Hi all, Is service compensation & gratuity the same or not? if yes please clarify. One of our staff worked as a Sr-Accountant in our organisation, he has completed 07 years of service in our company. Now he is resigned for his job. His salary is 27000/- PM with a monthly basic of 4900/-. what are the full & final benefits applicable to him, please clarify at the earliest? MOST URGENT.
From India, Warangal
7From India, Warangal
Dear Rupesh Kumar,
Besides his gratuity, the employee is eligible to receive (i) Un-paid wages if any (ii) Payment in lieu of Leave in balance in addition to current year leave accrued (iii) Any deposits or contribution made in any scheme of the establishment.
From India, Mumbai
Besides his gratuity, the employee is eligible to receive (i) Un-paid wages if any (ii) Payment in lieu of Leave in balance in addition to current year leave accrued (iii) Any deposits or contribution made in any scheme of the establishment.
From India, Mumbai
Dear Colleague,
Gratuity is statutory right of the employee on his resignation or retirement after completing 5 years of continuous service and 15days of wages for every completed year of service based on last drawn salary ( Basic +DA as of now) to be computed and settled.
Apart from this he has to be settled Leave Wages for the balance Annual Leave or Privilege Leave eared Plus his current year leave eligibility for the days worked. His last month salary for the days worked to be paid. Deductions like what he has to pay to company like loans outstanding has to be recovered from him.
In case of the term " Service Compensation" is something discretion and not a mandatory one. It depends on your organization's policy and applicable only under a situation or conditions like VRS.
Thanks and God Bless,
Dr.P.SIVAKUMAR
Doctor Siva Global HR
Tamil Nadu
From India, Chennai
Gratuity is statutory right of the employee on his resignation or retirement after completing 5 years of continuous service and 15days of wages for every completed year of service based on last drawn salary ( Basic +DA as of now) to be computed and settled.
Apart from this he has to be settled Leave Wages for the balance Annual Leave or Privilege Leave eared Plus his current year leave eligibility for the days worked. His last month salary for the days worked to be paid. Deductions like what he has to pay to company like loans outstanding has to be recovered from him.
In case of the term " Service Compensation" is something discretion and not a mandatory one. It depends on your organization's policy and applicable only under a situation or conditions like VRS.
Thanks and God Bless,
Dr.P.SIVAKUMAR
Doctor Siva Global HR
Tamil Nadu
From India, Chennai
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Full n final settlement.doc
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