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Anonymous
Hello, I left my previous organisation(in 2023) after serving them for 11 years 1 month and 30 days.
The last drawn salary was 74lpa. The basic salary, as per the salary slip, was .50,000 pm. So, the gratuity amount I got is the basic salary mentioned in the salary slip.
However, I now understand that, as per the new rules (April 2022), the basic salary has to be 50% (of what exactly I am not sure), so it should be more than what the company gave. What can be done?! How to proceed?!

From India, Jaipur
Madhu.T.K
4219

The wages as per the new Labour Code(s) is misleading. At the same time, the same is not in force. since your date of accrual of gratuity is in 2023, the gratuity as per the present Payment of Gratuity Act will be applicable to you. Under the present system gratuity should be calculated on the total emoluments excluding allowances like overtime allowance, commission, house rent allowance and similar other allowances. Other allowances means allowances similar to these excluded allowances. The excluded allowances are paid depending upon some conditions, like overtime allowance is paid to those who do overtime work, commission is paid based on some results, like sales, house rent allowance is paid only to those who reside in leased accommodation and is not paid to all employees or employees who reside in own houses or whose spouses are in receipt of HRA. Moreover, nowhere in the contract of employment the amounts of these allowances will be available. In the appointment order, the amount of overtime wages, amount of commission or HRA will not be available. Therefore, all components of salary which are prefixed and are available in the contract of employment are salary for the purpose of computation of gratuity. It is not just basic pay and dearness allowance that will be considered for computation of gratuity.
From India, Kannur
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