SALARY AND WAGES ADMINISTRATION STRUCTURE IN EPCOS

Salary and wages administration structure of the EPCOS India Pvt. Ltd. mainly
depends upon,
1. Category
2. Grades
1. CATEGORY:
Category is mainly divided into four types,
Management
Staff
Workmen
Trainees
I. Management:
Management people are the professionals engaged for supervisory work and
commercial executives work of the company. These are basically Officers,
Executives, Deputy Manager, Senior Manager, President and Managing Director.
This Management Category is classified on the basis of Grades, starting from MC1
to MC9.
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II. Staff:
The Staff people are the clerical personnel working in commercial functions, stores.
These include Assistance, senior assistant etc. this category is classified into two
Grades:-
OE1
OE2
III. Workmen:
Average age of the workmen is 32 years. These are the operating hands on working
on shop floor for manufacturing activities of the company. Workmen are covered
under labour laws. There are254 workers, the qualifications of these workers are ITI
(Industrial Training Institute) and NCTVT (National Council for Technical
Vocational Training). All the engaged workmen are recruited after completing one
year training with the Company.
Workers are members of Nashik Workers Union, registered under the Trade Union
Act 1926 and is representing the permanent monthly rated workmen in Grade S, S0
and S1, in the factory of the company. A settlement dated 26 th October 2007 was in
existence between the parties, i.e. Nashik Workers Union and EPCOS India Pvt.
Ltd.
It is agreed that the total amount of Rs. 3100/- (Rupees Three Thousand One
Hundred only) over the operative period of this settlement as follows:
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Period
Rise
Given per
Month
Therein
Basic/
Adhoc
Basic per
Month
Therein
Allowances
per Month
Total per
Month
1.4.2007 to 31.3.2008 Rs.2400/- Rs.1200/- Rs1200/- Rs.2400/-
1.4.2008 to 31.3.2009 Rs.350/- Rs.175/- Rs.175/- Rs.350/-
1.4.2009 to 31.3.2010 Rs.350/- Rs.175/- Rs.175/- Rs.350/-
It is agreed between the parties that the quantum of benefits to be distributed over
various heads for a period of three years commencing from 1 st April 2007 and
ending on 31st March 2010.
IV. Trainee:
Trainee is the fresher student coming with the technical stroke commercial
background. These people are engaged to gain hands of working experience. The
company has full fledged training scheme for all these people. The company
offers systematic training plan for all these trainees. The Company recruits
different types of trainees like Technical Trainees, Graduate Commercial
Trainees, Management Trainees, Graduate Engineer Trainees, Diploma Engineer
Trainees, etc. The company offers training to these fresh graduates for the
duration of one year. The company offers stipend and learning allowances to all
engaged trainees. To meet with the needs of educational material and facilities, the
company also offers statutory benefits like Provident Fund and ESIC to the
trainees. After all successful training period, the company offers employment
opportunities are depend on all available vacancies.
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3. GRADES:
Grades are distributed to each employee on the basis of category.
Management
Staff
Worker
Trainees
I. MANAGEMENT :
Grade MC1, MC2 and MC3 - Officers and Executive, Senior Executives.
Grade MC4, MC5 and MC6 - Deputy Manager, Manager to Senior Manager
Grade MC7, MC8 and MC9 - Gm, Senior Gm, President
Grade DR – Managing Director
II. STAFF :
Grade OE1 - Assistant
Grade OE2 – Senior Assistant
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III. WORKER :
Grade S – Semiskilled Workers
Grade S0 – Skilled Workers
Grade S1 – Senior operator or Junior Engineer
IV. TRAINEES :
Technical Trainees – ITI
Graduate Commercial Trainees – Any Graduates
Management Trainees – MBA, MPM
Graduate Engineers Trainees – BE
Diploma Engineers Trainees – Diploma Engineers
SALARY ALLOWANCES GIVEN TO THE EMPLOYEES
I. MANAGEMENT AND STAFF:
A. PER MONTH:
Basic
House Rent Allowance
Medical Reimbursement
Supplementary allowance
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B. ANNUAL:
Leave Travel Allowance (LTA) – Annual Payment as per Grade
Bonus – Only for eligible employees, those having basic + DA less than Rs.
10,000
II. WORKMEN:
A. PER MONTH:
Basic
Variable Dearness Allowance (VDA)
House Rent Allowance (HRA)
Conveyance Allowance
News Paper Allowance
Washing Allowance
Education Allowance
Adhoc Basic
B. ANNUAL:
Bonus
Exgratia
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III. TRAINEES:
A) ANNUAL:
Stipend
Learning Allowance
FACILITIES PROVIDED TO THE EMPLOYEE:
1. Mediclaim facility for spouse and parents (For Staff, Management, Workmen)
2. Get-together – twice in a year
Get together with Family
Get together without family
3. Shoes, Aprons
4. Sweets distribution for each employee on Dasara and Diwali
5. Death relief scheme
6. Superannuation Scheme – Only for Management.
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STATUTARY REQUIREMENT
No employer is allowed to pay any employee ‘the compensation’, which is less than
the
prevailing rate prescribed under the ‘Minimum Wages Act 1948’. Compensation to
the
Directors of Public Ltd. Companies should be paid according to the provisions of the
Companies Act 1956. Apart from the legislations, following important legal
enactment’s
determines the amount of compensations:
The Minimum Wages Act, 1948
The Employee State Insurance Act, 1948
The Payment of Gratuity Act, 1972
The Employee Provident Fund And Miscellaneous Provisions Act, 1952
The Payment Of Wages Act,1936
The Factories Act, 1948
The Payment Of Bonus Act, 1965
The Factories Act, 1948 stipulates the amount of compensation to be paid in respect
of
overtime work.
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