Hi Senior,
I am working in the HR Department in the Hospitality Sector in Kolkata, West Bengal. Keeping in view of the minimum wages, I am confused regarding the payment of wages. Can we make payment after PF & ESI deductions from the Minimum Wages? Kindly note that minimum wages are Rs 8779/- w.e.f. 1/01/21 for unskilled workmen.
Please clarify.
From India
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1I am working in the HR Department in the Hospitality Sector in Kolkata, West Bengal. Keeping in view of the minimum wages, I am confused regarding the payment of wages. Can we make payment after PF & ESI deductions from the Minimum Wages? Kindly note that minimum wages are Rs 8779/- w.e.f. 1/01/21 for unskilled workmen.
Please clarify.
From India
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Dear Ashis, Debasish Roy,
As per the present definition of Minimum Wages, it includes Basic, DA, and HRA. West Bengal (WB) has a House Rent Allowance Act where 5% of Basic and DA are to be paid as HRA.
Therefore, add 5% HRA on INR 8779 and deduct PF on 8779 and ESI on (8779 + 5% HRA). After the implementation of the new Wage Code, HRA will not be a part of Minimum Wages.
Thanks and Regards,
S K Bandyopadhyay (WB, Howrah)
CEO-USD HR Solutions
Email: skb@usdhrs.in
From India, New Delhi
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As per the present definition of Minimum Wages, it includes Basic, DA, and HRA. West Bengal (WB) has a House Rent Allowance Act where 5% of Basic and DA are to be paid as HRA.
Therefore, add 5% HRA on INR 8779 and deduct PF on 8779 and ESI on (8779 + 5% HRA). After the implementation of the new Wage Code, HRA will not be a part of Minimum Wages.
Thanks and Regards,
S K Bandyopadhyay (WB, Howrah)
CEO-USD HR Solutions
Email: skb@usdhrs.in
From India, New Delhi
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