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Consideration of Gratuity and Leave Encashment in PT Computation Salary

in Payroll and Global Payroll Interface (GPI)

Currently, Oracle does not include Gratuity and Leave Encashment payments as part of the PT computation salary. In contrast, the client’s legacy system includes these components in PT salary calculation.We have informed the client that Gratuity and Leave Encashment are generally not considered for PT computation purposes. However, the client has requested formal confirmation on whether the exclusion of these components from PT computation salary in Oracle Fusion is compliant with applicable legislation.

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