KK!HR
Management Consultancy
Mnwakodkar
Statutory Compliance
PraveenShar
Sr Search Consultant
Nathrao
Insolvency N Gst Professional

Cite.Co is a repository of information and resources created by industry seniors and experts sharing their real world insights. Join Network
If someone is selected as trainee and getting a Stipend of say 15,000rs. And being provided with a quarter in factory premises. Can HRA be deducted from this stipend.?
HRA can be deducted from the stipend paid to the apprentice.
What if training period is of 2 yrs on monthly stipend of 15000/- for 1st year and 16000/- for 2nd year. And designated as executive trainee not as apprentice. Is there any law kindly refer.
There is no law governing these matters as regards non-Appretice Act trainees are concerned. It depends on the policy of the company, the general rule being any company facility like accommodation or transport is chargeable.
Dear Friend,
You are advised to follow the rules/standing order of your establishment, if any. If the appoinment condition of trainee is to pay only stipend then you are free to realise the house rent from his stipend. In absence of clarity it is always good to take a written authorisation from the trainee for deduction, to avoid future complication.

The trainee needs to read his appointment order in full.
What is the stipend?
What are the dedication set out from his stipend?
Per se nothing wrong in deducting rent from stipend for accommodation provided (not HRA)
Unless free accommodation is promised in the appointment order.

Please check what Standing order of company says about Trainee .....
If no certified standing order are there for Company then such trainee can not be paid as Stipend
Stipend may be paid to only Apprentice under Govt Apprentice act and Certified standing order
If you are getting stipend as per one of above ,it doesnt attract HRA component.
But if Management has such policy to deduct prortion from stipend against accommodation,they can do that
Mangesh Wakodkar
Aurangabad

This discussion thread is closed. If you want to continue this discussion or have a follow up question, please post it on the network.
Add the url of this thread if you want to cite this discussion.






About Us Advertise Contact Us
Privacy Policy Disclaimer Terms Of Service



All rights reserved @ 2020 Cite.Co™