HI Pallavi. Regrding ESI there is no minimum wage criteria. ESI is depended only on Gross salary & not in basic & DA. If the Gross exeeds 10000 then the person is not eligible for ESI.
The salary rivision should not effect the basic & DA. More over it has to be constructed in favour of employee to avoid more IT burden.
Cheerz
Jeeva
From India, Bangalore
639The salary rivision should not effect the basic & DA. More over it has to be constructed in favour of employee to avoid more IT burden.
Cheerz
Jeeva
From India, Bangalore
Dear Sonica,
Basic rule of PF is who ever getting Basic+DA up to 6500 p.m. pf to be paid. For those getting Basic+DA above 6500 minimum pf to be deposited on 6500. it is up to the employees to decide whether want to pay pf above 6500 salary. The answer to your question is, once started contributing PF & ESI on particular salary, you can not in any case reduce the salary amount till he is working in the company.
Thanks,
shiv kumar
From India, Delhi
Basic rule of PF is who ever getting Basic+DA up to 6500 p.m. pf to be paid. For those getting Basic+DA above 6500 minimum pf to be deposited on 6500. it is up to the employees to decide whether want to pay pf above 6500 salary. The answer to your question is, once started contributing PF & ESI on particular salary, you can not in any case reduce the salary amount till he is working in the company.
Thanks,
shiv kumar
From India, Delhi
Hi everybody,
I would like to correct some of the opinions people have expressed here.
Firstly: The term minimum wages in case of ESI means the wages up to which the employee share of ESI contributions are not deductible and this is Rs.40/- per day+ or less. Only the management share of contributions are to be paid. (Refer to ESI employer's guide). (+ = check for latest figures in force as on date of application of law).
Of course its another matter that no body is paid so less nowadays - due to fixation of the minimum rates of wages by the Government for many types of industry and many categories of workmen.
Secondly: As regards downward revision of the various components of salary while restructuring the salary structure - Two tenets of Law are to be kept in mind and they are :
1) A benefit once given cannot be withdrawn,
2) Any change in conditions of Service with regard to compensatory and other allowances , withdrawal of any customary concession or privilege or change in usage, classification of grades etc shall need to be done only after the management give notice of impending change to the affected workmen. (This is as per Industrial Disputes Act Fourth Schedule).
The idea of this mail is just to gain the attention of one and all to the provisions of Law. Just check the correct law in force as on the day of implementing your proposals as over the times due to changes in law the finer points could have been amended/altered.
So with these laws in force just be cautious when you try to do some changes which help workmen take home more now but in their long term benefits they stand to lose.
When the visiting officials of the concerned departments check the records and find fault then you may have to make good the loss - which would be too unbearable for the company then.
Take care.
regards
From India, Bangalore
I would like to correct some of the opinions people have expressed here.
Firstly: The term minimum wages in case of ESI means the wages up to which the employee share of ESI contributions are not deductible and this is Rs.40/- per day+ or less. Only the management share of contributions are to be paid. (Refer to ESI employer's guide). (+ = check for latest figures in force as on date of application of law).
Of course its another matter that no body is paid so less nowadays - due to fixation of the minimum rates of wages by the Government for many types of industry and many categories of workmen.
Secondly: As regards downward revision of the various components of salary while restructuring the salary structure - Two tenets of Law are to be kept in mind and they are :
1) A benefit once given cannot be withdrawn,
2) Any change in conditions of Service with regard to compensatory and other allowances , withdrawal of any customary concession or privilege or change in usage, classification of grades etc shall need to be done only after the management give notice of impending change to the affected workmen. (This is as per Industrial Disputes Act Fourth Schedule).
The idea of this mail is just to gain the attention of one and all to the provisions of Law. Just check the correct law in force as on the day of implementing your proposals as over the times due to changes in law the finer points could have been amended/altered.
So with these laws in force just be cautious when you try to do some changes which help workmen take home more now but in their long term benefits they stand to lose.
When the visiting officials of the concerned departments check the records and find fault then you may have to make good the loss - which would be too unbearable for the company then.
Take care.
regards
From India, Bangalore
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