Lots of acts are discussed at great length. In my opinion, the article displayed on the website of the Ministry of Manpower sufficiently provides the facts for the calculation of the gross salary payable for the month. It is calculated on the basis of the following formula:
Salary payable for an incomplete month of work = Monthly gross rate of pay x Total number of days the employee actually worked in that month / Total number of working days in that month.
Where the total number of working days in the said month should correspond to the actual working days of the month. In Ahmedabad, we have staggered days on Thursdays in Vatva Region. So, if in a month of 31 days there are 5 Thursdays, then the number of working days comes to 26. And if in a month of 30 days, it is 5, then it shall be 25. It is never fixed at 26 or 30.
The link to the above-mentioned law is as follows:
[Calculation of Salary - Ministry of Manpower](http://www.mom.gov.sg/employment-practices/employment-rights-conditions/salary/Pages/calculation-salary.aspx)
From India, Delhi
Acknowledge(0)
Amend(0)
1Salary payable for an incomplete month of work = Monthly gross rate of pay x Total number of days the employee actually worked in that month / Total number of working days in that month.
Where the total number of working days in the said month should correspond to the actual working days of the month. In Ahmedabad, we have staggered days on Thursdays in Vatva Region. So, if in a month of 31 days there are 5 Thursdays, then the number of working days comes to 26. And if in a month of 30 days, it is 5, then it shall be 25. It is never fixed at 26 or 30.
The link to the above-mentioned law is as follows:
[Calculation of Salary - Ministry of Manpower](http://www.mom.gov.sg/employment-practices/employment-rights-conditions/salary/Pages/calculation-salary.aspx)
From India, Delhi
Acknowledge(0)Amend(0)
If you are appointed through a contractor, you will be paid for 26 days a month. On the other side, if you are appointed through an organization, you will be paid as per the second option. There is no rule binding in this system. This is my practical experience.
From India, Gurgaon
Acknowledge(0)Amend(0)
From India, Gurgaon
Acknowledge(0)Amend(0)
Hi Dears and Seniors,
Greetings to All. I feel that this is the right time to notice my clarification. Some companies are practicing deducting the weekly off if an employee is absent the previous day and the next day to Sunday (Saturday and Monday). Is this a right practice? Please help me.
Regards,
Selvam
From India, Madurai
Acknowledge(0)Amend(0)
Greetings to All. I feel that this is the right time to notice my clarification. Some companies are practicing deducting the weekly off if an employee is absent the previous day and the next day to Sunday (Saturday and Monday). Is this a right practice? Please help me.
Regards,
Selvam
From India, Madurai
Acknowledge(0)Amend(0)
Dear Sir,
As I noticed in the above replies, it should be calculated with 31/30 days, not 26 days. However, in many companies, wages are calculated with 30/361 days.
In my view, if an employee is receiving a specified monthly salary, then there is no such rule. But if it's based on daily wages, then it is calculated on 26 days in a month.
Thank you.
From India, Dehra Dun
Acknowledge(0)Amend(0)
As I noticed in the above replies, it should be calculated with 31/30 days, not 26 days. However, in many companies, wages are calculated with 30/361 days.
In my view, if an employee is receiving a specified monthly salary, then there is no such rule. But if it's based on daily wages, then it is calculated on 26 days in a month.
Thank you.
From India, Dehra Dun
Acknowledge(0)Amend(0)
Dear Nitu,
For the factory, the salary is calculated for 26 working days of the month out of 30 days. Four weekly offs are paid weekly.
For shops and establishments, the salary is calculated for 30 working days of the month of 30 days, including four weekly offs.
The difference in the above calculation is as follows:
Let's assume a person is paid 10000/- as their salary. If we go by the first calculation, then the per-day salary of the person would be 384.6. However, if we go by the second calculation, then the per-day salary of the person would be 333.3.
Now, let us assume that the said employee is on leave for three days due to illness. The salary deductible would be 1115.3 as per the first calculation and 999.9 as per the second method. The second method appears to be more beneficial for employees.
Therefore, the second method is better than the first method from the employees' point of view.
Regards,
Octavius
From India, Mumbai
Acknowledge(0)Amend(0)
For the factory, the salary is calculated for 26 working days of the month out of 30 days. Four weekly offs are paid weekly.
For shops and establishments, the salary is calculated for 30 working days of the month of 30 days, including four weekly offs.
The difference in the above calculation is as follows:
Let's assume a person is paid 10000/- as their salary. If we go by the first calculation, then the per-day salary of the person would be 384.6. However, if we go by the second calculation, then the per-day salary of the person would be 333.3.
Now, let us assume that the said employee is on leave for three days due to illness. The salary deductible would be 1115.3 as per the first calculation and 999.9 as per the second method. The second method appears to be more beneficial for employees.
Therefore, the second method is better than the first method from the employees' point of view.
Regards,
Octavius
From India, Mumbai
Acknowledge(0)Amend(0)
Hi all,
What an interesting topic you all are into! Don't worry, friends. Kindly follow any of the below simple steps. Nobody will question you.
Regarding the Weekly off, see the notification states as below: "The minimum wages shall be inclusive of payment of remuneration in respect of weekly day of rest."
There are two ways you can calculate wages as per the Factory Act:
1) 26 days as base days. This is applicable everywhere, including OT.
2) Now, this is the actual calculation, which can apply to many organizations and is not debatable.
For Monthly Wages:
Base days = Total days of the month (- minus) No. of Weekly offs
E.g., For Jan 2014: 31 (total days) - 4 (Sundays) = 27 days
For Feb 2014: 28 - 4 = 24 days
For March 2014: 31 - 5 = 26 days
And so on...
For OT, you have to calculate on 26 days (applies here as well).
Thanks.
From India, Mumbai
Acknowledge(0)Amend(0)
What an interesting topic you all are into! Don't worry, friends. Kindly follow any of the below simple steps. Nobody will question you.
Regarding the Weekly off, see the notification states as below: "The minimum wages shall be inclusive of payment of remuneration in respect of weekly day of rest."
There are two ways you can calculate wages as per the Factory Act:
1) 26 days as base days. This is applicable everywhere, including OT.
2) Now, this is the actual calculation, which can apply to many organizations and is not debatable.
For Monthly Wages:
Base days = Total days of the month (- minus) No. of Weekly offs
E.g., For Jan 2014: 31 (total days) - 4 (Sundays) = 27 days
For Feb 2014: 28 - 4 = 24 days
For March 2014: 31 - 5 = 26 days
And so on...
For OT, you have to calculate on 26 days (applies here as well).
Thanks.
From India, Mumbai
Acknowledge(0)Amend(0)
Hello.
This doubt arises many times during wage and other calculations. I would suggest referring to the judgments by the Honorable Apex Court, High Court, as well as other relevant courts.
1. Hindustan Lever Limited vs Kasargod Devidas Rao And Ors. on 21 August 1989
2. Jeewanlal (1929) Ltd. Etc. vs The Appellate Authority Under The ... on 29 August 1984
3. Beed District Central ... vs State Of Maharashtra And Ors on 29 September 2006
Thanks & Regards,
Sanjit Patel
From India, Ahmadabad
Acknowledge(0)Amend(0)
This doubt arises many times during wage and other calculations. I would suggest referring to the judgments by the Honorable Apex Court, High Court, as well as other relevant courts.
1. Hindustan Lever Limited vs Kasargod Devidas Rao And Ors. on 21 August 1989
2. Jeewanlal (1929) Ltd. Etc. vs The Appellate Authority Under The ... on 29 August 1984
3. Beed District Central ... vs State Of Maharashtra And Ors on 29 September 2006
Thanks & Regards,
Sanjit Patel
From India, Ahmadabad
Acknowledge(0)Amend(0)
Dear,
The following wage categories are defined by the state and central government:
1. Monthly Wage
2. Daily Wage
Wages for workers are calculated based on 26 working days, while salary for staff and employees is based on 30 days. In both cases, every six days of work entitles the employee to one holiday, and every 20 days of work entitles them to one paid leave.
From India
Acknowledge(0)Amend(0)
The following wage categories are defined by the state and central government:
1. Monthly Wage
2. Daily Wage
Wages for workers are calculated based on 26 working days, while salary for staff and employees is based on 30 days. In both cases, every six days of work entitles the employee to one holiday, and every 20 days of work entitles them to one paid leave.
From India
Acknowledge(0)Amend(0)
Sanju,
All the above cases were about the computation of one day's wages for gratuity, wherein the Court followed the Supreme Court decision in Digwijay Mills' case of 1980. They are not dealing with one day's wages for payment or deduction of one day's wages for salary.
Varghese Mathew
09961266966
From India, Thiruvananthapuram
Acknowledge(0)Amend(0)
All the above cases were about the computation of one day's wages for gratuity, wherein the Court followed the Supreme Court decision in Digwijay Mills' case of 1980. They are not dealing with one day's wages for payment or deduction of one day's wages for salary.
Varghese Mathew
09961266966
From India, Thiruvananthapuram
Acknowledge(0)Amend(0)
Dear Neetu,
Kindly go through the Minimum Wages Act notification, which is issued every six months. It clearly states that the wages are for 26 days, inclusive of Sunday, and any duty done above that is considered overtime. This notification is released when the DA (Dearness Allowance) is changed.
The contractor receives payment for 26 days from you and pays for 30 days to labor. This is something you need to check.
Captain Rajeshwar Singh
From India, Thana
Acknowledge(0)Amend(0)
Kindly go through the Minimum Wages Act notification, which is issued every six months. It clearly states that the wages are for 26 days, inclusive of Sunday, and any duty done above that is considered overtime. This notification is released when the DA (Dearness Allowance) is changed.
The contractor receives payment for 26 days from you and pays for 30 days to labor. This is something you need to check.
Captain Rajeshwar Singh
From India, Thana
Acknowledge(0)Amend(0)Looking for something specific? - Join & Be Part Of Our Community and get connected with the right people who can help. Our AI-powered platform provides real-time fact-checking, peer-reviewed insights, and a vast historical knowledge base to support your search.