Salary Disparity and ESI Coverage: How Can Employers Address These Issues?

anandmathur
Hello, could you please suggest if the current employer has created salary disparity among employees, i.e., most employees have a CTC of 21,000K or more, while a few are receiving less than 21,000K (16,000 to 18,000K)?

Steps to diminish salary disparity

1. What would be the appropriate step to diminish the ongoing disparity?

ESI medical facility

2. What about the ESI medical facility, as the current employer stated, "We are providing a mediclaim policy to our employees, including those earning less than the Rs. 21,000K ceiling"?

Comparison of mediclaim policy and ESI coverage

3. Does the mediclaim policy compete with or fulfill the medical coverage area that the ESI department provides?

Short-term solution

4. Please suggest one short step/solution to provide to seekers.
Prashant B Ingawale
Hello, could you please suggest if the current employer has created salary disparity among the employees? Most employees have a CTC of 21,000K or more, while a few are getting less than 21,000K (16,000 to 18,000K).

Appropriate steps to diminish salary disparity

1. What would be the appropriate step to diminish the running disparity?

Are you HR or the owner of the organization?

2. What about the ESI medical facility? The current employee stated, “We are providing a mediclaim policy to our employees, including those earning less than the Rs. 21,000K ceiling.”

ESI is mandatory legislation, not optional

3. Does the mediclaim policy compete with or fulfill the area of medical coverage that the ESI department does?

No

4. Please suggest one short step/solution to provide to seekers.

Seekers?
Mr. Puri
Thank you, Prashant. I am related to the Accounts department.

One more doubt: Does the ESI ceiling wages rule (w.e.f. Jan 01, 2017 - Rs. 21,000/-) mandate providing basic wages (Rs. 21,000/-) to all employees?
Mr. Puri
Hello,

During the probation period, is the ESI Act regarding the ceiling of the basic salary of Rs. 21,000 applicable to an employee? If not, then why?

Please reply.
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