Hi,
My View –
As stated by other members, Employer should take the responsibility at least by ensuring the complete benefits provided to the family members of the deceased employee whether it is a top executive or entry level individual as per the act.
Coming to the employees compensation act, In this case employer is liable to pay the compensation. I have attached the employees Compensation calculator for calculating compensation in case of death, Permanent Total Disablement, Permanent Partial Disablement. I have picked up this from the earlier posting and I believe this would be useful.
Below all should be taken care and need to settle to the family members:
1) As per Employee’s compensation act. I believe
2) Gratuity – Monthly Basic * 15/26 * no. of. Year Services due ( Example: if the person age is 30 and the retirement age is 58 then we should
take 28 years for the calculation)
3) Leave encashment
4) Provident Fund – By working with the department
5) All salary dues etc..
Thanks and Regards
Srinivas Marnade
From India, Hyderabad
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6My View –
As stated by other members, Employer should take the responsibility at least by ensuring the complete benefits provided to the family members of the deceased employee whether it is a top executive or entry level individual as per the act.
Coming to the employees compensation act, In this case employer is liable to pay the compensation. I have attached the employees Compensation calculator for calculating compensation in case of death, Permanent Total Disablement, Permanent Partial Disablement. I have picked up this from the earlier posting and I believe this would be useful.
Below all should be taken care and need to settle to the family members:
1) As per Employee’s compensation act. I believe
2) Gratuity – Monthly Basic * 15/26 * no. of. Year Services due ( Example: if the person age is 30 and the retirement age is 58 then we should
take 28 years for the calculation)
3) Leave encashment
4) Provident Fund – By working with the department
5) All salary dues etc..
Thanks and Regards
Srinivas Marnade
From India, Hyderabad
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Mr Srinivas, Your above calculation of gratuity is not correct as per POG Act. Varghese Mathew 09961266966
From India, Thiruvananthapuram
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From India, Thiruvananthapuram
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Dear Xavier., Its really regretful what your company is undergoing against the Expired employee family. Kindly think as a "HUMAN" Resource (HR) and go ahead.
From India, Chennai
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From India, Chennai
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Dear Varghese Mathew,
Thank you for the note and for correcting my response. Could you please share the correct calculation, which would be helpful? We have paid one of our deceased employees based on the provided calculations. The calculation was confirmed by our consultant; therefore, I believed it was the correct method of calculation.
Thanks and Regards,
Srinivas
From India, Hyderabad
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Thank you for the note and for correcting my response. Could you please share the correct calculation, which would be helpful? We have paid one of our deceased employees based on the provided calculations. The calculation was confirmed by our consultant; therefore, I believed it was the correct method of calculation.
Thanks and Regards,
Srinivas
From India, Hyderabad
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Dear Srinivas,
As per your calculation, a person with 30 years of service and 2 more years to retire will receive a lesser amount than a person with 5 years of service and 30 more years to retire. The multiplication should be based on the number of years of completed service, not the years remaining until retirement.
For example, in the case of a person with a salary of Rs 20,000/month and completed service of 30 years, the gratuity amount will be:
20000/26 * 15 * 30 = 34,615/-
It is important to note that the age of the employee has no relevance. However, in the case of LIC's group gratuity policy, in instances of death, gratuity for the remaining service is also provided in addition to the amount payable as per the Act.
VARGHESE MATHEW
9961266966
From India, Thiruvananthapuram
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As per your calculation, a person with 30 years of service and 2 more years to retire will receive a lesser amount than a person with 5 years of service and 30 more years to retire. The multiplication should be based on the number of years of completed service, not the years remaining until retirement.
For example, in the case of a person with a salary of Rs 20,000/month and completed service of 30 years, the gratuity amount will be:
20000/26 * 15 * 30 = 34,615/-
It is important to note that the age of the employee has no relevance. However, in the case of LIC's group gratuity policy, in instances of death, gratuity for the remaining service is also provided in addition to the amount payable as per the Act.
VARGHESE MATHEW
9961266966
From India, Thiruvananthapuram
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Dear Mr. Verghese,
I agree with both of your comments. However, I think their company may be using the formula of - the number of years completed or the number of years of service left; whichever is HIGHER (in case of death in the course of employment). In such a case, it would be legal as the employee gets MORE than that stipulated in the POGA 1972; and it should be appreciated if indeed it is the case, as there are very few good companies that give more benefits than the MINIMUM as stipulated in any Act.
Warm regards.
From India, Delhi
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I agree with both of your comments. However, I think their company may be using the formula of - the number of years completed or the number of years of service left; whichever is HIGHER (in case of death in the course of employment). In such a case, it would be legal as the employee gets MORE than that stipulated in the POGA 1972; and it should be appreciated if indeed it is the case, as there are very few good companies that give more benefits than the MINIMUM as stipulated in any Act.
Warm regards.
From India, Delhi
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Dear Rajkumarji,
I agree with your suggestions. However, I have a doubt. Is there any provision in the Payment of Gratuity Act 1972 to pay Gratuity for the period of service left? Regarding better terms of gratuity, Section 4(5) reads as "Nothing in this section shall affect the right of an employee to receive better terms of gratuity under any award or agreement or contract with the employer." Hence, an employer can give more gratuity than what is prescribed in the Act.
From India, Madras
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I agree with your suggestions. However, I have a doubt. Is there any provision in the Payment of Gratuity Act 1972 to pay Gratuity for the period of service left? Regarding better terms of gratuity, Section 4(5) reads as "Nothing in this section shall affect the right of an employee to receive better terms of gratuity under any award or agreement or contract with the employer." Hence, an employer can give more gratuity than what is prescribed in the Act.
From India, Madras
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Please refer to Section 2(dd) point no (ii) and sub point (d) a person recruited for work abroad by a company which is registered in India is / his legal heirs are eligible to get compensation.
From India, Mumbai
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From India, Mumbai
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Dear Moderators,
I believe Mr. Xaviers may have either solved his problem or is not interested in the valuable inputs offered by our esteemed colleagues. Therefore, you should make a decision and declare this topic as closed. There is no point in providing input when there is no acknowledgement of the same.
Thank you.
From India, Mumbai
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I believe Mr. Xaviers may have either solved his problem or is not interested in the valuable inputs offered by our esteemed colleagues. Therefore, you should make a decision and declare this topic as closed. There is no point in providing input when there is no acknowledgement of the same.
Thank you.
From India, Mumbai
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I agree with your views. He could have used this opportunity to compensate the family of the deceased employee adequately, instead of referring to legal provisions. By taking this kind of action, the loyalty, emotional attachment, and feeling of belongingness of other employees could have been enhanced.
From India, Madras
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From India, Madras
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