Gratuity for Retired Executives on Extension: Are They Entitled Again?

Whether a retired executive who is on extension and working for the last five years is entitled to get gratuity under the Payment of Gratuity Act. He has already received his gratuity for his service period after retirement.

In case the person has joined as a retainer, there is no liability to pay gratuity. Regarding PF and Pension contributions, please find below the calculations:

PF and Pension Contribution Calculations

If (Basic+DA) is less than or equal to Rs. 6,500, 3.67% goes to the PF Fund and 8.33% goes to the Pension Fund (Employer's part). If (Basic+DA) is more than Rs. 6,500, Rs. 540 (i.e., 8.33% * Rs. 6,500) goes to the PF Fund, and the remaining amount goes to the Pension Fund (Employer's part).

Regards,
Amitava Majumder