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Gratuity on Resignation in Pakistan
Resigning? See how much gratuity you're owed and how it's counted.
Your job
Most employers use the last basic salary; some use gross. Check your appointment letter.
Your gratuity
Enter your joining date and last working day.
๐งญ How it works
- You get 30 days' wages (one month's salary) for each completed year of service.
- A part year of more than 6 months counts as a full year.
- This applies to permanent workers in shops, factories and commercial firms where there is no provident fund instead. Some companies pay more under their own policy.
- Government employees get pension and commutation instead, under separate rules.
- Gratuity must be paid when you leave, resign, retire or are dismissed (except for misconduct in some cases). Unpaid? Complain to the labour court or labour department in your province.
Rules last checked: October 2026. Based on S.O. 12(6) of the Standing Orders Ordinance 1968 and provincial labour laws. Gratuity may be partly taxable: check with FBR. Not legal advice. ๐ Everything stays on your device.
โ Rules last checked:
We build every tool from the official rules and re-check them when they change. Always confirm with the official source before you rely on a result.
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Questions people ask
How is gratuity calculated in Pakistan?+
30 days' wages (one month's salary) for every completed year of service. A part year of more than 6 months counts as a full year. Example: 7 years 8 months on Rs 100,000 = 8 ร 100,000 = Rs 800,000.
Do I get gratuity if I resign?+
Yes. Under the Standing Orders, gratuity is due whether you resign, retire, are laid off or your contract ends. Dismissal for misconduct can affect it depending on the case and your company's scheme.
Basic or gross salary?+
The law says wages, and most employers use the last drawn basic salary. Your appointment letter or company gratuity scheme decides; some use gross pay.