Dear All
I Require guidance on urgent basis for making salary structure & pf effect in it
Till dt we were taking 30 % of ctc as Basic & 24% as pf amt
Eg/- if 15000 is ctc then
Basic 4,500
HRA 1575
Spl All 5571
Conveyance 800
Education All 200
Medical 417
Total 13053
pf 24%(on basic) 1080
lta 417
Bonus 10% ( on basic) 450
CTC 15000
P.TAX 200
My MD has asked to revise the Sly Structure & increase Basic Amt i.e more then 6500 so that pf exemtions can be made.i.e pf payment is stopped
I require help in
1) we are 2 yr old co & pf in been paid for more then 170 employees if now all of a sudden we make such changes & stop pf payment is their any legal issue can we do that by providing reason to govt that as sly structure is revised & Basic is 6600 so no employee is ready to have pf deduction so we are stopping pf ??
plz guide me as new sly is to be implemented by MARCH 2012 & I NEED TO GIVE REPORT AFTER WORKING TO BY MD.
THANKS IN ADVANCE
SUMAN
From India, Bhuj
2I Require guidance on urgent basis for making salary structure & pf effect in it
Till dt we were taking 30 % of ctc as Basic & 24% as pf amt
Eg/- if 15000 is ctc then
Basic 4,500
HRA 1575
Spl All 5571
Conveyance 800
Education All 200
Medical 417
Total 13053
pf 24%(on basic) 1080
lta 417
Bonus 10% ( on basic) 450
CTC 15000
P.TAX 200
My MD has asked to revise the Sly Structure & increase Basic Amt i.e more then 6500 so that pf exemtions can be made.i.e pf payment is stopped
I require help in
1) we are 2 yr old co & pf in been paid for more then 170 employees if now all of a sudden we make such changes & stop pf payment is their any legal issue can we do that by providing reason to govt that as sly structure is revised & Basic is 6600 so no employee is ready to have pf deduction so we are stopping pf ??
plz guide me as new sly is to be implemented by MARCH 2012 & I NEED TO GIVE REPORT AFTER WORKING TO BY MD.
THANKS IN ADVANCE
SUMAN
From India, Bhuj
Dear Friend,
If your employees are already covered under PF deduction, even if you raise now the basic as Rs.6,500/- also not be exempted from PF coverage.
Instead of that if you want to surely not to deduct the PF, shall terminate them from the regular employment and after 60 days shall re induct them as regular new employees.
Eventhough there is way to skip PF deduction, it is not a moral way to deany the Social welfare scheme of your employees. All the contribution paid by your employer for this fund is allowable expenses under the Income Tax Act.
Any business grows faster if it with Social Corporate Responsibility and with Business Ethics.
With Regards,
C.Renuka
From India, Madras
If your employees are already covered under PF deduction, even if you raise now the basic as Rs.6,500/- also not be exempted from PF coverage.
Instead of that if you want to surely not to deduct the PF, shall terminate them from the regular employment and after 60 days shall re induct them as regular new employees.
Eventhough there is way to skip PF deduction, it is not a moral way to deany the Social welfare scheme of your employees. All the contribution paid by your employer for this fund is allowable expenses under the Income Tax Act.
Any business grows faster if it with Social Corporate Responsibility and with Business Ethics.
With Regards,
C.Renuka
From India, Madras
Dear Renuka
Thanks for prompt Reply i am already aware that once we have started with PF Deduction we cannot stop unless the employee has left but our Co is almost a Lala Co & MD doesnot beleive in obeying Govt rules & we hr People are forced to follow the Instruction
But how can i terminate all 190 employees ?? & re recruit ?? its not feasible is their any other option??
From India, Bhuj
Thanks for prompt Reply i am already aware that once we have started with PF Deduction we cannot stop unless the employee has left but our Co is almost a Lala Co & MD doesnot beleive in obeying Govt rules & we hr People are forced to follow the Instruction
But how can i terminate all 190 employees ?? & re recruit ?? its not feasible is their any other option??
From India, Bhuj
Dear Friend,
There is no way at all legally but we shall terminate them batch by batch in the paper and retain the same employees off the roll for 2 months and shall reinduct. I sure this is not moral but...
With Regards,
C.Renuka
From India, Madras
There is no way at all legally but we shall terminate them batch by batch in the paper and retain the same employees off the roll for 2 months and shall reinduct. I sure this is not moral but...
With Regards,
C.Renuka
From India, Madras
Hi Dear so we can show few employees exit in feb & then march . or we can do that we only on paper showing people exit & do not deduct pf for two months & then finaly new sly structure .....
From India, Bhuj
From India, Bhuj
Dear Friend,
We shall physically retain the employees off the roll. That is you have to get the resignation letter from connected employees batch by batch and forward the same to the PF office for settlement after cooling period of 60 days and reinduct them in other designation in roll.
You cannot terminate them in one day in the books, but shall do gradually please. For clarification pls contact.
With Regards,
C.Renuka
7708658888
From India, Madras
We shall physically retain the employees off the roll. That is you have to get the resignation letter from connected employees batch by batch and forward the same to the PF office for settlement after cooling period of 60 days and reinduct them in other designation in roll.
You cannot terminate them in one day in the books, but shall do gradually please. For clarification pls contact.
With Regards,
C.Renuka
7708658888
From India, Madras
Dear All
In past ( 2 months back) i had asked for valuable guidance from you all regarding pf nullification for my current co.which is hardly 2 yrs old co. & i was advised for taking resignation ( on paper) & then after two months gap for recruitment of all employees in group (on paper).
i have a query in this that their are few employees who are having deduction since 15 yrs or more (from thier past co till dt) now they are asking for what is the benefit if they stop &accept such deduction
plz can u all help me out with pf amt /gratuity amt they can get if they continue or if we advised them for other fixed invt
plz its urgent
suman
Reply With Quote
Attribution: http://citehr.com#ixzz1s0yFf4HE
From India, Bhuj
In past ( 2 months back) i had asked for valuable guidance from you all regarding pf nullification for my current co.which is hardly 2 yrs old co. & i was advised for taking resignation ( on paper) & then after two months gap for recruitment of all employees in group (on paper).
i have a query in this that their are few employees who are having deduction since 15 yrs or more (from thier past co till dt) now they are asking for what is the benefit if they stop &accept such deduction
plz can u all help me out with pf amt /gratuity amt they can get if they continue or if we advised them for other fixed invt
plz its urgent
suman
Reply With Quote
Attribution: http://citehr.com#ixzz1s0yFf4HE
From India, Bhuj
Just do what they are saying, let them face legal attacks...yes you people can not terminate bulk employees... you should reduce employee slowly.............in new unified portal they have added lots of thing now they can catch your activity....but you do not to worry just do what your superior is saying.......
From India, Raipur
From India, Raipur
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Salary Sheet & PF PT Calculation & Challan Nov 2010.xls
PF ON LEAVE SALARY.jpg