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Madhu.T.KYou can demand the gratuity based on our actual salary. Salary means the full gross salary. It is a misinterpretation that gratuity is payable only on basic salary. The definition of basic wages under EPF Act and Gratuity Act are almost same and the Supreme Court has given a clarification on the wages as defined in the EPF & MP Act. The same principle can be adapted in the case of gratuity also. Please follow the link given below for further information.
Madhu T K: Payment of Gratuity and Gratuity Qualifying Salary
After reading the article in the link, if you have any query please put it here.
From India, Kannur
Dinesh DivekarDear member,
You say that your employer standardised basic to 50% just a few days before you left your company. But then what was your earlier basic? Has it been reduced? Has it caused you financial loss? What would have been the amount had there not been standardisation and what is the amount after the standardisation?
From India, Bangalore