Dear Sir,
I would like to know whether the various incentives and allowances we get as a part of our pay packet should be included in our average remuneration for the purpose of gratuity calculation. The incentives could be in the form of production incentive, attendance bonus,housing allowance and various other allowances.Or is the gratuity calculation only on the basis of basic plus DA.
Regards,
dodejarl.
From India, Mumbai
2I would like to know whether the various incentives and allowances we get as a part of our pay packet should be included in our average remuneration for the purpose of gratuity calculation. The incentives could be in the form of production incentive, attendance bonus,housing allowance and various other allowances.Or is the gratuity calculation only on the basis of basic plus DA.
Regards,
dodejarl.
From India, Mumbai
Gratuity is calculated on the last drawn salary of the employee which includes basic salary and dearness allowance only. Regards, Madhu.T.K
From India, Kannur
From India, Kannur
dear seniors in gratuity i would like to ask you that is it calculated on last drawn or last three months drawn salary? litle bit confusion in this regard. plese suggest.
From India, Chennai
From India, Chennai
Dear Member,
While calculating gratuity under the P G Act, 1972 we are to consider the monthly rate of wages last drawn by the employee.
With Regards,
R.N.Khola
From India, Delhi
While calculating gratuity under the P G Act, 1972 we are to consider the monthly rate of wages last drawn by the employee.
With Regards,
R.N.Khola
From India, Delhi
Amit’s confusion is genuine because for piece rated workers the gratuity is calculated on the basis of average wages earned for the last three months. Regards, Madhu.T.K
From India, Kannur
From India, Kannur
Community Support and Knowledge-base on business, career and organisational prospects and issues - Register and Log In to CiteHR and post your query, download formats and be part of a fostered community of professionals.
Gratuity calculation.doc
Gratuity Act amendment to include Teachers.pdf
Gratuity Calculation tool.xls