Performance Allowance ??

Hi
This Tanuja
Kindly guide me on Performance Allowance, as in our company they are deduction 15% under this category.
please help me
Regards
Tanuja
HR

Dear Pon
K let me make it simple in salary break up what all is included apart from
Basic Salary
HRA
PF
ESIC
PT
TA
What else can be deducted, as our company they are deduction 15% more from employees salary in name of Performance Bonus? Is there is any thing such deduction? if so what is the rules.
Regards
Tanuja

I never come across such type of deduction from the salary towards PA. Perf. Allowance or Performance Linked Incentive is paid to the employee at the end of apprisal period.
Pon

Hello Tanuja,
Pon is right.
You too are a HR professional.
Pl confirm--as per YOUR understanding--the route/path of payments for any 'Bonus' or 'Incentive'--whatever be the reason for such a payment [performance, festival, etc]: will it be from Employee-->Company OR Company-->Employee?
Pl elaborate your query with some clarity & the Forum members are sure to give you the right suggestion(s).
Rgds,
TS

What the originator of this discussion means I think is that a person's salary has been fixed at 10000/-. What the company is doing is that it is paying 8500/- (85% of agreed salary) and retaining 1500/-(15% of agreed salary) every month which will be released to the employee on a so called "satisfactory performance" at the end of the assessment period, let us say 12 months then the person would have received 8500x12=10,2000/- and will be paid the balance 1500x12=18000/- if performance found "satisfactory". If "not satisfactory" the concerned person will be shown the door and denied this balance payment.This is a totally unfair practice and totally non-professional behaviour by the employer, but unfortunately this is a practice in a number of companies in this country though it is a kind of misconduct on the part of the employer. Trust my inference of the issue raised by originally by Tanuja is correct.
Regards,
UG