Dear Ashwini,
Literally, " wages " is the consideration paid to a workman for the work done by him. It can be in kind or in cash or in both. But, the increasing replacement of barter system of transaction by the monetary system led to the predominant practice of payment of wages by cash. However, still the value of certain amenities provided by the employer on account of the nature of work like the value of free food is statutorily considered as wages. At the same time, certain payments under the head of "allowances" like travelling allowance, night shift allowance etc., are not statutorily considered as wages while certain others like dearness allowance, house rent allowance etc., form part of the wages. It depends upon the primary purpose to be achieved by any labor legislation applicable to the industry. Therefore, in all fairness, the employer is expected to structuralise the total wages payable to the employees into components in such a manner that it does not ends in deprivation of certain employment benefits both current and future for employment is different from engagement.
Your current structure takes out 50% of the earnings/salary/wages/ remuneration by the undefined nomenclature of "other allowances" while keeping just 30% as basic with no provision for adjustment against ever escalating cost of living that is called as dearness allowance. It will adversely affect the future benefits like gratuity, PF etc. Better, think over progressively and devise a wage structure in a reasonable manner that ensures long term employment benefits, reduction in your indirect commitments, contentment of employees as well as avoidance of unnecessary objections of statutory authorities like EPFO.