Pro rata gratuity in Zambia is calculated based on the period of employment you have actually worked. When your employment contract is terminated, you receive gratuity payment that is proportional to how long you worked, rather than the full amount [Employment Code Act, S.73].
The standard gratuity rate is not less than 25 percent of your basic pay earned during the contract period [Employment Code Act, S.73]. However, this full rate applies only if you have completed a long-term contract (12 months or more). If your contract is terminated before completion, your gratuity is reduced proportionally. For example, if you worked for six months of a 12-month contract, you would receive approximately half of the 25 percent gratuity rate [Employment Code Act, S.73].
To calculate your pro rata gratuity, multiply your basic pay by 25 percent, then multiply that amount by the fraction representing your actual period of employment compared to the full contract period. This ensures you receive fair compensation based only on the time you actually worked for your employer.