Confused About HRA Payments in Maharashtra? Help Me Compare Company A and B's Approaches

I require your expert advice on the two scenarios below.

Scenario 1:
Company A is paying as specified below:
Minimum Wages in Maharashtra Basic + Special Allowance, i.e., 5800 + 1215 = 7015. As per the Maharashtra Minimum House Rent Allowance Act, 5% of Basic is required to be paid as HRA, i.e., 5800 * 5% = 290. Hence, an employee should receive 5800 + 1215 + 290 = 7305.

Scenario 2:
Company B is paying as specified below:
Basic = 4209
HRA = 2806 (i.e., 50% of Basic, stating 5% is the requirement and we are paying 50%. Minimum wages can be bifurcated into any amount)
Total = 7015

Please suggest which company is paying properly: Company A or B?

Thank you in advance for your valuable suggestions.

Minimum Wages and House Rent Allowance (HRA) in Maharashtra

Minimum wages for employees under a contract, as specified by the Maharashtra Minimum Wages Act, include a 5% House Rent Allowance (HRA) along with other allowances that contribute to the Gross Salary. These rates are revised twice a year, in January and July, as mandated by the act.

For regular payroll employees, the HRA is determined based on the city status. In metro cities, the HRA is set at 60% of the Basic and Dearness Allowance (DA), while in other cities, it is 50% of the Basic and DA. These percentages are applied until the Gross Salary is reached.

This structure applies to both contractual employees, such as security guards, and regular employees on the company's payroll.