If Wages Increase in the Last Month Due to the 50% Rule, Should the Higher Amount Be Considered for Gratuity?

This is a practical question that many HR and payroll teams may face under the Labour Codes. Suppose an employee is leaving the organisation and, in the final month, the amount treated as “wages” increases because of overtime, incentive, variable pay or another component affecting the 50% wage rule . The natural question is: Should gratuity be calculated on this increased amount simply because it arose in the employe…