Respected Seniors and fellow Colleagues,
Greetings, I need you all to participate in this post regarding the bifurcation of emoluments for hirings done for the contract period. With my employers in the healthcare setup, it's being discussed to hire full-time MBBS doctors on a contract period of 6 months and renew the same subject to their work performance.
Bifurcation of Emoluments for Contract Hirings
Can we break their pay into basic, HRA, conveyance, and other such components, or can we make a consolidated pay of a sum amount to be paid per month?
Request you all for inputs.
From India, Delhi
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1Greetings, I need you all to participate in this post regarding the bifurcation of emoluments for hirings done for the contract period. With my employers in the healthcare setup, it's being discussed to hire full-time MBBS doctors on a contract period of 6 months and renew the same subject to their work performance.
Bifurcation of Emoluments for Contract Hirings
Can we break their pay into basic, HRA, conveyance, and other such components, or can we make a consolidated pay of a sum amount to be paid per month?
Request you all for inputs.
From India, Delhi
Acknowledge(0)Amend(0)
Emolument Breakup and New Labor Code Implications
As a general practice, the breakup of emoluments is done to accommodate statutory payments like ESI and PF. However, according to the new Labor Code, components such as HRA, Conveyance/Transport allowance, Commission, and OT payment shall be excluded from the definition of "wages" as per the PF Act and ESI. Consequently, the liability of both the employer and employee will be reduced.
Considerations for Newly Appointed MBBS Doctors
For a newly appointed MBBS-qualified doctor, the emoluments will, in any case, exceed 21,000/-. Given their appointment on a contract basis, initially for six months, it would be advisable to fix a consolidated salary.
From India, Aizawl
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As a general practice, the breakup of emoluments is done to accommodate statutory payments like ESI and PF. However, according to the new Labor Code, components such as HRA, Conveyance/Transport allowance, Commission, and OT payment shall be excluded from the definition of "wages" as per the PF Act and ESI. Consequently, the liability of both the employer and employee will be reduced.
Considerations for Newly Appointed MBBS Doctors
For a newly appointed MBBS-qualified doctor, the emoluments will, in any case, exceed 21,000/-. Given their appointment on a contract basis, initially for six months, it would be advisable to fix a consolidated salary.
From India, Aizawl
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