can an employer decrease his percentage of Gratuity ?
Currently, one of the employer is paying 10% Gratuity and not the 4.81%. But, can that amount be decreased to 4.81% ?
Do you know any cases where they have done this ?
Is there any law that prevents an employer from doing this ?
From India, Pune
Currently, one of the employer is paying 10% Gratuity and not the 4.81%. But, can that amount be decreased to 4.81% ?
Do you know any cases where they have done this ?
Is there any law that prevents an employer from doing this ?
From India, Pune
Dear Parashar,
Refer the linke below, hope you will get the idea:
https://www.citehr.com/423789-reg-gr...ml#post1918674
From India, Mumbai
173Refer the linke below, hope you will get the idea:
https://www.citehr.com/423789-reg-gr...ml#post1918674
From India, Mumbai
I don't know what is the significance of 10% or 4.81% in gratuity calculation. But in any case it should not be less than 15 days salary for every completed year of service subject to a maximum of Rs 10 lakhs. Salary for this purpose means salary at the time of employee leaving the company. If your calculation exceeds this amount you can pay, no problem. If the practice is to pay a higher amount and the same has been reflected in the offer or contract of employment by way of CTC, then you have to follow that and in order to reduce it you need to change the conditions of service by issuing notice u/s 9A of the Industrial Disputes Act.
Madhu.T.K
From India, Kannur
Madhu.T.K
From India, Kannur
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Gratuity-Contin uous Service-countin g broken period with same employer-Madras HC Judgment.docx
FORM-F-NOMINATI ON OF GRATUITY.pdf
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