What is the criteria for calculation of Leave Encashment for payment

I am confusing that, gross salary to be consider for payment of Leave Encashment or Basic salary to be consider?

Dear Sandeep,
Encashment of leave pertains only to PL/EL/Annual Leave with Wages as the nomenclature used in the establishment -specific law. The statutory compliance for encashment arises only on one occasions viz., termination of employment of the employee.
Encashment of leave on any such ground,therefore, is a statutory alternative for its enjoyment. As such the value of surrender leave shall be computed on the basis of gross salary only.In this regard I would suggest that one can draw an analogy from the provisions of sec.80 of the Factories Act,1948 relating to wages during leave period.

Hi.
I have attached my friend salary slip,i need help for his full and final settlement. with gratuity.

Hi,
Your friend is very much eligible for Gratuity. Eligibility amount will be arrived at based on date of relieving.
Full and final settlement comprises of unpaid salary till the end of last working day, leave encasement and Gratuity. If the employer got covered under Group Gratuity scheme with LIC it will be processed separately. If not employer is liable to release gratuity.
Upon relieving your friend has to submit a request with your employer for release of gratuity.
PF may be transferred to new employer through UAN login.