Understanding the Gratuity Act: Can You Review My PowerPoint Presentation?

Hi everyone,

I have created a small and concise PowerPoint presentation on the Gratuity Act. Please take a moment to review it.

Regards,
Zara

Gratuity calculation is added but one was missed out.

The formula for calculating gratuity is as follows:
Last drawn per month wage x 15 / 26 x Number of years of completed service

It appears that the number of years of completed service was missed out in the calculation.

Thank you,
Ram

Website: http://nicheitjobs.googlepages.com

Dear,

I want to know the meaning of Last rate of basic wages * 15/26 (what is the meaning of 26).

Raj

Hi Raj,

In the context of employment, when we refer to the number "26," it typically signifies the deduction of holidays within a month. For example, this deduction often accounts for the occurrence of four Sundays in a month. According to the law, employers are obligated to pay 15 days' worth of salary in such situations.

Regards,
Deepa

Hi Zara / Ram,

I believe you may still be missing something in the formula. If I am not mistaken, we also need to consider DA in the calculation for Gratuity.

Any comments?

Regards,
Roopak

Dear All,

The maximum limit for Gratuity is Rs. 10 lakh, not 3.5 lakh.

Regards,
Nitin Joshi