Gratuity Payment - Loss Of Pay

Dear Sir/Mam,
One of my colleague resigned & his length of service is 10 yrs 8 months 21 day,Company paying him gratuity for 10 yrs 5 months saying total loss of pay for 3 months in his tenure of the service.
Kindly suggest is it right or wrong practice by the company.
Regards
Jagannath Pandit

Dear Jagannath,
If any orders treating the period of loss of pay as a break in service were passed, then only that period can not be taken into account to compute the actual length of qualifying service for gratuity.