A hairdresser has been working for 22 years. She does not have any salary breakup but receives a lump sum salary. What is her eligibility regarding gratuity? Is her gratuity to be calculated based on the lump sum salary, or are there specific criteria for the calculation?
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From India, Mumbai
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Thank you.
From India, Mumbai
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If the hairdressing salon has 10 or more employees at present or in the past, the hairdresser is eligible to receive gratuity upon the termination of her employment. Since she is on consolidated wages, her entire wage has to be taken into account for the computation of her gratuity as follows:
Last drawn consolidated monthly wages/26 X 15 X No. of years of continuous service rendered by her.
From India, Salem
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6108Last drawn consolidated monthly wages/26 X 15 X No. of years of continuous service rendered by her.
From India, Salem
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