Hi all,
Can anybody guide me on whether there is a government guideline under the Karnataka Shops and Commercial Establishments Act for the minimum basic salary? Here, I am not referring to minimum wages. The question pertains to the minimum basic salary for employees. What percentage of the total salary should be allocated as basic salary? Is there a rule stipulating that the minimum basic salary should be 50% of the total or gross salary?
Thanks,
From India, Bangalore
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4Can anybody guide me on whether there is a government guideline under the Karnataka Shops and Commercial Establishments Act for the minimum basic salary? Here, I am not referring to minimum wages. The question pertains to the minimum basic salary for employees. What percentage of the total salary should be allocated as basic salary? Is there a rule stipulating that the minimum basic salary should be 50% of the total or gross salary?
Thanks,
From India, Bangalore
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In my opinion Act does not speak about quantum of basic salary.
From India, Thane
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From India, Thane
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Basic Salary is the integral part of Minimum Wages. Mr. Gera rightly said, quantum us Basic Salary isn’t scripted in Act.
From India, Mumbai
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From India, Mumbai
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Dear Srinath Sai Ram, In my opinion basic salary should be 60% of total wages and 20% HRA balance other allowances..... K.Jayaraman
From India, Karaikal
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From India, Karaikal
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As per the law, you need to follow the minimum wages applicable to your state. There is no other specification of a percentage to be followed for the basic in gross salary. Also, it is mostly followed in the market to take an average of 50-60% of the gross salary while calculating the basic salary.
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