Legal Update – Changes to be done in Salary Structure
Dear All,
In accordance with the Notification of Wage Codes effective 21st November 2025. The Definition of Wages has been changed.
While we still wait for the rules to be published to get more clarity as there remains grey area on calculation of certain components which are excluded from Wages ie: Interest on Employer Share of Provident Fund, Gratuity, Overtime, etc., it will be imperative to make changes in the existing Salary Structure in line with the Codes.
These changes are necessary to incorporate as ESI has already issued circular which has been shared with you earlier.
We have enclosed a detailed document summarizing the inclusions & exclusions for your information & action.
– Please feel free to contact your Account executive with your queries on your existing structure & allow us a few days to revert on an individual basis.