Human Resource Business Partner
Recruitment, Er, Generalist
Human Resource Management
Else let the min. wages be under one head only i.e. basic.
you can surly put some amount under other heads if your company wish to pay as an increment otherwise let other heads remain zero.
12th August 2011 From India, New Delhi
Thanks for your reply.
My dilemma is
CTC - Rs 5000/-
Basic - Rs 4550/-
HRA - 0
Other Allow - 0
Gross - Rs. 4550/-
PF (Employee Contr.) = 12% of 4550 = Rs. 546
ESI (Employee Contr) = Rs. 80/-
PT = Rs. 20/-
Take home = 4550 (Gross) - 646 (Empl. Deductions) = Rs. 3904/-
Co. Contr. (PF) = 12% of 4550 = Rs. 546
ESi (Co. Cont) = 4.75% of 4550 = Rs. 217
Now CTC = Take home + Employer Contributions = 3904 + 546 + 217 which becomes Rs. 5313/-
whereas my CTC has been fixed at 5000/-
Hope you have now understood my real problem on how to adjust CTC without reducing Basic salary below minimum wages???
The same problem goes for any CTC less than 5300/-
12th August 2011 From India, Bharuch
The quantum of Minimum Wages and the employer's contribution are constants on which you have no control. On the other hand you want to keep the CTC as constant and are trying to fit in the minimum wage and the employer's contribution within the CTC. This is not possible always. You should have decided on the CTC based on the existing/future minimum wage
14th August 2011 From India, Madras
However, I have not understood one thing --- govt. organizations employee people on contract, pay them below minimum wages at times and do not deduct PF.
How is this taken care of by govt. organizations when they insist that private organizations have to follow all the rules, pay minimum wages, deduct PF /ESIC etc as and when applicable. I am aware that they do not employ people on their roles directly but on contract bu PF rules state that even for people on contract, the PF has to be deducted from day 1 then how is t=it possible for govt. to flout the rules
Thanks & Regards.
19th July 2014 From India, Bharuch
I am contractor and suppose on of my employee salary is 2000 then how can I find below details or what calculation should I use to create ECR and please tell what is percentage should I consider below to calculate. That will be great help if you tell me these things
1. Gross Wages :: 2000
2. EPF Wages
3. EPS Wages
4. EDLI Wages
5. EPF Contribution
6. EPS Contribution
8. NCP Days
9. Refund of Advances
20th January 2017 From India, Mumbai