HR compliance - What precautions must be taken while giving compensation to employees?

What precautions should be take/ keep in mind while giving compensation to employees?

What is the nature of compensation you are talking about?
Post is not clear- salary, bonus, ad hoc payments?

One important aspect of communication is providing clarity. You cannot expect everybody to find out what is in your mind. As such, I would request you to provide a background to your query with some inputs.
Compensations vary from organisation to organisation, cadre to cadre, industry to industry and country to country. Please provide some details so that we may try to help you appropriately.

Mr Sundaram is absolutely right.
How could any one find the Solution without explaining the problem clearly?
You should mention what kind of compensation you're referring to.

Compensation can be divided into salary, benefits and incentives. While salary and benefits must be competitive, incentives are the most likely drivers of attracting and retaining the best employees in startups. There are three key types of incentives: bonuses, profit sharing and stock options.
If your question is clear, will explain briefly.
Best Regards,
Ambika

Please confirm the list of statutory compliance register to be maintain for Andhra Pradesh state.

Please be careful that in your attempt to establish a stress free/ easy compensation system, you do not end up being victim of a fraudulent situation.

For remuneration and healthy process, you should first read ID Act, Payment of Wage Act, Minimum wage Act, PF, Bonus, ESIC Act. You can pay according to that and before that you need to draft your standing order for working hours and shift planning.
You need to take care of all above aspect According to your question .

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Hi Rashmil ,
We can only give you a suggestion once we have the clarity of the subject being asked .
Best Regards
Shikha Sharma