How To Calculate Days Of Termination Compensation

Table of contents:

How To Calculate Days Of Termination Compensation
How To Calculate Days Of Termination Compensation

Video: How To Calculate Days Of Termination Compensation

Video: How To Calculate Days Of Termination Compensation
Video: Termination compensation 2024, November
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In accordance with article 127, part 2 of the Labor Code of the Russian Federation, the employer is obliged to pay compensation for all unused vacation days, regardless of the reason for the employee's dismissal. To pay compensation, you need to determine the length of service at the enterprise, based on the norms of article 121 of the Labor Code of the Russian Federation. In addition to compensation for unused vacation days, a full settlement is made with the employee for all days worked. This must be done on the day of dismissal, that is, on the last working day in accordance with Article 84.1 Part 4 of the Labor Code of the Russian Federation. If the last day of work is considered a weekend or holiday, all due payments should be made the day before.

How to calculate days of termination compensation
How to calculate days of termination compensation

It is necessary

  • -calculate the length of service at the enterprise
  • -calculate the average daily earnings

Instructions

Step 1

To calculate compensation for unused vacation days, you need to determine the length of service at the enterprise. The length of service does not include the days that the employee took at his own expense, the time of maternity leave and childcare up to three years, absence from work without further documentary confirmation, suspension from work for valid reasons.

Step 2

All the rest of the time should be included in the seniority. If an employee has worked for 11 months, he is entitled to compensation for the entire vacation, which is provided annually.

Step 3

An employee who has worked for less than one month is not entitled to vacation compensation. Also, compensation is not paid to employees who worked under a fixed-term employment contract for no more than two months.

Step 4

To calculate the length of service, you need to add up all the work time. If a month has been worked for less than 15 days, compensation for it is not paid, if more than 15 days, then compensation is paid for the entire month in full, that is, rounding should be in favor of the worker.

Step 5

Annual paid leave cannot be less than 28 calendar days, therefore the calculation is made by dividing 28 by 12. The resulting number will be payment for one month of work. This figure should be multiplied by the number of full working months.

Step 6

Each due day of compensation is paid based on the average daily earnings in accordance with Article 139 of the Labor Code of the Russian Federation. To do this, all the amounts earned from which income tax was withheld must be added and divided by the number of working days based on a six-day working week, regardless of whether the work took place on a five-day basis. The resulting figure must be multiplied by the prescribed number of days of unused vacation.

Step 7

If the dismissal was due to the liquidation of the enterprise, the allowance is paid for two months in the amount of the average monthly earnings for one year.

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