rewards the loyalty of those employees who have provided long and unblemished service to One2N.

What is the benefit?

Gratuity is a one-time lump sum payment made by One2N to the employee at the time of their retirement or resignation from the company, provided they have completed a tenure of at least 5 calendar years in One2N. The gratuity received by the employee is fully tax-exempt up to Rs. 20,00,000 /-, after which regular taxation applies.

How is your gratuity calculated?

Total gratuity payment = (Your monthly basic salary at the time of exit/retirement) x (total tenure in years) x (15/26)

For e.g., if your basic salary at the time of exit is Rs.1,00,000 /- per month and you have a tenure of 5.5 years before exit, then the Gratuity you will receive at the time of exit will be:

100000 x 5.5 x (15/26) = Rs.3,17,308 /-

Gratuity payment in case of death or disablement of an employee

In the unfortunate event of the employee’s death or disablement during their employment with One2N, their nominee shall be given the gratuity payment by One2N, regardless of the employee’s tenure. In such cases, the gratuity amount is calculated as per the following table:

Table of gratuity amounts by years of service
Kindly note that the maximum gratuity amount that can be provided by One2N in the event of the employee’s death or disablement will be Rs. 20,00,000 /-

Gratuity nominee

Usually, the gratuity payment is made to the employees themselves.
However, every employee needs to provide the details of their respective nominee who can receive the gratuity payment on their behalf in case of their death or disability (see above).

How and when will the gratuity payment be made?

Gratuity payment will be made in the employee’s salary account along with the full and final settlement at the time of their retirement/exit from One2N within 30 days of the last working date. Kindly note that Gratuity can only be paid to eligible employees at their retirement/exit from One2N, not anytime before that.

Exceptions and Forfeitures

The gratuity of an employee whose service has been terminated for any Act of wilful omission or negligence causing any damage or loss to or destruction of property belonging to the employer, gratuity shall be forfeited to the extent of the damage or loss caused. The right of forfeiture is limited to the extent of the damage.
The gratuity payable to an employee shall be wholly forfeited:
  1. If the services of such employee have been terminated for indiscipline, riotous or disorderly conduct, or any other act of violence on their part, or
  1. If the service of such an employee has been terminated for any act which constitutes an offense involving moral turpitude, provided that such offense is committed by them in the course of their employment.

Appraisal Policy

Reimbursements and Expenses Policy