No, you got it wrong. On dividing by 26, you are enhancing the rate to absorb the weekly holiday in the working days. Say the monthly salary is 3000. This would be 100 per day on a 30-day basis. Instead of dividing by 26, if you divide by 26, you get a rate of 115 per day. So, this way, you are absorbing the weekly off days in the daily rate. 115 x 26 and 100 x 30 are the same.
From India, Mumbai
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2642From India, Mumbai
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Sir,
Suppose in a month there are 4 Sundays, and Sunday is the weekly off day for workers. With 30 days in a month, according to your logic, you are paying a rate of Rs. 115 per day instead of Rs. 100. I fully agree that you are paying a higher per day rate. According to the law, we need to pay for the weekly off days, so we should pay for 26 working days + 4 weekly offs (1 paid weekly off should be given after 6 days of working).
Now, for 26 working days: 26 x 115 = 2990, and for weekly offs: 4 x 115 = 460. If you are paying for 26 days only (i.e., for working days only), then the payment is Rs. 2990.00, which means Rs. 460 for weekly offs are not paid. The actual payment should be Rs. 3450 (for 26 AWD + 4 WOFF).
From India, Mumbai
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Suppose in a month there are 4 Sundays, and Sunday is the weekly off day for workers. With 30 days in a month, according to your logic, you are paying a rate of Rs. 115 per day instead of Rs. 100. I fully agree that you are paying a higher per day rate. According to the law, we need to pay for the weekly off days, so we should pay for 26 working days + 4 weekly offs (1 paid weekly off should be given after 6 days of working).
Now, for 26 working days: 26 x 115 = 2990, and for weekly offs: 4 x 115 = 460. If you are paying for 26 days only (i.e., for working days only), then the payment is Rs. 2990.00, which means Rs. 460 for weekly offs are not paid. The actual payment should be Rs. 3450 (for 26 AWD + 4 WOFF).
From India, Mumbai
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Hi,
As per the Factories Act or Minimum Wages Act, we have to provide one paid weekly off for every six working days, and the salary should be divided into the number of days in a month multiplied by the number of working days in a month (including weekly offs).
Srini
From India, Hyderabad
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As per the Factories Act or Minimum Wages Act, we have to provide one paid weekly off for every six working days, and the salary should be divided into the number of days in a month multiplied by the number of working days in a month (including weekly offs).
Srini
From India, Hyderabad
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The minimum wages notification specifies wages on a monthly and daily basis. In computing daily wages, the notifications consider 26 working days. So, the wages are per day worked, not per calendar day. Therefore, you do not need to pay weekly off separately.
To cross-verify, check if any person who was not absent on any working day of the week is receiving full wages, and you will be able to verify it.
From India, Mumbai
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To cross-verify, check if any person who was not absent on any working day of the week is receiving full wages, and you will be able to verify it.
From India, Mumbai
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Dear Sir,
Thank you for providing detailed information. You have shared very useful information, and it is correct as per the law. However, even if we pay on a 30/31-day basis, we are not violating the law.
From India, Mumbai
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Thank you for providing detailed information. You have shared very useful information, and it is correct as per the law. However, even if we pay on a 30/31-day basis, we are not violating the law.
From India, Mumbai
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So long as you are paying higher than required, there won’t be a problem. Meanwhile, you try to explain to your union how your method gives more money to the workers
From India, Mumbai
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From India, Mumbai
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As per the Factory Act or Minimum Wages Act, you can't reduce any body's daily average wages.
So every month Salary (30 or 31 or 28 days of the month) is divided into 30 days by default and multiplied by the number of salary payable days, but not more than 30 days (if a full month is present with 31 or 28 days). On a 31-day month, the Gross Salary should be 30000 / 30 x 30 (if greater than 30, it is 30) but attendance is shown for 31 or 28 days as per the month.
If an employee is absent in January, February, or any other month with 31 days, his/her average daily salary/wages will be reduced or increased or changed if divided by 31 or 28 days.
You don't have the right to reduce or change the daily wages/salary of any employee.
Your wrong practice affects ESIC daily wages as well as PF daily average wages if any employee is absent on any day of the month. In some months, you increased his/her daily wages, only to reduce them the very next month.
Your incorrect practices are also followed by the department.
From India, Bengaluru
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So every month Salary (30 or 31 or 28 days of the month) is divided into 30 days by default and multiplied by the number of salary payable days, but not more than 30 days (if a full month is present with 31 or 28 days). On a 31-day month, the Gross Salary should be 30000 / 30 x 30 (if greater than 30, it is 30) but attendance is shown for 31 or 28 days as per the month.
If an employee is absent in January, February, or any other month with 31 days, his/her average daily salary/wages will be reduced or increased or changed if divided by 31 or 28 days.
You don't have the right to reduce or change the daily wages/salary of any employee.
Your wrong practice affects ESIC daily wages as well as PF daily average wages if any employee is absent on any day of the month. In some months, you increased his/her daily wages, only to reduce them the very next month.
Your incorrect practices are also followed by the department.
From India, Bengaluru
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