Hi Seniors,
This is my first discussion kindly let me know whether the minnimum wages are linked with the basic salary or not? I am working in a manufacturing company.
For example - Minimum wages in Haryana is - 5342/- & a workers salary is 5350 is it compulsory to take the basic salary as 5342 ? Also can we deduct PF on the same basic salary or not?
Waiting for your reply
Regards
Sonam
From India, New Delhi
4This is my first discussion kindly let me know whether the minnimum wages are linked with the basic salary or not? I am working in a manufacturing company.
For example - Minimum wages in Haryana is - 5342/- & a workers salary is 5350 is it compulsory to take the basic salary as 5342 ? Also can we deduct PF on the same basic salary or not?
Waiting for your reply
Regards
Sonam
From India, New Delhi
Thanks Amit for valuable revert.
Also pls clear
When we deduct Pf & ESI on 5342/- the take away salary will decrease to 4607/-
Any Issues comes in that case from any of the departments like labour / Pf etc as it is less then
Min. wages?
From India, New Delhi
Also pls clear
When we deduct Pf & ESI on 5342/- the take away salary will decrease to 4607/-
Any Issues comes in that case from any of the departments like labour / Pf etc as it is less then
Min. wages?
From India, New Delhi
HellowSonam, Minimum Wages
comprising of Basic Plus VDA.
Accordingly you have to take
into account the total amount
and make the statutory deduc
tions. For the Statutory purpose it is better to implement the Minimum Wages
(if not done so far) to avoid the complications at a later stage. I suggest
better to purchase Hariyana
Minimum Wages Act and follow
the fixation of pay (Basic
and VDA) based on the categories of workmwn working in your organisation. Our cite friends also will help you in providing more information.
Best wishes
Eswararao Ivaturi
From United States, Cupertino
comprising of Basic Plus VDA.
Accordingly you have to take
into account the total amount
and make the statutory deduc
tions. For the Statutory purpose it is better to implement the Minimum Wages
(if not done so far) to avoid the complications at a later stage. I suggest
better to purchase Hariyana
Minimum Wages Act and follow
the fixation of pay (Basic
and VDA) based on the categories of workmwn working in your organisation. Our cite friends also will help you in providing more information.
Best wishes
Eswararao Ivaturi
From United States, Cupertino
Dear Sonam, Pl go through the latest Haryana Government notification of minimum wages. Such notified wages has the basic pay and dearness allowance component. PF is liable on both. KK
From India, Bhopal
From India, Bhopal
Dear Sonam,
As per minimum wages act they are clearly specified basic+dearness allowance.So you have to contribute EPF for that amount only.
You can not split basic + other allowance
Regards
V.Subbarao
From India, Madras
As per minimum wages act they are clearly specified basic+dearness allowance.So you have to contribute EPF for that amount only.
You can not split basic + other allowance
Regards
V.Subbarao
From India, Madras
hiiiiiii sir i have a query whether there are different law regarding PF & ESI in different different sates.
because our HR has deducted both employer & employee PF contribution from employee salary & ESIC also.
Regards Nishat
From India, Gurgaon
because our HR has deducted both employer & employee PF contribution from employee salary & ESIC also.
Regards Nishat
From India, Gurgaon
Dear all, PF and ESI statutes are central acts and hence there is no variation on state to state basis.PF is payable on basic & DA. Definition of wages under ESI Act is broader and it includes all monthly emplouments. Hope this clarifies. KK
From India, Bhopal
From India, Bhopal
Hellow, Employee contributes
for PF & ESI and the amount
is deductable from the salary
of an employee. Similarly
Employer also contributtes for both PF & ESI of the employees which SHOULD NOT BE recovered
from the salary of the employeees. Accordingly you may ask your HR person not to recover the employer\'s
share from employee\'s salary.
Eswararao Ivaturi.
From United States, Cupertino
for PF & ESI and the amount
is deductable from the salary
of an employee. Similarly
Employer also contributtes for both PF & ESI of the employees which SHOULD NOT BE recovered
from the salary of the employeees. Accordingly you may ask your HR person not to recover the employer\'s
share from employee\'s salary.
Eswararao Ivaturi.
From United States, Cupertino
Hellow, as per statutory
provision, there will be
Employee\'s share and employers
share while recovering the
PF and ESI Contributions.
Therefore Company\'s contri-
bution also should not be
recovered from the Employee\'s salary. This should be taken care of by
the concerned HR Deptt.
Eswararao Ivaturi.
From United States, Cupertino
provision, there will be
Employee\'s share and employers
share while recovering the
PF and ESI Contributions.
Therefore Company\'s contri-
bution also should not be
recovered from the Employee\'s salary. This should be taken care of by
the concerned HR Deptt.
Eswararao Ivaturi.
From United States, Cupertino
Dear Sonam,
The Basic Salary of the employees must be the same as per minimum wages notification prescribed by that State / Central Govt on Half Yealy Basis (Basic + DA).
Basic salary can be more than minimum wages but cant be less than minimum wages.
It is compulsory to take basic salary as Rs.5342 and statutory deduction of Pf will deduct on the same basic salary and ESIC on the Gross Salary.
Regards,
Prashant Vishwakarma
8879507779
From India, Andheri
The Basic Salary of the employees must be the same as per minimum wages notification prescribed by that State / Central Govt on Half Yealy Basis (Basic + DA).
Basic salary can be more than minimum wages but cant be less than minimum wages.
It is compulsory to take basic salary as Rs.5342 and statutory deduction of Pf will deduct on the same basic salary and ESIC on the Gross Salary.
Regards,
Prashant Vishwakarma
8879507779
From India, Andheri
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