Kumaran Praveen
Hr-executive
Abbasiti
Assistant Engineer, Indian Telephone Industries,

Cite.Co is a repository of information and resources created by industry seniors and experts sharing their real world insights. Join Network
Hi, I need information about Voluntary Retirement Scheme and also how much compensation given under it.
From India, Nasik
Dear friend, Make it clear that in which organisation you are working. Abbas.P.S
From India, Bangalore
Hello, During retirement/voluntary retirement, the F&F include Gratuity if employee is eligible, leave en-cashment, PF amount, last month wages etc.
From India, Chennai
Dear Nehe.Bhausahe,

In Central PSUs (in accordance with the Department of Public Enterprises) the VRS is as follows:-

A. 35 days' salary for each year for past service and 25 days' salary for future service. (if the service is not full year, calculation will be made on pro rata / proportionate basis.)

B. 45 years' salary for each year for past service only. (Here completed years only will be taken into account.)

Out of the above whichever is high will be considered as VR compensation. But payment is subject to ceiling of left over service salary.

For example :-

An employee with Date of birth as 02.01.1961, Date of join as 23.02.1987, salary as Rs. 30000 and retirement age as 58 years is getting relieved on VRS on 31.07.2015.

Here past service is 28 years, 5 months and 6 days (in decimal 28.44) and future service is 3 years and 6 months (in decimal 3.5)

As per Scheme A, VR compensation in days is 28.44 x 35 + 3.5 x 25 = 995.43+87.5 = 1082.93

As per Scheme B, VR compensation in days is 28 x 45 = 1260

Here whichever is 1260 days.

Salary for 1260 days is 1260/30x30000 = 1260000. - (1)

Salary for left out / balance service is = 42x30000 = 1260000 - (2)

Out of (1) & (2), whichever is less is 1260000. Hence VR compensation is Rs. 12,60,000.

I shall insert an excel sheet in this regard.

Abbas.P.S,

ITI LIMITED,

PALAKKAD - 678 623

From India, Bangalore

Attached Files
File Type: xls Copy of VRS.xls (45.0 KB, 1406 views)

This discussion thread is closed. If you want to continue this discussion or have a follow up question, please post it on the network.
Add the url of this thread if you want to cite this discussion.






About Us Advertise Contact Us
Privacy Policy Disclaimer Terms Of Service



All rights reserved @ 2020 Cite.Co™