Salary Restructuring Queries
a) We are in the process of salary restructuring. I have formulated Basic 45% + HRA (40% of Basic) + conveyance allowance Rs. 1600/month (Fixed) + Miscellaneous/special allowance Rs. 1250/month (Fixed). Is this correct? And is it mandatory to mention DA?
b) Is EPF covered for all the salary components? As per norms, Basic + DA will be considered for EPF wages. For example, if an employee is getting a salary of Rs. 26,000 (with total Basic + DA being Rs. 13,000 and the remaining components Rs. 13,000), do we need to pay EPF for all the components?
c) In March 2018, we paid EPF gross wages as Rs. 35,000 with a ceiling amount of Rs. 15,000. In the salary restructure, gross wages would be Rs. 28,500 with a ceiling amount of Rs. 15,000. Are there any problems that could arise from EPFO?
d) As per the Factories Act 1948, what are the paid leave norms for workers/staff/probation staff categories?
These clarifications would be helpful for us.
a) We are in the process of salary restructuring. I have formulated Basic 45% + HRA (40% of Basic) + conveyance allowance Rs. 1600/month (Fixed) + Miscellaneous/special allowance Rs. 1250/month (Fixed). Is this correct? And is it mandatory to mention DA?
b) Is EPF covered for all the salary components? As per norms, Basic + DA will be considered for EPF wages. For example, if an employee is getting a salary of Rs. 26,000 (with total Basic + DA being Rs. 13,000 and the remaining components Rs. 13,000), do we need to pay EPF for all the components?
c) In March 2018, we paid EPF gross wages as Rs. 35,000 with a ceiling amount of Rs. 15,000. In the salary restructure, gross wages would be Rs. 28,500 with a ceiling amount of Rs. 15,000. Are there any problems that could arise from EPFO?
d) As per the Factories Act 1948, what are the paid leave norms for workers/staff/probation staff categories?
These clarifications would be helpful for us.