Rule 321 requires the employer's ordinary annual contribution to a gratuity fund to be made on a reasonable basis approved by the approving authority, having regard to each employee's length of service, and not to exceed 8% of each employee's salary in the year.
321
Rules 2026 · Rule 321
Ordinary annual contributions (approved gratuity fund)
Rules 311-333
The rule. The ordinary annual contribution by the employer shall be made on a reasonable basis, as approved by the approving authority, having regard to the length of service of each employee concerned, but shall not exceed 8% of the salary of each employee during each year.