Dearness Allowance Jpg Download - Pdf

ylawande
Please advise whether any act ( or any case law ) specifies that there must be DA component in the wage structure.
Alternately, the minimum wages has to have a DA component ? Can I not bifurcate minimum wage into BASIC+HRA only?
Anybody has contested this issue?
Any case reference is available?
I am asking this only in context of Industrial sector and not government organisation.
Please give a feedback.
katyana
Dear ylawande,
In Government Sector, Dearness allowance (D.A.) is part of a person's salary. D.A. is calculated as a percent of the basic salary. This amount is then added to the basic salary along with house rent allowance to get the total salary. Rates vary as per rural/urban areas etc.
But in private sector, there is no such law, where DA is mandatory. Since as i stated earlier , in private sector there is no such law of DA, so u can bifurcate minimum wages in BASIC and HRA.
KATYANA
hmchaturvedi
reply to Mr. KATYANA logic i have a question. If u consider minimum wages as sum of Basic + HRA on what amount you will deduct PF. Would u inclued HRA amount along with basic for pf deduction?
virajgovekar
No, only Basic will be considered for calculating PF. HRA will not be considered for the same.
Based on the company policies Minimum wage can also be a combination of Basic + DA + HRA. In this case also only Basic and DA will be considered for PF calculation.
Regards,
Viraj
katyana
Dear hmchaturvedi,
You can divide Minimum wages into BASIC+DA+HRA. Mr. Viraj has cleared the doubt. As we all know that , in private sector organisation, there is no such concept of DA, so we cannot consider DA for calculation.
For the deduction of PF, u will consider BASIC ONLY AND NOT HRA.
KATYANA
yogeshvar
dear friends,
it is not like that. i have referred a case of haryana regarding bifurcating minimum wages into basic +conveyance or hra etc.
court said that you can not bifurcate the minimum wage into basic + conv. and it is subterfuge in order to avoid statutory liability of PF. so minimum wages means basic only (see the document).... now i want to know that is there any law that we must have to pay DA with basic ?
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singhmamta
dear friends
As per attached details plz suggest for calculation of dearness allowness.
Thanks
Mamta Singh
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ramneet.s
In Tamil Nadu in particular is there a rule that DA has to compulsorily be a part of the salary structure (for the Pvt Companies) ?
Pls. suggest ..
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