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snehal-bhat
We are licensed Electrical contractors and consultants based in central India. We are looking into the aspect of converting the regular employees(technical and non-technical) to consultant.The roles and duties are going to be same.
Please answer the following queries-
1) Is their salary consolidated and subject to yearly appraisal ?
2) What allowances (HRA,vehicle allowance etc.) are they entitled to?
3) Do they get bonus ?
4) Is PF or ESIC applicable to them?
5) What obligations do they have for company and vice-versa?
6) Does it hamper employees future job searching prospects( is there experience as consultant is counted for government and private job profiles)?
7) Can they have flexible work schedule?
8) Leave entitlements?

From India, Pune
udayjunja
Hi Snehal
If you are hiring him as a Consultant then in that case there will not be any PF, ESIC will not applicable for him and other allowances you can seperately him on stating that if he visits any location that he can claim after submission of supporting documents.
Other parts is all depend on your company work like work schedule and Leave part.
Regards
Uday

From India, Bengaluru
tsivasankaran
368

1) Is their salary consolidated and subject to yearly appraisal ?
It depends on the contractual terms. You can appoint a person for two years for the same rate and you can specify that the rates will not change
2) What allowances (HRA,vehicle allowance etc.) are they entitled to?
Depends on contractual terms
3) Do they get bonus ?
If their salary is lower than Rs 21000 per month, they need to be paid Bonus
4) Is PF or ESIC applicable to them?
Yes they are Alternatively you need to make them to raise invoice and pay 18% GST on it
5) What obligations do they have for company and vice-versa?
Depends on contractual terms
6) Does it hamper employees future job searching prospects( is there experience as consultant is counted for government and private job profiles)?
It will hamper
7) Can they have flexible work schedule?
Flexible work schedule is possible for regular employees as well
8) Leave entitlements?
They are entitled to
T Sivasankaran

From India, Chennai
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