Hi, I am working as an IT executive from last 10 years approximately. I am not getting VDA in my salary. when i raised the question from HR why are you not providing VDA then he said this designation is not applicable for VDA. please confirm is it right ??
From India, Delhi
From India, Delhi
Hi ,
internal salary structure and components vary across organizations. You can have 'n' number of allowance variations across employees salary. some can get included some may not be, some are given as option for the employee him/her self.
some of the components are as follows.
House Rent Allowance (HRA)
Hardship allowance
Dearness Allowance (DA)
Transportation Allowances:
Conveyance Allowance
Medical Allowances:
Education Allowance
Children's Education Allowance
City Compensatory Allowance
Overtime Allowance
Shift Allowance
Food Allowance
Meal Allowance
Travel Allowances
Travel Reimbursement
Performance-Based Allowances
Incentive Allowance
Bonus Allowance
Sales Commission/Incentive
Entertainment Allowance
Internet and Phone Allowance
Uniform Allowance
Tools and Equipment Allowance
Marriage Allowance
Child Care Allowance
Variable pay allowance
Retention Allowance
Joining Allowance
Relocation Allowance etc
This question is to be answered by your company HR based on your grade, salary band, tax or comp structure applicable to you.
thanks.
From India, undefined
7internal salary structure and components vary across organizations. You can have 'n' number of allowance variations across employees salary. some can get included some may not be, some are given as option for the employee him/her self.
some of the components are as follows.
House Rent Allowance (HRA)
Hardship allowance
Dearness Allowance (DA)
Transportation Allowances:
Conveyance Allowance
Medical Allowances:
Education Allowance
Children's Education Allowance
City Compensatory Allowance
Overtime Allowance
Shift Allowance
Food Allowance
Meal Allowance
Travel Allowances
Travel Reimbursement
Performance-Based Allowances
Incentive Allowance
Bonus Allowance
Sales Commission/Incentive
Entertainment Allowance
Internet and Phone Allowance
Uniform Allowance
Tools and Equipment Allowance
Marriage Allowance
Child Care Allowance
Variable pay allowance
Retention Allowance
Joining Allowance
Relocation Allowance etc
This question is to be answered by your company HR based on your grade, salary band, tax or comp structure applicable to you.
thanks.
From India, undefined
So long as the gross salary paid is above the statutory minimum wages payable, the employer is said to comply with the legal requirements and there is no significance for various components. But keeping the basic wages constant and adjusting the other allowances according to market is unfair and can be challenged. In a salary structure where VDA is present, the same is increased based on the Consumer Price Index every month, quarter or at least in six months (in Tamil Nadu it is adjusted to Consumer Price Index once in a year) and the employee will get the cost of living compensated to an extent. The basic reason for salary revision every year are:
1. Rewarding the performance of an employee
2. Compensating the increase in consumer price index or cost of living.
Earlier and even now in companies where collective bargaining is present and PSUs, these two purposes are served with an increase shown in the basic salary and variable dearness allowance. In the absence of VDA as a component of salary there should be some component wherein the factor to compensate the increase in CPI is reflected. It can be either in Basic salary itself. But companies who claim to be employee friendly do not increase the basic salaries of their employees but will increase some 'other allowances' just to defeat the law which say that contributions like Bonus, PF, Gratuity etc are payable on Basic salary and Dearness Allowance only. Though it is a wrong interpretation of the Act and judgments concerning such Acts we will have to raise a lot of questions before justice is ensured.
From India, Kannur
1. Rewarding the performance of an employee
2. Compensating the increase in consumer price index or cost of living.
Earlier and even now in companies where collective bargaining is present and PSUs, these two purposes are served with an increase shown in the basic salary and variable dearness allowance. In the absence of VDA as a component of salary there should be some component wherein the factor to compensate the increase in CPI is reflected. It can be either in Basic salary itself. But companies who claim to be employee friendly do not increase the basic salaries of their employees but will increase some 'other allowances' just to defeat the law which say that contributions like Bonus, PF, Gratuity etc are payable on Basic salary and Dearness Allowance only. Though it is a wrong interpretation of the Act and judgments concerning such Acts we will have to raise a lot of questions before justice is ensured.
From India, Kannur
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MW - VDA - April '16 - March '17.pdf
Please provide the following information - Employee validation.doc