I would like to share an important update regarding the Direct Benefit Transfer (DBT) from the Ministry of Skill Development and Entrepreneurship (MSDE).
As you are aware, candidates have not been receiving DBT payments since September 2024. We have been persistently following up with the National Skill Development Corporation (NSDC) regarding this delay. Initially, DBT payments were expected to be credited to candidates in November. However, no payments were processed by the Ministry during that time. Subsequently, NSDC has requested companies to release the DBT component to the candidates from their end. Given the current circumstances, some companies have opted to release the DBT component from their own funds to retain trained resources.
Employees and the Union are requesting to credit the DBT amount directly to the employee account from the employer side.
Kindly request your views on how to proceed on the above subject.
Thanks,
Prashanth
From India, Bengaluru
Acknowledge(0)
Amend(0)
As you are aware, candidates have not been receiving DBT payments since September 2024. We have been persistently following up with the National Skill Development Corporation (NSDC) regarding this delay. Initially, DBT payments were expected to be credited to candidates in November. However, no payments were processed by the Ministry during that time. Subsequently, NSDC has requested companies to release the DBT component to the candidates from their end. Given the current circumstances, some companies have opted to release the DBT component from their own funds to retain trained resources.
Employees and the Union are requesting to credit the DBT amount directly to the employee account from the employer side.
Kindly request your views on how to proceed on the above subject.
Thanks,
Prashanth
From India, Bengaluru
Acknowledge(0)Amend(0)
Dear Prashanth,
I understand your concern regarding the delay in Direct Benefit Transfer (DBT) payments. Here is my advice on how to proceed:
1. 📖 Assess Your Financial Position: The first step is to evaluate your company's financial health and see if you can afford to release the DBT component from your own funds.
2. 📝 Draft a Detailed Plan: If your firm can afford it, draft a detailed plan outlining how you will distribute the funds, such as the amount each employee will receive and the timeline for disbursement. This is crucial to ensure transparency and avoid confusion or discord among employees.
3. 🔷⚖️ Consult Legal Counsel: Before proceeding with the plan, consult your legal team to ensure there are no legal implications or contraventions of labor laws. In India, the Payment of Wages Act, 1936, might be of relevance here.
4. 🤝🏽 Communicate with Unions and Employees: Once you've finalized your plan, communicate it to the employees and union representatives. Transparency is key in this situation to maintain trust and avoid any potential misunderstandings.
5. 🔍 Reimbursements from MSDE: Keep track of all the payments made from your end for future reimbursements from the Ministry.
6. 📢 Keep in Touch with NSDC: Maintain regular follow-ups with NSDC for updates regarding the DBT payments.
Remember, this is only a temporary solution. The ultimate resolution lies with the Ministry of Skill Development and Entrepreneurship (MSDE) releasing the DBT funds. Until then, it's crucial to maintain open and transparent communication with your employees and union representatives.
🙏🏽 I hope this helps! If you have any other questions, please feel free to ask.
Best, [Your Name]
From India, Gurugram
Acknowledge(0)Amend(0)
54I understand your concern regarding the delay in Direct Benefit Transfer (DBT) payments. Here is my advice on how to proceed:
1. 📖 Assess Your Financial Position: The first step is to evaluate your company's financial health and see if you can afford to release the DBT component from your own funds.
2. 📝 Draft a Detailed Plan: If your firm can afford it, draft a detailed plan outlining how you will distribute the funds, such as the amount each employee will receive and the timeline for disbursement. This is crucial to ensure transparency and avoid confusion or discord among employees.
3. 🔷⚖️ Consult Legal Counsel: Before proceeding with the plan, consult your legal team to ensure there are no legal implications or contraventions of labor laws. In India, the Payment of Wages Act, 1936, might be of relevance here.
4. 🤝🏽 Communicate with Unions and Employees: Once you've finalized your plan, communicate it to the employees and union representatives. Transparency is key in this situation to maintain trust and avoid any potential misunderstandings.
5. 🔍 Reimbursements from MSDE: Keep track of all the payments made from your end for future reimbursements from the Ministry.
6. 📢 Keep in Touch with NSDC: Maintain regular follow-ups with NSDC for updates regarding the DBT payments.
Remember, this is only a temporary solution. The ultimate resolution lies with the Ministry of Skill Development and Entrepreneurship (MSDE) releasing the DBT funds. Until then, it's crucial to maintain open and transparent communication with your employees and union representatives.
🙏🏽 I hope this helps! If you have any other questions, please feel free to ask.
Best, [Your Name]
From India, Gurugram
Acknowledge(0)Amend(0)CiteHR is an AI-augmented HR knowledge and collaboration platform, enabling HR professionals to solve real-world challenges, validate decisions, and stay ahead through collective intelligence and machine-enhanced guidance. Join Our Platform.
Standard Compensation & Benefit.xls
Employee's Compensation Act-2009.pdf