Dear HR Professionals & Seniors,
I want to know which government (State/Central) approved CTC (Cost To Company).
If you have any gazette notification for the same, please provide me.
Presently, all employers are hiring employees on a CTC Basis.
Employers are not providing any bonuses, incentives, increments, gratuity, compensation, overtime double wages, holiday double wages to employees, and deducting PF and ESI amounts from the employers' part also from employees' salaries.
Is this considered CTC?
Does CTC violate the Payment of Gratuity Act, 1972, Payment of Bonus Act, 1965, ESI Act, 1948, EPF & Misc. Prov. Act, 1952, The Workmen's Compensation Act, 1923, Factories Act, 1948, Payment of Wages Act, 1936, Industrial Employment (Standing Orders) Act, 1946, Minimum Wages Act, 1948, Equal Remuneration Act, 1976, etc.?
Please clarify who approved the CTC.
What are the particulars like Basic, DA, HRA, Travel allowances, LTA, Extra - Gratia, etc., included in CTC?
Please clarify.
Thanks with Regards,
Thirumurugan
From India, Hyderabad
Acknowledge(0)
Amend(0)
36I want to know which government (State/Central) approved CTC (Cost To Company).
If you have any gazette notification for the same, please provide me.
Presently, all employers are hiring employees on a CTC Basis.
Employers are not providing any bonuses, incentives, increments, gratuity, compensation, overtime double wages, holiday double wages to employees, and deducting PF and ESI amounts from the employers' part also from employees' salaries.
Is this considered CTC?
Does CTC violate the Payment of Gratuity Act, 1972, Payment of Bonus Act, 1965, ESI Act, 1948, EPF & Misc. Prov. Act, 1952, The Workmen's Compensation Act, 1923, Factories Act, 1948, Payment of Wages Act, 1936, Industrial Employment (Standing Orders) Act, 1946, Minimum Wages Act, 1948, Equal Remuneration Act, 1976, etc.?
Please clarify who approved the CTC.
What are the particulars like Basic, DA, HRA, Travel allowances, LTA, Extra - Gratia, etc., included in CTC?
Please clarify.
Thanks with Regards,
Thirumurugan
From India, Hyderabad
Acknowledge(0)Amend(0)
Dear HR Professionals & Seniors,
I want to know which government (State/Central) approved CTC (Cost To Company).
If you have any gazette notification for the same, please provide me.
Presently, all employers are hiring employees on a CTC basis.
Employers are not providing any bonuses, incentives, increments, gratuity, compensation, overtime double wages, holiday double wages to employees, and deducting PF and ESI amounts from the employer's part also from the employee's salary.
Is this called CTC?
Is CTC violating The Payment of Gratuity Act, 1972, The Payment of Bonus Act, 1965, The ESI Act, 1948, The EPF & Misc. Prov. Act, 1952, The Workmen's Compensation Act, 1923, The Factories Act, 1948, The Payment of Wages Act, 1936, The Industrial Employment (Standing Orders) Act, 1946, The Minimum Wages Act, 1948, The Equal Remuneration Act, 1976, etc.?
Please clarify who approved the CTC?
What are the particulars like Basic, DA, HRA, Travel allowances, LTA, Extra - Gratia, etc., included in CTC?
Please clarify.
Thanks with Regards,
Thirumurugan
From India, Hyderabad
Acknowledge(0)Amend(0)
I want to know which government (State/Central) approved CTC (Cost To Company).
If you have any gazette notification for the same, please provide me.
Presently, all employers are hiring employees on a CTC basis.
Employers are not providing any bonuses, incentives, increments, gratuity, compensation, overtime double wages, holiday double wages to employees, and deducting PF and ESI amounts from the employer's part also from the employee's salary.
Is this called CTC?
Is CTC violating The Payment of Gratuity Act, 1972, The Payment of Bonus Act, 1965, The ESI Act, 1948, The EPF & Misc. Prov. Act, 1952, The Workmen's Compensation Act, 1923, The Factories Act, 1948, The Payment of Wages Act, 1936, The Industrial Employment (Standing Orders) Act, 1946, The Minimum Wages Act, 1948, The Equal Remuneration Act, 1976, etc.?
Please clarify who approved the CTC?
What are the particulars like Basic, DA, HRA, Travel allowances, LTA, Extra - Gratia, etc., included in CTC?
Please clarify.
Thanks with Regards,
Thirumurugan
From India, Hyderabad
Acknowledge(0)Amend(0)
I'm sorry for any confusion, but I am unable to access external links or specific URLs to review the content for spelling, grammar, or punctuation errors. However, if you provide the actual content or text here, I'd be happy to help with the corrections and formatting. Just paste the text directly in your message, and I'll assist you promptly.
From India, Hyderabad
Acknowledge(0)Amend(0)
From India, Hyderabad
Acknowledge(0)Amend(0)
The norm of Cost to Company has been in vogue for close to 15 to 20 years, if my understanding is correct.
Any which way, if the take-home salary is more than what is subscribed as per the Minimum Wages Act, who is to question the company?
Yes, this is a contentious issue. Let us see if seniors here are answering it.
From India, Chennai
Acknowledge(0)Amend(0)
Any which way, if the take-home salary is more than what is subscribed as per the Minimum Wages Act, who is to question the company?
Yes, this is a contentious issue. Let us see if seniors here are answering it.
From India, Chennai
Acknowledge(0)Amend(0)
Only the company fixes CTC. This helps the company to remain alert about the cost of establishment, budgeting, and cash flow for running the affairs of the company.
There is no role of the Government to play in fixing CTC. If violations of any law are observed, the employee or their union can appropriately take it up with the management, and in case of a dispute, the competent court of law.
From India, Delhi
Acknowledge(0)Amend(0)
There is no role of the Government to play in fixing CTC. If violations of any law are observed, the employee or their union can appropriately take it up with the management, and in case of a dispute, the competent court of law.
From India, Delhi
Acknowledge(0)Amend(0)
Hi all,
I work in a PSU. In recruitment advertisements, the approximate CTC amount for a particular post is shown, whereas the appointment letter shows the basic salary amount in a particular scale and other amounts given as per government norms in the organization.
Hence, based on my knowledge, there is no CTC system in Central/State/PSU/other government organizations.
Regards,
Sarma
From India, Hyderabad
Acknowledge(0)Amend(0)
I work in a PSU. In recruitment advertisements, the approximate CTC amount for a particular post is shown, whereas the appointment letter shows the basic salary amount in a particular scale and other amounts given as per government norms in the organization.
Hence, based on my knowledge, there is no CTC system in Central/State/PSU/other government organizations.
Regards,
Sarma
From India, Hyderabad
Acknowledge(0)Amend(0)
If you go through my posts about CTC, you will find that I used to repeatedly say that this is only a practice and has no legal backing. It is okay in one way, that by declaring CTC, the employer is showcasing his offer in a better way so that he can attract good candidates. At the same time, if you fall for this CTC unknowingly, then you are stuck.
Please follow the link [Madhu.T.K: CTC Vs BTC](http://madhu-t-k.blogspot.in/2010/02/ctc-vs-btc.html)
Madhu.T.K
From India, Kannur
Acknowledge(0)Amend(0)
Please follow the link [Madhu.T.K: CTC Vs BTC](http://madhu-t-k.blogspot.in/2010/02/ctc-vs-btc.html)
Madhu.T.K
From India, Kannur
Acknowledge(0)Amend(0)
Dear PSDHINGRA,
If an employer is not providing any bonus, incentives, increments, gratuity, compensation, overtime double wages, holiday double wages to employees, and deducting PF and ESI amounts of the employer's part also from employees' salaries, is this correct in all circumstances?
Simply put, the employer is stating that they have recruited you (the employee) on a CTC basis. All components such as Basic, DA, HRA, Travel allowances, LTA, Extra-Gratia, Bonus, Gratuity, etc., are included in that CTC. The employer cannot pay extra apart from your monthly salary in any situation. Is this correct? Additionally, they are deducting PF and ESI amounts from the employer's part from employees' salaries.
Does this not violate any labor laws of India (The Payment of Gratuity Act, 1972, Payment of Bonus Act, 1965, ESI Act, 1948, EPF & Misc. Prov. Act, 1952, The Workmen's Compensation Act, 1923, Factories Act, 1948, Payment of Wages Act, 1936, Industrial Employment (Standing Orders) Act, 1946, Minimum Wages Act, 1948, Equal Remuneration Act, 1976, Contract Labour Act, Maternity Benefit Act, etc.)?
If the employer is recruiting all employees on a CTC basis, what is the use of the aforementioned Indian labor laws?
If an employer is not spending even one rupee towards employees except for the employees' monthly salary, can this be called CTC?
Thanks with Regards,
T. Thirumurugan
From India, Hyderabad
Acknowledge(0)Amend(0)
If an employer is not providing any bonus, incentives, increments, gratuity, compensation, overtime double wages, holiday double wages to employees, and deducting PF and ESI amounts of the employer's part also from employees' salaries, is this correct in all circumstances?
Simply put, the employer is stating that they have recruited you (the employee) on a CTC basis. All components such as Basic, DA, HRA, Travel allowances, LTA, Extra-Gratia, Bonus, Gratuity, etc., are included in that CTC. The employer cannot pay extra apart from your monthly salary in any situation. Is this correct? Additionally, they are deducting PF and ESI amounts from the employer's part from employees' salaries.
Does this not violate any labor laws of India (The Payment of Gratuity Act, 1972, Payment of Bonus Act, 1965, ESI Act, 1948, EPF & Misc. Prov. Act, 1952, The Workmen's Compensation Act, 1923, Factories Act, 1948, Payment of Wages Act, 1936, Industrial Employment (Standing Orders) Act, 1946, Minimum Wages Act, 1948, Equal Remuneration Act, 1976, Contract Labour Act, Maternity Benefit Act, etc.)?
If the employer is recruiting all employees on a CTC basis, what is the use of the aforementioned Indian labor laws?
If an employer is not spending even one rupee towards employees except for the employees' monthly salary, can this be called CTC?
Thanks with Regards,
T. Thirumurugan
From India, Hyderabad
Acknowledge(0)Amend(0)
Mr. Thirumurugan,
Merely raising an academic question without discussing the real problem cannot solve your issue, if there is any. For example, you have queried, "who approved the CTC," referencing various employment laws such as the Payment of Gratuity Act, 1972, Payment of Bonus Act, 1965, ESI Act, 1948, EPF & Misc. Prov. Act, 1952, The Workmen's Compensation Act, 1923, Factories Act, 1948, Payment of Wages Act, 1936, Industrial Employment (Standing Orders) Act, 1946, Minimum Wages Act, 1948, Equal Remuneration Act, 1976, etc.
Your primary question, "who approved the CTC," has already been addressed by the members.
When you assume that all these laws have been violated, the question that arises is: How can all these laws be flouted simultaneously by CTC? It would have been helpful if you could provide examples illustrating how you perceive that all these laws have been violated by establishing CTC.
If you have a personal issue, it would be more beneficial to discuss it in detail to receive appropriate feedback from the members based on their knowledge and experience.
While there may be violations of the law, when you accept the CTC as outlined in your offer or appointment letter and do not take legal action to challenge any alleged violations, who has the authority to determine it as illegal? It is the employees or the employee union who should raise concerns either with the management or in a court of law by identifying specific violations. Merely stating that something is illegal, as in, "CTC Is Violating The Payment Of Gratuity Act, 1972, Payment Of Bonus Act, 1965, ESI Act, 1948, EPF & Misc. Prov. Act, 1952, The Workmen's Compensation Act, 1923, Factories Act, 1948, Payment Of Wages Act, 1936, Industrial Employment (Standing Orders) Act, 1946, Minimum Wages Act, 1948, Equal Remuneration Act, 1976, etc.," without concrete evidence, does not serve the interests of individuals or employees in general.
It is advisable to state the actual facts clearly instead of needlessly prolonging the discussion, which may lead to misunderstandings and confusion among the members.
From India, Delhi
Acknowledge(0)Amend(0)
Merely raising an academic question without discussing the real problem cannot solve your issue, if there is any. For example, you have queried, "who approved the CTC," referencing various employment laws such as the Payment of Gratuity Act, 1972, Payment of Bonus Act, 1965, ESI Act, 1948, EPF & Misc. Prov. Act, 1952, The Workmen's Compensation Act, 1923, Factories Act, 1948, Payment of Wages Act, 1936, Industrial Employment (Standing Orders) Act, 1946, Minimum Wages Act, 1948, Equal Remuneration Act, 1976, etc.
Your primary question, "who approved the CTC," has already been addressed by the members.
When you assume that all these laws have been violated, the question that arises is: How can all these laws be flouted simultaneously by CTC? It would have been helpful if you could provide examples illustrating how you perceive that all these laws have been violated by establishing CTC.
If you have a personal issue, it would be more beneficial to discuss it in detail to receive appropriate feedback from the members based on their knowledge and experience.
While there may be violations of the law, when you accept the CTC as outlined in your offer or appointment letter and do not take legal action to challenge any alleged violations, who has the authority to determine it as illegal? It is the employees or the employee union who should raise concerns either with the management or in a court of law by identifying specific violations. Merely stating that something is illegal, as in, "CTC Is Violating The Payment Of Gratuity Act, 1972, Payment Of Bonus Act, 1965, ESI Act, 1948, EPF & Misc. Prov. Act, 1952, The Workmen's Compensation Act, 1923, Factories Act, 1948, Payment Of Wages Act, 1936, Industrial Employment (Standing Orders) Act, 1946, Minimum Wages Act, 1948, Equal Remuneration Act, 1976, etc.," without concrete evidence, does not serve the interests of individuals or employees in general.
It is advisable to state the actual facts clearly instead of needlessly prolonging the discussion, which may lead to misunderstandings and confusion among the members.
From India, Delhi
Acknowledge(0)Amend(0)
Dear Thirumurugan,
CTC is an abbreviation for COST TO COMPANY. This naturally includes every rupee spent by the organization (Company) towards a particular employee.
Thus, while calculating CTC, each and every payment; whether it is a percentage of PF, ESIC (Employers' share), Gratuity, including any other welfare payments, is taken into account. CTC is merely a term exactly depicting the cost to the company for hiring a particular position. In other words, all lawful, ex-gratia, and other willful payments made or to be made in respect of a particular employee/position constitute CTC. Hence merely using the term CTC does not violate any act.
Having clearly understood this, there should not be any more confusion.
Rgds,
Arun Dixit.
9420696660
020 2437 6185
Acknowledge(0)Amend(0)
CTC is an abbreviation for COST TO COMPANY. This naturally includes every rupee spent by the organization (Company) towards a particular employee.
Thus, while calculating CTC, each and every payment; whether it is a percentage of PF, ESIC (Employers' share), Gratuity, including any other welfare payments, is taken into account. CTC is merely a term exactly depicting the cost to the company for hiring a particular position. In other words, all lawful, ex-gratia, and other willful payments made or to be made in respect of a particular employee/position constitute CTC. Hence merely using the term CTC does not violate any act.
Having clearly understood this, there should not be any more confusion.
Rgds,
Arun Dixit.
9420696660
020 2437 6185
Acknowledge(0)Amend(0)Engage with peers to discuss and resolve work and business challenges collaboratively. Our AI-powered platform, features real-time fact-checking, peer reviews, and an extensive historical knowledge base. - Register and Log In.
Central-Governm ent- of-India-Holida y-List 2016.pdf
Central-Governm ent- of-India-Holida y-List 2016-page-001.j pg