The 8th Pay Commission has not yet released official salary slabs. (Image: Unsplash) Show Quick Read Summary is AI Generated. Newsroom Reviewed

The implementation of the four labour codes has revived questions about how salaries will be structured and whether employees’ take-home pay will fall when the new definition of wages takes effect.

The key concern comes from the rule that at least 50% of an employee’s total remuneration will be counted as wages for the purpose of calculating statutory deductions.

Until now, companies typically kept the basic salary at a lower proportion of total cost-to-company (CTC) and used allowances to form the rest of the pay structure. Employee Provident Fund (EPF) contributions are based on basic pay, with 12% contributed by the employee and 12% by t

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