Can we pay only half or only basic salary in ML - private limited company with 40 employees in Karnataka

anjuru-chandra
The governments should have come out with a wage policy specific to Covid period keeping in view the difficulties of employers.

The policy should take into account factors such as

1. The impact of covid on sales and profits in comparison to previous years
2. Nature of product or service offered
3. The general subsistence level for employees/workers etc.

My personal view is a range shall be fixed such as not less than 50 percent but not more than 80 percent. This must be made applicable even to government employees.

Entire country should share the loss to exchequer. The money saved by not paying to government employees must be used to compensate ployees/labourers in private sector.

Though it is legal to expect that employers go strictly as per law during pandemic period, it doesn't sound practical keeping the ground realities in view.

In the absence of a specific policy there is possibility of industrial disputes adding to docket explosion in courts.

Implementation of awards and decrees strictly as per law will cause hardships to employers. At the same time, sustainability factor cannot be ignored. Minimum (subsistence) level wages must be assured and if even that is difficult, then arrange loans from banks at 4 percent, to the employees for which both the employer and government stand as guarantors.

As and when employer comes into a position to pay the salaries as per declared policy of government he can credit the amounts directly in to the loan accounts of employees.

Chandra Sekhar Anjuru,
Asst Professor,
Aurora Legal Sciences Academy, Hyderabad.
anjuru-chandra
The governments should have come out with a wage policy specific to Covid period keeping in view the difficulties of employers.

The policy should take into account factors such as

1. The impact of covid on sales and profits in comparison to previous years
2. Nature of product or service offered
3. The general subsistence level for employees/workers etc.

My personal view is a range shall be fixed such as not less than 50 percent but not more than 80 percent. This must be made applicable even to government employees.

Entire country should share the loss to exchequer. The money saved by not paying to government employees must be used to compensate employees/labourers in private sector.

Though it is legal to expect that employers go strictly as per law during pandemic period, it doesn't sound practical keeping the ground realities in view.

In the absence of a specific policy there is possibility of industrial disputes adding to docket explosion in courts.

Implementation of awards and decrees strictly as per law will cause hardships to employers. At the same time, sustainability factor cannot be ignored. Minimum (subsistence) level wages must be assured and if even that is difficult, then arrange loans from banks at 4 percent, to the employees for which both the employer and government stand as guarantors.

As and when employer comes into a position to pay the salaries as per declared policy of government he can credit the amounts directly in to the loan accounts of employees.

Chandra Sekhar Anjuru,
Asst Professor,
Aurora Legal Sciences Academy, Hyderabad.
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