Gratuity Calculation in Case of Employee Death
My query is regarding the gratuity calculation in the unfortunate event of an employee's death. The formula I am aware of is: Basic + DA * Completed years of service * 15/26. However, I have heard that there is a Supreme/High Court judgment stating that gratuity should be calculated as if the employee had retired from service.
For instance, if an employee joins the firm at the age of 25 and passes away at the age of 26, and the normal retirement age of the firm is 58, the gratuity would be paid to the nominees by assuming the employee had worked with the firm for 33 years (i.e., 58 - 25).
Can anyone provide clarity on this matter?
My query is regarding the gratuity calculation in the unfortunate event of an employee's death. The formula I am aware of is: Basic + DA * Completed years of service * 15/26. However, I have heard that there is a Supreme/High Court judgment stating that gratuity should be calculated as if the employee had retired from service.
For instance, if an employee joins the firm at the age of 25 and passes away at the age of 26, and the normal retirement age of the firm is 58, the gratuity would be paid to the nominees by assuming the employee had worked with the firm for 33 years (i.e., 58 - 25).
Can anyone provide clarity on this matter?