Preparation: HRA of employees may be reduced, taking into account changes in the structure of salaries Ministry of Labor

Business Desk, Amar Ujala, New Delhi

Published by: Deepak Chaturvedi
17 December 2021 10:30 AM Updated to IS

Summary

Companies can reduce HRA: According to a report, the Ministry of Labor may soon allow employers to make changes in the pay structure of employees, especially those who prefer to work from home permanently. Sources said the companies may exclude employee HRA.

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According to a report, the Ministry of Labor may soon allow employers to make changes in the pay structure of existing employees, especially those who choose to work from home permanently. According to sources, the change will reduce the Employees’ House Rent Allowance (HRA) portion and may increase the cost of reimbursement under infrastructure.

The Ministry of Labor is likely to issue orders soon
The report quoted a senior government official as saying that the Ministry of Labor could issue a standing order to redefine the terms of service. Employee HRA is likely to decline in the coming days. Especially employees who choose to work from home permanently. This is because the Ministry of Labor may soon allow employers to make changes to the pay structure of employees. A senior government official said the Ministry of Labor could issue a standing order to redefine the terms of service, the Economic Times reported.

Attention to employees working from home
The official said service conditions need to be redefined so that employee compensation is structured, taking into account the costs of working from home. Employees have to bear the cost of specific infrastructure such as electricity and WiFi and these should be part of the compensation structure. The official said the government was carefully considering all the existing options and some specific steps could be taken soon in this regard.

Range

According to a report, the Ministry of Labor may soon allow employers to make changes in the pay structure of existing employees, especially those who choose to work from home permanently. According to sources, the change will reduce the Employees’ House Rent Allowance (HRA) portion and may increase the cost of reimbursement under infrastructure.

The Ministry of Labor is likely to issue orders soon

The report quoted a senior government official as saying that the Ministry of Labor could issue a standing order to redefine the terms of service. Employee HRA is likely to decline in the coming days. Especially employees who choose to work from home permanently. This is because the Ministry of Labor may soon allow employers to make changes to the pay structure of employees. A senior government official said the Ministry of Labor could issue a standing order to redefine the terms of service, the Economic Times reported.

Attention to employees working from home

The official said service conditions need to be redefined so that employee compensation is structured, taking into account the costs of working from home. Employees have to bear the cost of specific infrastructure such as electricity and WiFi and these should be part of the compensation structure. The official said the government was carefully considering all the existing options and some specific steps could be taken soon in this regard.

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