Can we bifurcate Basic as Rs.4,500/- (25%) for an employee having Rs.18,000/- as Gross.
As per My knowledge, and as a HR I Hope we shouldnt do it. because it violates Payment of Wages Act and P.F Act.
Please Suggest and Guide Me
From India, Hyderabad
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As per My knowledge, and as a HR I Hope we shouldnt do it. because it violates Payment of Wages Act and P.F Act.
Please Suggest and Guide Me
From India, Hyderabad
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Dear spsr, Do mention the reason for calculating the basic percentage as 25 % where generally it is calculated as 40% & 50% in organizations?
From India, Bangalore
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482From India, Bangalore
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Dear Mahesh,
I was asking that,
as per payment of wages act, basic must be more than the other components. i.e; atleast 51%
we can reduce the basic to 30% or 40% or 50% such that basic is not less than Rs. 6,500/-
but here the case is Rs.4,500/- which is less than Rs.6,500/-.
I hope that we shouldnt, and we dont have right to reduce it to 25%. i say that we can reduce to a maximum of 36.11% in this case ( as the Gross is Rs.18,000/-, Basic is 36.11% ~ Rs.6,500/- )
But My colleagues are telling that we can reduce it to even 25%.
But I tell that, if PF commissioner finds it in Inspection he will give a DEMAND NOTE.
is My argument right ? or My Colleagues ?
From India, Hyderabad
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I was asking that,
as per payment of wages act, basic must be more than the other components. i.e; atleast 51%
we can reduce the basic to 30% or 40% or 50% such that basic is not less than Rs. 6,500/-
but here the case is Rs.4,500/- which is less than Rs.6,500/-.
I hope that we shouldnt, and we dont have right to reduce it to 25%. i say that we can reduce to a maximum of 36.11% in this case ( as the Gross is Rs.18,000/-, Basic is 36.11% ~ Rs.6,500/- )
But My colleagues are telling that we can reduce it to even 25%.
But I tell that, if PF commissioner finds it in Inspection he will give a DEMAND NOTE.
is My argument right ? or My Colleagues ?
From India, Hyderabad
Acknowledge(0)Amend(0)
Please help Me in the below issue
Can we bifurcate Basic as Rs.4,500/- (25%) for an employee having Rs.18,000/- as Gross.
As per My knowledge, and as a HR I Hope we shouldnt do it. because it violates Payment of Wages Act and P.F Act.
Please Suggest and Guide Me
From India, Hyderabad
Acknowledge(0)Amend(0)
Can we bifurcate Basic as Rs.4,500/- (25%) for an employee having Rs.18,000/- as Gross.
As per My knowledge, and as a HR I Hope we shouldnt do it. because it violates Payment of Wages Act and P.F Act.
Please Suggest and Guide Me
From India, Hyderabad
Acknowledge(0)Amend(0)
Please Suggest me in the following issue
Can we bifurcate Basic as Rs.4,500/- (25%) for an employee having Rs.18,000/- as Gross.
As per My knowledge, and as a HR I Hope we shouldnt do it. because it violates Payment of Wages Act and P.F Act.
Please Suggest and Guide Me
From India, Hyderabad
Acknowledge(0)Amend(0)
Can we bifurcate Basic as Rs.4,500/- (25%) for an employee having Rs.18,000/- as Gross.
As per My knowledge, and as a HR I Hope we shouldnt do it. because it violates Payment of Wages Act and P.F Act.
Please Suggest and Guide Me
From India, Hyderabad
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Dear Member,
Plz clarify which of the section or rule is going to be violated under these Acts ?
Regards,
R.N.Khola
From India, Delhi
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Plz clarify which of the section or rule is going to be violated under these Acts ?
Regards,
R.N.Khola
From India, Delhi
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Dear Mr. Khosla as per compensation and benefits there is no rule related to fixation of Basic Salary. But its always advisable to have basic as per organisation structure. Other Components like PF / ESI / Grautity etc are also based on Basic and Gross Salary.But we need to ensure that Basic is always higher than other salary components.
From United Kingdom
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From United Kingdom
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