Cabinet approves the introduction of the Payment of Gratuity (Amendment) Bill, 2017 in the Parliament
The Union Cabinet has given its approval for introducing the Payment of Gratuity (Amendment) Bill, 2017(“Bill”) in the Parliament. The amendment seeks to increase the present upper ceiling on gratuity amount, from Rs. 10 Lakh to Rs. 20 Lakh.
Central Government employees are already entitled to gratuity upto Rs. 20 Lakh, under the Central Civil Services (Pension) Rules, 1972. The Government has now proposed to amend the Payment of Gratuity Act, 1972, to make a similar provision for employees in the private sector, considering factors such as increase in wage of employees in the private sector and inflation.
Source: Press Information Bureau