Dear all, Kindly share the new CTC calculation including the wage code conditions Regards Kunal
From India, Mumbai
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From India, Mumbai
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Dear Kunal,
As per the Wage Code, it will be required to restructure the existing CTC as follows:
Existing CTC:
Basic, HRA, some other allowances, monthly gross, Employer's portion of PF, ESI, Statutory Bonus, Mediclaim & Group LIC Premium, LTA, Gratuity, Leave encashment, & CTC.
CTC as per Wage Code:
Existing CTC minus Employer's portion of ESI, Mediclaim and Group LIC Premium (not payable to the employee), Gratuity (not to be considered as it appears in exclusion list point no. (j) as per definition). After obtaining the Wage Code CTC - 50% of the same will be Basic, and the rest 50% will be divided into HRA, some other allowances, Employer's portion of PF, Bonus, LTA, & Leave encashment.
The above example is based on one employee's CTC structure in a specific organization. This will vary with the organizations and individual CTC structure. After the implementation of the Wage Code, there will be two sets of CTC - one as per the Wage code and another actual CTC.
Thanks & Regards,
S K Bandyopadhyay (West Bengal, Howrah)
CEO-USD HR Solutions
From India, New Delhi
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366As per the Wage Code, it will be required to restructure the existing CTC as follows:
Existing CTC:
Basic, HRA, some other allowances, monthly gross, Employer's portion of PF, ESI, Statutory Bonus, Mediclaim & Group LIC Premium, LTA, Gratuity, Leave encashment, & CTC.
CTC as per Wage Code:
Existing CTC minus Employer's portion of ESI, Mediclaim and Group LIC Premium (not payable to the employee), Gratuity (not to be considered as it appears in exclusion list point no. (j) as per definition). After obtaining the Wage Code CTC - 50% of the same will be Basic, and the rest 50% will be divided into HRA, some other allowances, Employer's portion of PF, Bonus, LTA, & Leave encashment.
The above example is based on one employee's CTC structure in a specific organization. This will vary with the organizations and individual CTC structure. After the implementation of the Wage Code, there will be two sets of CTC - one as per the Wage code and another actual CTC.
Thanks & Regards,
S K Bandyopadhyay (West Bengal, Howrah)
CEO-USD HR Solutions
From India, New Delhi
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