Hi Friends, need a quick clarification. Even where the salaries are well above minimum wages(say 5 or 8 lakhs) , is there a need to ensure Basic is fixed as per the Minimum Wages? Please help.
From India, Bengaluru
From India, Bengaluru
No. But it is always fine if you keep the basic salary equal to the statutory minimum wages. Obviously, in the absence of DA in your salary structure, it would be good if you keep the total of basic wages and DA in the minimum wages notification as the basic wages under your salary structure.
From India, Kannur
4248From India, Kannur
Yes. I acknowledge Mr. Madhu’s response. It is always better to maintain the basic equal to the MW though it is not mandatory as decided by many courts. Regards,
From India, Madras
From India, Madras
Government makes such stipulation because an industry should not fix wages, lower than minimum wages. But it is also good for industries to award more than the statutory limit fixed by Government.
From India, Aizawl
From India, Aizawl
Community Support and Knowledge-base on business, career and organisational prospects and issues - Register and Log In to CiteHR and post your query, download formats and be part of a fostered community of professionals.
Clubbing of allowances with basic pay under PF Act.pdf
Basic Pay for EPF Contribution-re duction not permissible.doc x