I hope you are aware that by breaking up the salary as above, you are in violation of minimum wages act. You can be asked by the authorities to pay the difference as back wages along with interest. The minimum wages is on basic+da+hra basis. You will end up with a higher risk
From India, Mumbai
2396From India, Mumbai
i know what i wrote. but do you know how many employers are giving the minimum wages.
Both the office are independent of each other. EPFO can never force the employer to make him pay the minimum wage.
How many cases you have seen for the violation of minimum wage in the court.??
Labour office does not a shit about the minimum wage. (i am not saying you are wrong but i have seen more then half does not pay minimum wage to the employee)
From India, Phagwara
Both the office are independent of each other. EPFO can never force the employer to make him pay the minimum wage.
How many cases you have seen for the violation of minimum wage in the court.??
Labour office does not a shit about the minimum wage. (i am not saying you are wrong but i have seen more then half does not pay minimum wage to the employee)
From India, Phagwara
My firm specialises in legal compliance audit.
I know how many do and how many do not give minimum wages.
I also know how many are paying it wrong without realising the risk they are carrying.
I also know a lot of companies that are paying above minimum wages to get good quality of workers. In many cases, exports are lost on account of this noncompliance. Also large oem buyers have started to insist on compliance on this by vendors.
Labour department and PF department are in many states working together on enforcing minimum wages. The result is being seen with matters taken up by high courts and the decisions being given by them. A look at what is happening in MP for example.....
By trying to save a few hundred rupees per worker per month you are taking the risk of penalty, back wages and interest in differential wages. Just a single complain is enough to initiate a long litigation which again will cost you a lot of money.
From India, Mumbai
I know how many do and how many do not give minimum wages.
I also know how many are paying it wrong without realising the risk they are carrying.
I also know a lot of companies that are paying above minimum wages to get good quality of workers. In many cases, exports are lost on account of this noncompliance. Also large oem buyers have started to insist on compliance on this by vendors.
Labour department and PF department are in many states working together on enforcing minimum wages. The result is being seen with matters taken up by high courts and the decisions being given by them. A look at what is happening in MP for example.....
By trying to save a few hundred rupees per worker per month you are taking the risk of penalty, back wages and interest in differential wages. Just a single complain is enough to initiate a long litigation which again will cost you a lot of money.
From India, Mumbai
In abeyance awaiting final verdict of the court. The matter does not end here and risks stay, in my opinion
From India, Mumbai
From India, Mumbai
Community Support and Knowledge-base on business, career and organisational prospects and issues - Register and Log In to CiteHR and post your query, download formats and be part of a fostered community of professionals.
Splitting of minimum wages for PF in abeyance (1).pdf
Minimum Wages, ESI & PF.pps