Dear,
While signing the appointment letter, you are agreeing for all the company policies. Transfer clause is also being covered in appointment letter. Additional state allowances due to transfer, differs from company to company. Mostly it is calculated on basic only. Try to negotiate with your HR.
Regards,
Prabhat

From India, Mumbai
Hi There is no fixed rule for the same. It purely depends on the policy of your organisation You may ask your Human Resources Department for clarity on it
From India, Mumbai
Dear Friend,

Please go through the terms and condition of your appointment letter wherein you will find transfer clause . I am sure that while accepting appointment letter you must have siged not only appointment letter but also company policies . Please find out both appointment letter as well as company policies . Please find out what is written with regard to transfer fclause rom one place to another place.

Some of the companieis provide accommodation in stead of House Rent Allowance as per policies .In that case ,House Rent allowance from your monthly salary may be ceased. If they pay you by way of enhanced HRA, find out whether it suffucient or not. If not, then negotiate with your HR/Management Team to sort out the problem. I am sure if you present your case properly, you will not be looser. On the contray, it will be "win win situation". When a company is transferying an employee with higher responsibility,they are aware of the local condition and accordingly they will adjust it. Making you unhappy they know they will not get full output from. Be open and discuss frankly with them.

It is just for your information ,in Maharastra, West Bengal and few other states , there is an Act called " House Rent Allowance Act". According to the House Rent Allowlance Act, as stated ,a minimum HRA is payable @5% per month on Basic & DA. only. This is the legal position but company can pay more than Act if they so desire and there is no bar in the Act.

From India, Calcutta
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