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salary in-lieu calculation

tan
Member
Wed, 17 May 2017 04:58:28 PM  (Last updated: Fri, 19 May 2017 03:57:17 PM)

Hi,

I've required to pay salary in lieu for 1 week due to my immediate resignation during probation.

These is the calculation provided by company's HR:

- 1 week Period : 4th May till 10th May 2017

- Calculation : [Basic Pay / 26 days] x [5 days] 

However on 10th May were Public Holiday,  so do I required to pay them on that day?

Or the calculation should be [Basic Pay / 26 days] x [4 days] ?

Thanks in advance!!!

mdkamil
Contributor
Fri, 19 May 2017 03:57:17 PM

My understanding of Employment Act 1955, the wages which are calculated base on 26 days are only applicable to Sections in Part IX and Part XII.

Other Parts shall use the actual calendar days. Notice period is under Part II. Therefore, in my opinion the calculation for your case is (Basic Pay / 31) x 5 days.

The number of days depend on the actual days that the notice is not sufficient.

You may need to call a Labour Officer to seek clarification.

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