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Labour Laws Karnataka Ministry of Labour and Employment Payment of Gratuity Act, 1972

The Government of Karnataka has issued Karnataka Compulsory Gratuity Insurance Rules, 2024

10-Jan-2024 | No: LD 397 LET 2023

The Government of Karnataka has issued Karnataka Compulsory Gratuity Insurance Rules, 2024.

The highlights of the Rules are :

1. Obtaining Insurance for Payment of Gratuity - Every new employer shall subject to fulfilment of sub-section (2) of Section 4A of the Act, within a period of thirty days from the date on which these rules becomes applicable to such shall obtain valid insurance policy in the manner as prescribed under sub-section (4) of Section 4A of the Act for his liability for payment towards the gratuity to all eligible employees under the Act from law which is applicable to the insurance company in this regard.

2. Registration of the Establishment- Every employer shall submit an application in Form-I to get his establishment registered with the Controlling Authority of the area or any other officer notified for this purpose by the State Government within thirty days from the date of obtaining insurance along with the list of its employees insured.

3. Continuation of Approved Gratuity Fund- Every employer of an establishment who had already established an approved gratuity fund in respect of his employees and who desires to continue such arrangement and every employer employing five hundred or more persons who establishes an approved gratuity fund may opt to continue or adopt such arrangement by submitting an application in Form II, provided such existing approved gratuity fund covers the entire liability of all the employees of the establishment under the provisions of the Act.

For more information regarding this update, refer to the attachment.

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