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Wednesday, 9 December 2020

Important This is going to change your salary rule, it will affect millions of employees.

Important This is going to change your salary rule, it will affect millions of employees.


The rules of salary, PF and gratuity of employees are going to be changed from the month of April. The central government is planning to implement new compensation rules. Due to which the balance sheets of the companies will change. Due to these new rules, the salary slip of employees, provident fund, gratuity, salary will also change.


Determining the limit of allowance

The rule is part of a wage code passed by parliament last year. A new definition of celery is about to start from the next financial year. These rules determine the limit of allowance. Let us say that this should not be more than 50% of the total celery.


According to a report, most of the company's pay structure will change after these rules. PF contributions of both employees and the company will increase. Increasing PF contributions can reduce the celery in the hands of many executives.


The amount of gratuity will increase after retirement


Let us say that the amount of gratuity will increase after retirement. Gratuity is calculated on the basis of basic salary. In addition, increasing the contribution of PF and overpayment of gratuity may increase the cost of companies.

DETAILS READ IN GUJARATI ABP ASMITA NEWS

According to a report, a senior official said the new definition would change the way celery is structured. In many cases, the allowance is kept higher and the Social Security contribution is lower.



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