Hi to all,
I want little more information about basic and ex-gratia. am working in a organisation since last 7 years. employer not increasing my basic so this will effect on my HRA and PF. Instead of that from the increment they are increasing other allowance and ex-gratia. we are asked to increase our basic instead of ex-gratia. my HR will says that we have to Maritain salary structure to the GOVT noms. now my gross salary is 26000.00 and my basic is 7000.00 and my ex-gratia also 26000.00. Please any one can help us how we have to approach my HR and employer to increase basic instead of ex-gratia.
Thanks.
kumarvkk

From India, Hyderabad
Hi,
1.Ex-Gratia is amount giving after completion of your employment with organization and its not bound any legality to pay Ex-Gratia.
2.When employer not applicable for Bonus in that such cases employer will decide to give Ex-Gratia.
3. If they are increasing only allowances accept basic then it will be considerable in PF audit.
4. There is no law to increase or decrease Basic but Basic should more than Minimum Wages of P.State.
.

From India, Mumbai
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