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The dilemma between formal PoSH procedures and informal resolution is a common one. Both approaches have their merits and demerits, and the choice largely depends on the specific circumstances. The formal PoSH route ensures compliance with the law and provides a structured process for addressing complaints Read More...

The ethical obligation of employers in the face of overlapping wage definitions is to balance between legal compliance and employee trust. While it’s important to adhere to the minimum legal requirements, employers should also strive to maximize employee benefits where possible. This approach no Read More...

When an employee causes a financial loss to the company, "fair punishment" can take various forms, depending on the severity of the misconduct and the extent of the loss. Repayment, forfeiture, or a capped approach that still protects retirement dignity could all be considered. However, it’s crucia Read More...

The ethical responsibility of an employer in the case of an employee’s retirement claim failing due to historical data gaps is not just a simple "not our fault". Employers have a moral and ethical obligation to assist their current and former employees in resolving these issues, even if they occurre Read More...

The emergence of a "helpful intermediary" system around employee money indeed presents a dual challenge for HR - ensuring ease of access to PF benefits while also safeguarding against potential fraud and data leaks. Firstly, HR owes employees clear communication and proactive warnings about potentia Read More...

The Maharashtra Labour Welfare Fund (MLWF) is a statutory contribution that employers in Maharashtra are required to make. It’s designed to promote the welfare of labour and certain other sections of the society. Firstly, it’s important to understand that the employer’s contributio Read More...

Your task of integrating multiple ISO standards into a single document for an Integrated Management System (IMS) project is indeed a challenging one. Here’s a step-by-step guide to help you with this: 1. Understanding the Standards: Begin by thoroughly understanding each of the seven ISO standards Read More...

The potential changes in labour codes indeed pose a significant challenge, especially when the salary structure in your company is primarily based on allowances. The redefinition of 'wage' could indeed alter PF and gratuity costs, and the new rules for contractors, registers, and inspections could necessitat Read More...

Susanta-kumar-bandyopadhyay

19 January 2026 05:56:02 AM

Definition of Wages is same in all labour codes and it has nothing to do with Rules. Wages includes Basic, DA and RA plus the items in exclusion list from a to i and 50 percent of that. Allowances will fall under a to i. Obviously the wages will increase and accordingly PF, Gratuity, Bonus etc. wil Read More...

The issue you’re facing is a common one in industries with a high proportion of gig or platform workers. It’s a delicate balance between meeting the immediate financial needs of your workers and ensuring the company’s financial stability. Legally, there’s no obligation for a compan Read More...

Balancing business flexibility and employee security when worker protections expand is a complex task. It requires a delicate equilibrium between maintaining operational efficiency and ensuring employee rights are not compromised. The adjustment cost should ideally be borne by the business, as it i Read More...

When a tragedy occurs and causes are disputed, organizations should prioritize a balanced approach that includes truth-finding, employee support, and accountability. Truth-finding is essential to understand the root cause of the incident and prevent similar occurrences in the future. Employee suppor Read More...

When a bereaved family faces a technical rejection of an EDLI claim, a "responsible employer" should provide more than just guidance. The employer should advocate for the family, follow up on the claim, and if possible, compensate for delays. This is not just about fulfilling a legal obligation, bu Read More...

The implementation of the Labour Codes will indeed have a significant impact on salary structures and compliance measures. Here’s how to navigate these changes: Firstly, it’s crucial to understand that the new Labour Codes aim to simplify and consolidate numerous labour laws into four broa Read More...

This situation presents a common challenge in human resources management: how to motivate employees to go beyond their basic job responsibilities and contribute more to the team and the organization. Firstly, it’s important to understand that while compliance is crucial, it’s just the minimu

The ethical responsibility of HR during hiring, especially in a restructuring scenario, is to provide full transparency to potential candidates. This is not just a moral obligation, but also a strategic move to maintain the company’s reputation in the long run. The minimum "truth package" tha Read More...

Dilemma is right and very human, its natural. The first and foremost thing, if you have been appointed as HR for any organization, then your first morality should be towards employer. Definitely laws must be followed and if employer wants us to break law then we must refrain or resign. But what to disclos Read More...

The new labour codes in India are expected to have a significant impact on the appraisal and increment process. Here’s how: Firstly, the new codes aim to simplify and consolidate numerous central labour laws into broader codes, which will impact various aspects of employment, including wages an

The concept of "fair contribution" in a gig economy where work is fragmented across platforms is complex. It could be based on a pro-rata system where contributions are calculated based on the actual hours worked on each platform. This would require platforms to maintain accurate records of worker engagemen Read More...

In this situation, accountability should be shared between the employee and the employer. The employee, despite his grievances, should not resort to actions that could harm the organization and its stakeholders. On the other hand, the employer should ensure timely payment of wages to prevent such situations Read More...

The "leak culture" can be seen as both a sign of employee betrayal and a predictable response to opaque leadership. It’s a symptom of a lack of trust and transparency in the organization. Employees may feel compelled to leak information if they believe the company is not being forthright abou Read More...

When employees openly ignore a mandate and there are no consequences, it undermines the legitimacy of leadership. This can lead to a breakdown in discipline, reduced morale, and a culture of selective compliance. To redesign RTO enforcement so it is fair, defensible, and privacy-safe, the following step Read More...

A company that aggressively hires "immediate joiners" is likely signaling a culture of urgency and potentially, chaos and disrespect for process. This approach can lead to a high-risk environment, with potential legal and operational issues. From a legal perspective, ignoring notice periods and servic Read More...

The challenge you’re facing is a common one in many organizations that employ non-payroll workers. It’s crucial to have a system in place to track these individuals to ensure smooth operations and clear accountability. Firstly, let’s understand the core issue. Non-payroll workers ar Read More...

Creating an HR policy for a Micro, Small and Medium Enterprises (MSME) trading company with a workforce of 20 employees can be quite a task, but it’s crucial for the smooth functioning of your organization. Firstly, the core issue here is the lack of a structured HR policy which can lead to inconsistencie

The complexity of managing a non-traditional workforce, especially in terms of social security coverage and compliance, is indeed a challenge. Here’s a step-by-step action plan that could help you navigate this issue: 1. Classification Clean-Up: Start by ensuring that all workers are correctl Read More...

The core issue at hand is the extension of the deadline for eFiling of Electronic Challan cum Returns (ECR) for the pay month of December 2025. This affects both employers and employees as it provides additional time for the completion and submission of these important documents. From a legal and complianc Read More...

This situation indeed presents a unique challenge. Here’s a step-by-step guide on how you can handle it: 1. Understanding the Core Issue: The primary concern here is the unexpected increase in gratuity/leave liability provision. This has led to questions from the finance department and assumption Read More...

The situation you’re facing is indeed complex, but not uncommon. The implementation of new labour codes requires careful planning and prioritization. Here’s a step-by-step action plan: 1. Begin with the Compensation Restructuring: The first step should be to restructure the Cost to Compan Read More...

When PF timelines slip, ethical leadership should ideally involve transparent disclosure and proactive restitution. It’s crucial to communicate any delays or issues with the employees promptly and honestly. This not only maintains trust but also gives employees the opportunity to plan accordingly Read More...

The impending implementation of the new Labour Codes is indeed a significant change that will affect both employers and employees. It’s crucial to approach this change with a clear understanding and a well-thought-out strategy. Firstly, the core issue here is the potential change in salary structure Read More...

The fear of retaliation can significantly erode trust within an organization and compromise the quality of information leaders receive. When employees feel that asking for fair pay could cost them their jobs, they may withhold important feedback, concerns, or ideas, which can ultimately harm the organization’ Read More...

If a company removes the "10-minute" promise but maintains the same incentive structure, it could be seen as a form of deception rather than compliance. This is because the underlying pressures and risks for the workers remain unchanged, even though the branding has been altered. The operational control Read More...

The rapid expansion of social security to include unorganised workers presents both opportunities and challenges. To prevent misclassification and paperwork theatre, it is crucial to have a robust compliance system in place. Firstly, the core issue is the potential for misclassification of workers an Read More...

Dealing with an employee who has submitted a fake experience certificate is a complex issue that requires a balance of legal compliance, company policy, and fairness. Firstly, it’s important to understand the gravity of the situation. Submitting a fake experience certificate is a serious violatio Read More...

The impact of the labour codes on businesses will largely depend on the nature and structure of the organization. However, in the first year, the Social Security code might pose the most challenges. This is because it introduces significant changes such as the inclusion of gig and platform workers, an Read More...

Understanding the calculation of gratuity for daily wage workers can be a bit complex, but it’s crucial for maintaining compliance with labor laws and ensuring fair compensation for employees. The Payment of Gratuity Act, 1972, governs the payment of gratuity in India. As per the Act, an employe Read More...

When POSH (Prevention of Sexual Harassment) is mishandled, the first thing that breaks within a company is usually trust in HR, as they are the primary custodians of the process. This can subsequently lead to a breakdown in trust in leadership and the idea of fairness itself, as employees may feel tha Read More...

The decriminalisation of minor violations may have two potential effects on companies. On one hand, it could lead to a more honest approach as the fear of criminal stigma is removed. On the other hand, it could also result in companies treating violations as a cost of doing business, thereby pricing-i Read More...

The ethical failure in the case of a retiree paying an unofficial "fee" to get a DLC done falls on all parties involved. The system should be designed to prevent such occurrences, the intermediary should not exploit the situation, and families should be informed enough not to feel desperate to pay suc Read More...

Hello Zakiya, The criteria for the "Star of the Month" award should be comprehensive, objective, and transparent to ensure fairness. Here are some steps you can follow: 1. Establish Clear Evaluation Criteria: The criteria should be job-related and measurable. They can include factors like meeting o Read More...

Amolnakve

16 January 2026 04:04:45 AM

Hi Zakiya! It is a pleasure to meet you. As an HR Executive, you know that a "Star of the Month" award can either be a powerful motivator or, if handled poorly, a source of team friction. Linking these monthly wins directly to your Organizational Vision is a brilliant strategy. It transforms the awar Read More...

Amolnakve

16 January 2026 04:37:44 AM

Hi Zakiya! It is a pleasure to meet you. As an HR Executive, you know that a "Star of the Month" award can either be a powerful motivator or, if handled poorly, a source of team friction. Linking these monthly wins directly to your Organizational Vision is a brilliant strategy. It transforms the awar Read More...

The Supreme Court’s demand for proof of POSH compliance from courts implies that private employers should treat both "evidence of prevention" and "evidence of process" with utmost seriousness. It is no longer sufficient to merely have a policy in place; employers must be able to demonstrate tha Read More...

When an employee spoofs their location during a family emergency, a fair response would be a blend of structured compassion and a tiered consequence model. Strict enforcement could potentially harm the company’s reputation and employee morale, especially if the employee’s work output remain Read More...

Drawing the ethical line between growth and harm in a business model that relies on "unsafe speed" requires a careful balance. The key is to ensure that the drive for efficiency and speed does not compromise the safety and well-being of the workers. This can be achieved by implementing a "safety-first Read More...

Real accountability in the face of systemic safety failure requires a comprehensive approach that includes individual punishment, leadership consequences, and structural reform. Individual punishment serves to deter negligent behavior, while leadership consequences ensure that those in charge are hel Read More...

A "humane termination" when performance truly fails involves a fair and transparent process. This includes clear communication about the performance issues, sufficient time for the employee to improve, support in the form of training or resources, and a transparent process that the employee can understan Read More...

When a POSH complaint escalates to severe harm, the ethical minimum an institution owes the complainant and the workforce, beyond legal compliance, is a swift, transparent, and empathetic response. The institution must ensure the safety and well-being of the complainant, provide immediate interim relief Read More...

When PF delays occur, accountability should take the form of both internal and external actions. Internally, the organization should conduct a thorough investigation to identify the root cause of the delay. This could involve reviewing cash flow statements, vendor contracts, and bank transactions. Onc Read More...

When a legal change forces pay structure shifts, "fair communication" should be transparent, timely, and empathetic. It should clearly explain the reasons for the change, how it impacts employees, and what steps the company is taking to ensure fairness. Here’s a step-by-step guide on how to achiev Read More...

If child labour is discovered in a vendor chain, ethical remediation requires a comprehensive approach. Beyond termination, it’s essential to provide rehabilitation support for the affected children. This could include educational opportunities, psychological counselling, and vocational trainin Read More...

Making it right for employees who were outside the ESI for years involves more than just registration. It requires transparent accountability, which includes an open dialogue about past non-compliance, an apology for any harm caused, and a commitment to restitution where necessary. This could involv Read More...

The potential increase in the EPF wage ceiling presents a complex situation for both employers and employees. If EPF deductions rise and take-home pay decreases, employers can respond in several ways. Firstly, employers could absorb the delta, which means they bear the additional cost without passin Read More...

The impact of new labour codes on IT firms is a complex issue that requires a delicate balance between business sustainability and employee welfare. Firstly, the core issue is the potential increase in employee costs due to the new labour codes. This could lead to a decrease in profitability and pu Read More...

Susanta-kumar-bandyopadhyay

14 January 2026 12:26:30 PM

No. It is not allowed to deduct both Employer and employees contribution from employee. Deduction will be on Wages not on monthly gross as per Social Security Code. S K Bandyopadhyay ( Howrah, WB) 98310 81531

Greetings Anirban, The issue you’re facing is quite common when there are changes in the minimum wage rates. The impact of these changes on the calculation of bonuses in Full and Final settlements can be a bit complex. Firstly, it’s important to understand that the bonus is a statutory obligatio Read More...

The Building and Other Construction Workers' Welfare Cess Act, 1996, governs the calculation of the BOCW cess in India. The cess is levied on the cost of construction incurred by employers and is used to fund various worker welfare schemes. 1. Understanding the Components: The BOCW cess is calculate Read More...

The application of Privilege Leave (PL) during weekends and public holidays can sometimes be a complex issue. In your case, the employee has taken leave on a Saturday, which is followed by a weekly off day (Sunday) and a public holiday (Monday). According to the leave policy you’ve described, weekend Read More...

You will have to be truthful about the reasons for leaving the MNC and also about your efforts to keep management informed about your personal problems, which merited immediate release. I hope some of your communications were in writing. Obviously, all new employers will perform pre-employment checks Read More...

Ruchi-s4573457

14 January 2026 04:05:39 AM

I didnt serve a formal notice period of MNC where i have worked only for 2 months. As now when im reaching out to them for relieving they are demanding recovery amount, which is fair enough. But they are stating they will mention dues are cleared, notice period not served formally which is considere Read More...

"Social security" in 2026 should ideally be a combination of both a statutory deduction and a promise of dignity that employers and the state must jointly protect. It’s not just about meeting the minimum legal requirements, but also about ensuring that employees can live with dignity, especiall Read More...

When employees are psychologically coerced outside work, an employer has a moral responsibility to provide awareness, counselling, and active support and reporting. This is because such external factors can significantly impact an employee’s performance and mental health, which in turn affect Read More...

The willingness of individuals to pay large sums of money to feel "chosen" by an employer is a testament to the trust they place in the recruitment process and the desperation they feel to secure employment. HR departments must respond to this vulnerability by ensuring transparency and authenticity i Read More...

This situation presents a common dilemma in talent acquisition: the trade-off between immediate availability and superior performance. Here’s a step-by-step guide on how to approach this: 1. Assess the Urgency: Evaluate how critical the role of Talent Acquisition Head is to your current operations

Reacted To This Post

Amolnakve
Mumbai, India/Hr

Updating your PAN details in your UAN is an important step to ensure all your details are up-to-date and in compliance with the EPFO (Employees' Provident Fund Organisation) regulations. Firstly, it’s important to understand why it’s necessary to update your PAN details in your UAN. The UA Read More...

Hello Ashima, Employees today share feedback through a variety of methods. These include traditional methods like surveys and one-on-one conversations, as well as modern tools like feedback software and social media platforms. The choice of method often depends on the organization’s culture an Read More...

The OB Adjustment in EPS contributions is a mechanism to correct discrepancies in pension records as per EPFO guidelines. 1. The purpose of the OB Adjustment is to ensure that the EPS contributions are accurately recorded and reflect the correct pensionable service of the member. It is applicable i Read More...

Absolutely, I’d be happy to help you understand how your salary calculation would look under the new Social Security Act. Firstly, it’s important to understand that the new Social Security Act in India aims to consolidate and amend the laws relating to social security with the goal to exten Read More...

Susanta-kumar-bandyopadhyay

13 January 2026 07:29:06 AM

Salary calculation in all 4 codes is as per definition of Wages which is same in all the Codes. Salary includes Basic, DA and RA plus if there is any thing more than 50 percent of items mentioned in (a) to ( I) in the exclusion list of all calculation under the wages definition. This all calculatio Read More...

Understanding the New Wage Code 2025 and Gratuity Based on your query, I understand that your company has not been deducting gratuity till now. With the New Wage Code 2025, all companies are required to adhere to the new regulations which include gratuity as a component of wages. Here’s how yo Read More...

PRABHAT RANJAN MOHANTY

13 January 2026 04:47:31 AM

Greetings Deepa Madhikar, The Gratuity is as the EPF contribution@12% made by the employer/Company. Similarly, no deduction is done for the gratuity from the employee. The quantum of gratuity is a part of CTC.Therefore, the gratuity is an undisclosed part of wage neither deducted but paid on eligibilit Read More...

The process of submitting the Annual Return for Prevention of Sexual Harassment (POSH) in the Pune region is governed by the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013. The first step is to understand what the annual return for POSH entails. It is a repor Read More...

You’re absolutely correct in your understanding of the new wage code and how it pertains to the application of gratuity. It’s vital to ensure all aspects of the new code are properly adhered to, to avoid any potential legal issues. Here are some additional points to consider: 1. Applyin

I’m sorry, but as of now, I cannot provide the exact figures for the minimum wage, Dearness Allowance (DA), and special allowance in Maharashtra for the period from January 2026 to June 2026. This is because these figures are subject to change based on various factors such as inflation, change Read More...

The moral baseline of trust and training leadership must guarantee when a role gives employees physical access to customers is high. This involves thorough background checks, comprehensive training on privacy and consent, and a strong culture of respect for customer privacy. Accountability should b Read More...

When employees witness their retired colleagues struggling to receive their benefits for over a decade, it severely undermines their trust in the organization. It sends a message that their welfare might not be a priority for the organization, which can lead to decreased motivation and productivity Read More...

The ethical implications of running permanent operations on rotating contractors while the workers remain constant are significant. It can lead to a sense of insecurity and unfair treatment among the workers, as they are denied the benefits that come with permanent employment despite their long-ter Read More...

The situation you’re facing is a common one in the startup world. Here’s how you can handle it: Understanding the Core Issue The core issue here is the non-performance of employees in a sales role. This affects the company’s bottom line and could potentially disrupt team morale. It’ Read More...

The hospitality industry is unique in its reliance on on-the-job learning and development. This approach has its benefits, allowing employees to learn in a practical, hands-on environment. However, it also presents challenges, particularly when training is rushed or unclear. To ensure effective learnin

The tragic incident at Delhi’s Saket District Court underscores the urgent need to address workplace stress and burnout. It challenges our understanding of "professional resilience" and calls for a reevaluation of our approach to workload management and employee well-being. The first step is t Read More...

The situation you are facing is indeed a complex one, but it can be resolved with the right approach. Firstly, it’s important to understand that the "FnF Negative" status is likely due to the outstanding Variable Pay amount that was due to Capgemini. Since you have already repaid this amount, i Read More...

Sourav-brahma

10 January 2026 12:44:28 PM

Thanks for sharing your inputs. So now the only thing I need is to wait for the revised FnF account statement, right? and once I receive that, then only should I start following up about the Rehire status?

Sourav-brahma

10 January 2026 14:23:57 PM

Hello HR Experts, I have gained clarity on the next steps regarding my situation. However, in a worst-case scenario, if the HR team at Capgemini does not confirm my rehire status, I comprehend that taking legal action is a prolonged process. In the interim, if I apply to any potential employers, shoul Read More...

R.N.Khola

03 January 2026 06:38:31 AM

We cannot understand that what word of appraise we should give to the person who have prepare this definition of wage under the Codes. In my opinion also the explanation given by the Ministry is confusing one & seems to be against the restructuring process as given in the Code on Wages, 2019 ( sec. 2y) Read More...

Dksrivastava

10 January 2026 09:05:00 AM

Hello Prasoona Subash, It is completely understandable that you’re seeking clarity on this, as the New Labour Code represents one of the most significant shifts in Indian payroll management in decades. Based on the current regulations effective in 2026, I can share some insights into how thes Read More...

It is also confusing whether ESIC contribution to be taken in exclusion part or not?

Bijay_majumdar

07 January 2026 17:07:44 PM

Definition of wages under new labour code is required to be studied before applying esic

Dksrivastava

10 January 2026 09:17:34 AM

Hello Subhabrata Dasgupta,It is completely understandable to feel a bit confused. The 2025 amendments under the Social Security Code have introduced some shifts in how we look at "wages" and eligibility, making the landscape feel a bit different than what we were used to for decades. Based on my understandin Read More...

Susanta-kumar-bandyopadhyay

10 January 2026 09:52:48 AM

Request all to check CiteHR whatsapp where the Government authority has been mentioned in FAQ that performance incentive not to be considered for wages calculation. If the incentive mentioned here is performance incentive then not to be considered for calculation. Need details clarification for fina Read More...

It’s great that you are considering Management Development Programmes (MDPs) for your professional growth. IIM Mumbai is a prestigious institution known for its high-quality educational programmes. However, the value of these programmes can often be subjective and depends on your specific caree

Your concern is understandable, but rest assured, the lack of a Provident Fund (PF) account should not impact your ability to switch jobs. Firstly, the evaluation of work experience is typically not based on PF records. Employers primarily look at the relevance of your past work, your skills, and you Read More...

Vmlakshminarayanan

06 January 2026 10:28:12 AM

Hi, Not at all. There will not be any issue. You can preserve your Appointment letter / payslips/ increment letter / Bank statement as proof of employment. PF not deducted will not be a issue for your future employer.

PRABHAT RANJAN MOHANTY

09 January 2026 06:55:47 AM

Greetings Gowtham Adithya, The EPF Act applies to factories and other establishments with 20 or more employees. Therefore, EPF is not a factor to impact your BGV because your employer and the establishment is not fall under EPFO statutorily.

The ethical line in a business model that relies on workers taking risks to meet a marketing promise should ideally be drawn by all stakeholders - companies, regulators, and customers. Companies should prioritize worker safety and well-being over aggressive marketing promises. They should establish realisti Read More...