Concept Of Wage & Salary Administration
This document was uploaded by user and they confirmed that they have the permission to share it. If you are author or own the copyright of this book, please report to us by using this DMCA report form. Report DMCA
Overview
Download & View Concept Of Wage & Salary Administration as PDF for free.
More details
- Words: 346
- Pages: 8
CONCEPT OF WAGE & SALARY ADMINISTRATION By, Amit Wani Roll No.:- 58
Definition of Wages & Salary • Base wages and salaries are defined as the hourly, weekly and monthly pay that employees receive for their work in and Organization
Principles Governing Compensation Administration • • • • • • •
Maintaining Equity Maintaining Competitiveness Matching Employee Expectations Reinforcing positive employee behavior Eliminating any discrepancies Devising a system that is most efficient Optimization of management and employee interests • Maintaining good IR and harmony
Purpose of Wage & Salary • • • •
Attracting talented resources Retaining and motivating employees Financial Management Legal Requirements
Concepts of Different Wages MINIMUM WAGES • It is amount of remuneration, which is just sufficient to enable an average worker to fulfill all his obligations. • It is applicable to workers across the country and is governed by the Minimum Wages Act 1948 • The law states that an employer who cannot pay the minimum wage has no right to engage labour and no justification to run a firm • The current minimum wage in India is Rs. 66 per day to all the workers in scheduled employment • It is revised every 5 yrs
Concepts of Different Wages FAIR WAGES • Workers performing work of equal skills, difficulty or unpleasantness should receive equal or fair wages • The basis of fair wage is the minimum wage, within the capacity of the organization to pay • Fair wage should be related to the productivity of the labour • It should match the prevailing rates of wages in the same or neighboring localities • It should reflect the level of national income and its distribution
Concepts of Different Wages LIVING WAGES • Living wages should enable the male earner to provide for himself and his family, not only the bare essentials of food, clothing and shelter, but also a measure of frugal comfort including: ▫ ▫ ▫ ▫
Education for the children Protection against ill-health Requirements of essential social needs A Measure of insurance against the more important misfortunes including old age
Definition of Wages & Salary • Base wages and salaries are defined as the hourly, weekly and monthly pay that employees receive for their work in and Organization
Principles Governing Compensation Administration • • • • • • •
Maintaining Equity Maintaining Competitiveness Matching Employee Expectations Reinforcing positive employee behavior Eliminating any discrepancies Devising a system that is most efficient Optimization of management and employee interests • Maintaining good IR and harmony
Purpose of Wage & Salary • • • •
Attracting talented resources Retaining and motivating employees Financial Management Legal Requirements
Concepts of Different Wages MINIMUM WAGES • It is amount of remuneration, which is just sufficient to enable an average worker to fulfill all his obligations. • It is applicable to workers across the country and is governed by the Minimum Wages Act 1948 • The law states that an employer who cannot pay the minimum wage has no right to engage labour and no justification to run a firm • The current minimum wage in India is Rs. 66 per day to all the workers in scheduled employment • It is revised every 5 yrs
Concepts of Different Wages FAIR WAGES • Workers performing work of equal skills, difficulty or unpleasantness should receive equal or fair wages • The basis of fair wage is the minimum wage, within the capacity of the organization to pay • Fair wage should be related to the productivity of the labour • It should match the prevailing rates of wages in the same or neighboring localities • It should reflect the level of national income and its distribution
Concepts of Different Wages LIVING WAGES • Living wages should enable the male earner to provide for himself and his family, not only the bare essentials of food, clothing and shelter, but also a measure of frugal comfort including: ▫ ▫ ▫ ▫
Education for the children Protection against ill-health Requirements of essential social needs A Measure of insurance against the more important misfortunes including old age
Related Documents
Concept Of Wage & Salary Administration
June 2020 4
Wages And Salary Administration
May 2020 4
Chapter 7 Wage And Salary Administration.docx
November 2019 3
Salary
June 2020 17