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At the time of making a nomination, an employee has no family and nominates his friend. Subsequently,…

Under Section 54 of the Code on Social Security, 2020 (formerly s.6(4) of the Payment of Gratuity Act, 1972), if an employee with no family later acquires one, the earlier…

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At the time of making a nomination, an employee has no family and nominates his friend. Subsequently, he acquires a family. Under Section 54 of the Code on Social Security, 2020, the earlier nomination:

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Correct answer C

Under Section 54 of the Code on Social Security, 2020 (formerly s.6(4) of the Payment of Gratuity Act, 1972), if an employee with no family later acquires one, the earlier nomination forthwith becomes invalid and he must make, within the prescribed time, a fresh nomination in favour of one or more members of his family. Neither the employee's choice nor the employer's approval keeps the old nomination alive.

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