Is It Normal for My Basic Pay to Decrease After a Promotion? Seeking Advice on Salary Changes

Dear all,

I was a trainee engineer one year ago. At that time, my salary slip showed a basic pay of 10,100. Now, this year, they have promoted me to a junior manager position, and I noticed that the basic pay is now showing as 6,500. Is it possible for them to reduce the basic pay?

Thank you.

What was the pay scale promised in your appointment letter? Was Rs10100 inclusive of DA or just a round sum?

PS Why is your post in full capitals?

Hi, you can clear your doubt from the payroll department or the concerned person in your company. They will surely clear your doubts regarding your salary structure.

Thanks,
Priyanka

Please refer to your confirmation letter once and review the wage structure. It may vary from organization to organization, but most organizations typically designate 50% of the salary as the basic component of the gross salary.

Your gross pay has most probably gone up after being confirmed in the employment. Your net (take-home) may have gone up, remained the same, or even gone down compared to your previous take-home pay. The basic was reduced to lower the additional CTC on account of the employer's contribution to PF. Your HRA would have increased from 5% to 40% of the basic, and suitable changes may have been made to the supplementary allowances.