Just an eye wash Dec-2019: Good news for salaried employees in India! (servicebloggers.com)

Just an eye wash Dec-2019: Good news for salaried employees in India!
Author: Pradeep  Date: Dec 2019.

According to cabinet media’s report, the central govt. of India is planning to include a new category of allowances in the salary of their employees. The new salary structure may be implemented from the next financial year 2020-2021. The new salary structure is expected to be launched across the country under the Minimum Wages Act 1948.

The government officials had started working on a new structure of salary and allowances since the Supreme Court verdict. Cabinet media reported, the industry has agreed to add a share of allowances to the basic salary of employees under certain conditions. It won’t be in favor of employee point of view still it’s beneficial for permanent employee.

Complaints from various sector trade unions:

 You may refer the publication shown below 2019 revised wages act 1948.

Courtesy: commercials

There were persistent complaints received by trade unions from employees of their respective sector that companies in their salary structure keep basic salaries low especially marine sector during this financial year 2019-2020 dramatically decreased their salary for junior ranks (who was not even provided with PF facility) further apprentices & other sectors employees are provide with less PF. As the basic salary of an employee is reduced, the money being added in the PF account also gets reduced. However, as per the new rules, all allowances will be added to the basic salary of the employee working only in India. As a result, companies will have to deposit more money in PF accounts. This will eventually increase the PF amount of employees, (Note: while the salaries being paid to the employee every month will get reduced).

The industry has asked the government to clarify the category of allowances for different sectors so that allowances are added to the basic salary accordingly. The industry has also demanded that the new structure of salary should be implemented simultaneously in all sectors.

Once, the salary structure released by the government will update you with the same in .JPG or .PDF file. Until then any more information heard by visitors in coming days are requested to comment. So, that all other viewers will be updated & benefited.