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Dear Forum members, Please guide is it correct to add /consider employees PF and ESIC contribution into CTC. If it is so then how it benefits employee and employer. Thanks
From India, Indore
From India, Indore
Employees PF & ESIC contribution is deducted from Employee's earning which has already considered as CTC. Therefore, any deduction from Employee's earning - PF, ESI, ITAX, PTAX etc. never be part of CTC.
CTC is management tool to understand properly how much management is spending for the employees at any point of time.
S K Bandyopadhyay (Howrah, WB)
+91 98310 81531
From India, New Delhi
CTC is management tool to understand properly how much management is spending for the employees at any point of time.
S K Bandyopadhyay (Howrah, WB)
+91 98310 81531
From India, New Delhi
There is no concept of CTC in employment laws.It is only an industrial practice, more so to conform to accounting norms as I understand. It is inclusive of expenses incurred by the company on account of employee.Thus it include only the employer part of PF & ESI contributions but not the employee part thereof.
B.Saikumar
HR & Labour Relations Adviser
From India, Mumbai
B.Saikumar
HR & Labour Relations Adviser
From India, Mumbai
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#Listed In: employment laws industrial practice labour relations esic contribution Country-India City-India-Indore
NO Contribution on CTC-1.pdf
CTC Calculator.xls
