Annual Salary increment - 5% increment to an employee then would it be to the Basic salary or to the gross salary?

Ed Llarena, Jr.

Owner/ Managing Partner

Win-street-impex

Your Friend

Hr Executive

Hiyoshihr

Administrator

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hiyoshihr

I would be grateful if I could get information about how the salary increment is done in India.
Say if you were to give a 5% increment to an employee then would it be to the Basic salary or to the gross salary.
Any information provided would be a big help.
30th January 2020 From Japan, Omihachiman

Ed Llarena, Jr.

Hi!
Salary increments worldwide are always added to the BASIC (base) PAY. and, the average worldwide salary rate increase is 3% -5% year on year.
But, the four (4) basic compensation principles must always be considered in any decision relative to Salary Increases or adjustments. These are: Internal Equity, External Competitiveness, Affordability, & Sustainability.
Best regards.
3rd February 2020 From Philippines, Para�aque

hiyoshihr

Thank you for taking the time to reply.
3rd February 2020 From Japan, Omihachiman

Ed Llarena, Jr.

Hiyoshi san,
You are welcome! Am happy to be of help.
I used to work with Toyota Motor Philippines, Inc. And, i Have been to Japan (Nagoya & Toyota City) before.
Thank you for joining our group.
Best regards.
3rd February 2020 From Philippines, Para�aque

win-street-impex

please tell about understandably these four : Internal Equity, External Competitiveness, Affordability, & Sustainability.
19th March 2020 From India, Vijayawada

Your Friend

Hiyoshi San, In India, it is always on gross salary. Most of the companies follow this way.
19th March 2020 From India, Pune

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