PROFOUND VIEW FOR COMMUNITY KNOWLEDGE

Hi,
1. Yes. 2. Yes.

It is important that every employer, from the outset, outlines the condition of service in the Contract of Employment to avoid ambiguity in interpretation. Service gratuity payment crystallises when the employee is disengaging from an organisation either at his volition or prompted by the company.

When an employee is relieved of his appointment by the company without any alleged misconduct, then the gratuity payment will be higher than when an employee disengages voluntarily. In both circumstances, there is a condition that is formally called 'in lieu of service' which is usually inserted in the Offer Letter that either party will give specified period of notice or payment of certain sum to secure termination or resignation. If your appointment is terminated, there is an assuage payment but if you resign on your own, then you will be expected to relinquish part of your gratuity.

An employee's appointment may be terminated without written or even verbal warning depending on the gravity of the misconduct. This would have been stated in the Employee Handbook given to every employee. In almost all organisations; stealing, fighting, immoral conduct, divulging confidential business information, etc, would usually attract outright termination without warning by the organisation.
Wilson