Dear Sir,
Kindly suggest the proper salary structure as per today's minimum wages. My sister received an offer from a renowned company, but we are confused about the salary structure. Please review the attached document and provide us with a suitable solution.
Thanks & Best Regards,
Rashmi
From India, Mumbai
1Kindly suggest the proper salary structure as per today's minimum wages. My sister received an offer from a renowned company, but we are confused about the salary structure. Please review the attached document and provide us with a suitable solution.
Thanks & Best Regards,
Rashmi
From India, Mumbai
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Dear All Respectives, Is anything wrong i have asked ??? Awaiting for the suggestions. Kindly provide me your suggestions to proceed further. Thanks & Best Regards Rashmi
From India, Mumbai
From India, Mumbai
The offer is much above the minimum wages. As per the present trend, this is okay in my opinion. However, with the proposed changes to different labor laws (e.g., Wage code - combining Minimum Wage, Payment of Wage, Payment of Bonus, and Equal Remuneration Acts), the concept of different components in remuneration will also change in the future. For example, in the Wage code, there is a definition of wage where the monthly gross wage will be 2/3 as wage and 1/3 as allowances.
S K Bandyopadhyay (WB, Howrah)
From India, New Delhi
S K Bandyopadhyay (WB, Howrah)
From India, New Delhi
Thank you, Bandyopadhyay Sir, for your kind response. I am having one confusion. Should the Basic be 50% of total earnings? For example, if someone's total earnings are 50,000/-, should their Basic be at least around 23,000/-, on which HRA and other things are calculated? Kindly suggest.
From India, Mumbai
From India, Mumbai
There are several opinions about the percentage of Basic with respect to monthly gross. Based on the recent Supreme Court verdict and proposed definition of wage (instead of Basic) for the PF Act, things will change in the near future. As of today, if Basic is more than ₹15,000, it is acceptable by the PF Authority. However, Basic is considered not only for PF but also for Gratuity, etc. Organizations are keeping the Basic level low to minimize other costs related to Basic.
With the change in the definition of wage, even if Basic is currently low, it will be enhanced in the future as per the new amendment. The focus is that 2/3rd of the monthly gross will be wage (Basic or Basic+DA) and 1/3rd of the monthly gross will be other allowances.
S K Bandyopadhyay (WB, Howrah),
USD HR Solutions – To strive towards excellence with effort and integrity
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I have corrected the spelling, grammar, and punctuation errors in your text. I have also ensured proper paragraph formatting and reduced multiple line breaks to one.
From India, New Delhi
With the change in the definition of wage, even if Basic is currently low, it will be enhanced in the future as per the new amendment. The focus is that 2/3rd of the monthly gross will be wage (Basic or Basic+DA) and 1/3rd of the monthly gross will be other allowances.
S K Bandyopadhyay (WB, Howrah),
USD HR Solutions – To strive towards excellence with effort and integrity
---
I have corrected the spelling, grammar, and punctuation errors in your text. I have also ensured proper paragraph formatting and reduced multiple line breaks to one.
From India, New Delhi
The wages structure your sister is no way comapred to present rate of minimum wages. The minimum wages have only the Basic with no other components. This is good salary for a beginer.
From India, Mumbai
From India, Mumbai
Dear Sir,
She is not a beginner; she has 12 years of experience. I raised the query on the Citehr to get proper knowledge on the salary calculation part. Salary calculation part includes: Basic, HRA, PF, ESIC, allowances, and others. According to the minimum wages, is the basic amount okay?
The company has offered a good CTC, but the basic salary they calculated is very low. As per my understanding, the basic should be 50% of the gross salary, which affects HRA, gratuity, leave encashments, and others. Therefore, the company offers a lower basic to their employees.
KINDLY SUGGEST
From India, Mumbai
She is not a beginner; she has 12 years of experience. I raised the query on the Citehr to get proper knowledge on the salary calculation part. Salary calculation part includes: Basic, HRA, PF, ESIC, allowances, and others. According to the minimum wages, is the basic amount okay?
The company has offered a good CTC, but the basic salary they calculated is very low. As per my understanding, the basic should be 50% of the gross salary, which affects HRA, gratuity, leave encashments, and others. Therefore, the company offers a lower basic to their employees.
KINDLY SUGGEST
From India, Mumbai
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