Dear All
I am into fast food chain
I want to increase the in hand salary for my employees who are covered under ESI policies
For that I have to reduce the basic pay
In my company most of the employees are in the pay range of 4000-7000 K per month
Can any one suggest me a pay structure where i can give maximum in hand salary to the employees after ESI and PF deductions?
What is the lowest limit for basic salary as a percentage of Gross?

Friends pls help me
Deepika

Dear Deepika,

Greetings!

Rs.2209/- is the minimum basic pay u have to give for an employee. Better idea is do not give salary in Spilt up instead u can go for Consolidated pay method, where ESI & PF will not be deducted. As per Workmens compensation Act, take Group Insurance.

Its my view. If it is wrong give the correct answer.

Rgds,
Suresh