Is Notice Pay Recovery on Gross pay or on Basic?

bhardwaj_ch1 · #1 02-02-2008, 02:03 PM

Dear All,
I am working as HRD officer and have to do Full and Final Settlement for 4 quit employees. My Question is in Full and Final Settlement, Is Notice Pay Recovery on Gross Base or on Basic? also need to know according to which defination or Act this Notice Pay deduction happens?

priya.m24 · #2 02-02-2008, 02:07 PM

Salary is considered as Basic + DA. So the amount to be reimbursed will be the concerned employee's BASIC+DA.

vijaya20081 · #3 15-09-2009, 12:24 PM

Please send me Notice pay letter format immediately and please help me

sarah nyirenda · #4 15-09-2009, 02:01 PM

the amount payed in lieu of notice, it will normally be calculated by references to the remuneration the employee would have earned if he had worked out the notice to which he was entitled. so that means notice pay is the exactly amount u will gain as salary at the end of that month which is gross, and deductions will be made according to your company.