vijay jain
Thank you Sir for the gratuity clarification. Further, I would request you to kindly tell me that the calculation of salary is considered on the total amount ( consolidated salary ) or according to their will i.e. 40% or less.
One more thing, I was having 125+ leaves to my credit. In 2014-15, they gave a letter to me/ staff ( without our consent ) stating that we have sacrificed the leaves on our own. They gave Rs. 2000/- for that. While I have not given any letter to them, I am asking for encashment of leaves, but they are not giving the same.
Kindly guide.

From India, Delhi
Industrial Relations And Labour Laws
Vijay Jain


I don't know the background of the case. I believe that you got solution for your query regarding gratuity.

Regarding calculation of gratuity, i would say that it should be based on salary and salary means the total salary as per contract of employment which is treated as salary for deduction of loss of pay.

Please follow the link...

Madhu T K: Payment of Gratuity and Gratuity Qualifying Salary

Regarding leave encashment, the act which deals with leaves should contain a limit to the maximum leaves which can be carried forward. It is not more than 36 under any state Act. Therefore, beyond 24 or even 36, it is not possible to get encashment.

From India, Kannur

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