Parliament passes payment of gratuity bill

Parliament today passed a key bill that will empower the government to fix the amount of tax free gratuity and the period of maternity leave with an executive order.

Published: 22nd March 2018 12:44 PM  |   Last Updated: 22nd March 2018 12:44 PM   |  A+A-

A view of the Parliament. (File | EPS)

By PTI

NEW DELHI: Parliament today passed a key bill that will empower the government to fix the amount of tax free gratuity and the period of maternity leave with an executive order.

The Rajya Sabha, which has failed to transact any significant business over the last fortnight due to protests by various parties, today passed the Payment of Gratuity (Amendment) Bill without discussion.

The bill moved by Labour Minister Santosh Kumar Gangwar was passed by a voice vote.

The Lok Sabha had given its approval to the important bill last week.

The legislation will enable the government to enhance the ceiling of tax free gratuity to Rs 20 lakh from the existing Rs 10 lakh for employees falling under the Payment of Gratuity Act.

After the implementation of the 7th Pay Commission, the ceiling of gratuity amount for central government employees was doubled to Rs 20 lakh.

It also allows the government to fix the period of maternity leave for female employees as deemed to be in continuous service in place of the existing 12 weeks.

The amendment to the payment of gratuity law comes in the backdrop of Maternity Benefit (Amendment) Act, 2017 enhancing the maximum maternity leave period to 26 weeks.

Stay up to date on all the latest Nation news with The New Indian Express App. Download now
(Get the news that matters from New Indian Express on WhatsApp. Click this link and hit 'Click to Subscribe'. Follow the instructions after that.)

Comments

Disclaimer : We respect your thoughts and views! But we need to be judicious while moderating your comments. All the comments will be moderated by the newindianexpress.com editorial. Abstain from posting comments that are obscene, defamatory or inflammatory, and do not indulge in personal attacks. Try to avoid outside hyperlinks inside the comment. Help us delete comments that do not follow these guidelines.

The views expressed in comments published on newindianexpress.com are those of the comment writers alone. They do not represent the views or opinions of newindianexpress.com or its staff, nor do they represent the views or opinions of The New Indian Express Group, or any entity of, or affiliated with, The New Indian Express Group. newindianexpress.com reserves the right to take any or all comments down at any time.

flipboard facebook twitter whatsapp