Hello,
My organization is thinking to adopt an idea where the Management is saying not to give the break up of the salary, instead to mention the monthly package as "Consolidated".. reason behind that one consultant has given this idea to avoid PF, ESI and other statutory benefits for the employees. My questions are :
1. Is it true that any amount (Monthly salary) if put in the bracket as "Consolidated" then employer can avoid to pay PF, ESIC etc...
2. If yes, then at the time of Gratuity, howit will b calculated. Same as if they want to deduct one day's salary what will be the thumb rule, and if employee entitle to get the compensation against leave how it will be calculated ??
3. Regarding PF, if any employee is getting basic +DA Rs.15,000/- then is it mandatory to provide the employee PF facility ?
4. Is the ESIC is necessary to maintan.. Consolidated salary if declared, then also one has to deduct the ESIC ?
Request Experts & Seniors , please guide me as early as possible. Pls do quote the rules & sections of such rules..
With best regards
My organization is thinking to adopt an idea where the Management is saying not to give the break up of the salary, instead to mention the monthly package as "Consolidated".. reason behind that one consultant has given this idea to avoid PF, ESI and other statutory benefits for the employees. My questions are :
1. Is it true that any amount (Monthly salary) if put in the bracket as "Consolidated" then employer can avoid to pay PF, ESIC etc...
2. If yes, then at the time of Gratuity, howit will b calculated. Same as if they want to deduct one day's salary what will be the thumb rule, and if employee entitle to get the compensation against leave how it will be calculated ??
3. Regarding PF, if any employee is getting basic +DA Rs.15,000/- then is it mandatory to provide the employee PF facility ?
4. Is the ESIC is necessary to maintan.. Consolidated salary if declared, then also one has to deduct the ESIC ?
Request Experts & Seniors , please guide me as early as possible. Pls do quote the rules & sections of such rules..
With best regards