Labor Code Rules: With the increase in contribution to gratuity and PF, the amount received after retirement will also increase.
New Delhi. The Modi government is going to take an important decision for crores of employees. It is reported that from October 1, the Modi government at the Center can implement the Labor Code Rules. According to media reports, the government wanted to implement the rules of the Labor Code from July 1, but due to the unpreparedness of the state governments, the target has been set to implement it from October 1. If the rules of the Labor Code are considered from October 1, then the basic salary of the employees can increase from Rs 15000 to Rs 21000.
Salary may change
In fact, the labor unions were demanding that the minimum basic salary of the employees should be increased from Rs 15000 to Rs 21000 regarding the rules of the Labor Code. If this happens then your salary will increase. According to the new draft rule, the basic pay should be 50% or more of the total salary. This will change the pay structure of most of the employees. With the increase in basic salary, the amount deducted for PF and gratuity will increase because the money going into it is in proportion to the basic salary. If this happens, the salary coming to your home will decrease but the PF and gratuity money received on retirement will increase. Labor unions were opposing this and after these new rules, they were demanding to increase the minimum basic salary of the employees to Rs 21000.
By changing several rules related to salary
According to the Labor Ministry, the government wanted to notify the July 1, the rules of the Labor Code, but states which sought to apply these rules and time Because they were postponed till 1 October. Now the Labor Ministry and the Modi government want to notify the rules of the Labor Code by October 1. Parliament on August 2019 changed the rules related to three labor codes, industrial relations, safety of work, health and working conditions and social security. These rules were passed on September 2020.
Money received on retirement will increase
With the increase in contribution to gratuity and PF, the amount received after retirement will increase. With the increase in PF and gratuity, the cost of companies will also increase. Because they too will have to contribute more to the PF for the employees. These things will also affect the balance sheet of the companies.
No doubt this what happens when we have inexperienced and rash people at power. Due to Ache dins industries and businesses are closing There seems to be no Govt. for the welfare of the people. Govt. seems to be bothered more about selling its assets to their crony capitalists. Country is in very pathetic situation with no business doing well and businesses are closing one after the other. Draconian taxes and highest cost of living with no scope for earning decent incomes. This Dispensation is for taxing people to the brim and not for welfare measures.