Due Dates Payment of Gratuity — Statutory Deadline
Payment of Gratuity — Statutory Deadline
Payment of Gratuity Act 1972 s.7
Employer must pay gratuity within 30 days from the date it becomes payable (typically date of separation).
Due dates and late fees
| FY | Due Date | Late Fee | Note |
|---|---|---|---|
| FY 2024-25 | Within 30 days of separation | s.7(3A): simple interest at government-notified rate (currently ~8-10%) for delayed payment | Applies to establishments with 10+ employees; 5-year continuous service required (subject to death/disability exceptions). |
| FY 2025-26Current | Within 30 days of separation | s.7(3A): simple interest at government-notified rate (currently ~8-10%) for delayed payment | Applies to establishments with 10+ employees; 5-year continuous service required (subject to death/disability exceptions). |
| FY 2026-27 | Within 30 days of separation | s.7(3A): simple interest at government-notified rate (currently ~8-10%) for delayed payment | Applies to establishments with 10+ employees; 5-year continuous service required (subject to death/disability exceptions). |
FY-specific notes
FY 2024-25: Applies to establishments with 10+ employees; 5-year continuous service required (subject to death/disability exceptions).
FY 2025-26: Applies to establishments with 10+ employees; 5-year continuous service required (subject to death/disability exceptions).
FY 2026-27: Applies to establishments with 10+ employees; 5-year continuous service required (subject to death/disability exceptions).
⚠ VERIFY
Interest rate for delayed gratuity payment is notified by Central Government under s.7(3A); confirm the currently notified rate.