PROFESSIONALS AND BUSINESSES PARTICIPATING IN DISCUSSION
Labour Law & Hr Consultant
Industrial Relations And Labour Laws
Manager Human Resources
Use factoHR and automate your HR processes
Mobile-first hire to retire HR and Payroll software that automates all HR operations and works as a catalysts for your organisational growth.
When you engage a person as consultant on retainer basis this arrangement creates a contract for service only in which there would be no employer-employee relationship. The question of service tax would arise only when the total retainer fees per annum is Rs.2o lakh or more. What the contractee i.e the person who gets the service of the retainer has to is to deduct TDS from the retainer fee payable.
This equally applies to an employee whose services are retained post retirement by the former employer on retainer basis.
From India, Salem
rkn61Adding to our learned member, Mr Umakanthan, such arrangement of contract can be drawn, initially for 24 months (2 years) initially, and to further extend, subject to consent of both parties.
From India, Aizawl
Madhu.T.KI don't think that a contract of retainership should have a clause like leaves, insurance etc should not be there. Of course, there can be reimbursement of certain expenses, like, travel in connection with office, fee paid to departments on behalf of the establishment etc.
In my opinion all employees cannot be retained as a retainer. Only those who can advise you on technical, managerial or other matters can be put as retainers. There is no meaning in engaging a worker or a junior supervisor by redesignating him as retainer. A retainer should not be following your office timing, leave rules, dress code etc.
There can be a retainership for more than 2 years, I think. What is important is the role.
From India, Kannur
CIM-OperationsContinuing the services of a person after the attainment of the age of retirement shall be governed by a policy in which all these conditions should have been laid down clearly. In the absence of such a policy, first the same has to be clearly asertained and then only a decision should be taken. It should be common for all.
From India, Chennai