Friends, Please clarify the following for employees from IT (Information Technology/Software) industry :
- Can an employer limit the basic to just Rs.15,000 even for an employee with CTC of 12L by paying the rest under 'Special Allowance' category so that the burden on gratuity for the employer be reduced? Is this not illegal?
- Is there a provision for an employee drawing a CTC of Rs.12L, to pay more than 12% of the basic of Rs.15,000 (Rs.1,800) as employee contribution for PF. In such a case, is the employer obligated to match employee's contribution?
- Can an employer limit the basic to just Rs.15,000 even for an employee with CTC of 12L by paying the rest under 'Special Allowance' category so that the burden on gratuity for the employer be reduced? Is this not illegal?
- Is there a provision for an employee drawing a CTC of Rs.12L, to pay more than 12% of the basic of Rs.15,000 (Rs.1,800) as employee contribution for PF. In such a case, is the employer obligated to match employee's contribution?