Gratuity - School Management

cityrohit
our school is being run by the sabha.. it was private school at that time. in the year 1997 management accepted the grants from the state govt under 95% aided schools.in the year 2012 entire staff of the school who were being paid from the 95% grants were taken over by the Himachal government and the management stopped taking grants from the state govt. one year later the employees who were taken over by the applied for the gratuity claims under the gratuity act.our point of question is what would be the basis of salary calculations for the payment of gratuity. the salary paid from grants were high and the management normally pays much less salary to the employees who were not aided teachers.
korgaonkar k a
Dear Cityrohit,
You need to calculate the gratuity on last drawn (rate) Basic + DA by the teacher. If the Basic + DA is lesser than the minimum wage rate as applicable to his category, you need to calculate it on minimum rate as applicable.
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