The Payment of Gratuity Act, 1972 provides for payment of gratuity to employees upon retirement, resignation, or death.
Gratuity is calculated as: (Last drawn salary × 15/26 × Number of years of service)
Last drawn salary includes basic salary and dearness allowance.
For employees covered under the Act, maximum gratuity is ₹20 lakhs.
For official information and latest updates, refer to:
Understanding minimum wage requirements, state-wise variations, and employer obligations under the Minimum Wages Act.
Understanding wage payment rules, deductions allowed, and employer obligations under the Payment of Wages Act.
Guide to bonus eligibility, calculation, and payment requirements under the Payment of Bonus Act.
Disclaimer
This content is for informational purposes only and does not constitute legal advice. Laws and regulations may change. Please verify details from official government sources or consult a qualified professional.