How to Fix Salary Basic and Allowances
How to Fix Salary Basic and Allowances for newly hired office staff.
Qualification Based Salary: You can fix the salary based on Professional Qualification. Most of the companies also have grading system. They specify the grading based on qualification. For example for graduation they have 12th Grade and 14 for Master Qualifications. And they offer salary to new staff according to grades only and also offer increments as per grades. Like two increments for 12th Grade and three increments for 14 Grades and like wise.
Professional Experience Based Salary:
You can also fix the salary as per experience of the employee. For senior employee you must have to pay more salary than the lower experience staff.
Designation Based Salary:
Some time it is necessary to fix the salary as per designation of employee. For example if you are hiring two persons. One as manager and other as executive or assistant than you must have to pay more salary for the manager and less for the other post or junior post.
Work Load Based Salary:
Most of the labour or daily worker salaries are fixed on the basis of work load and efforts to complete work.
Working Hours Based Salary:
Most simple form to fix wages of daily worker or regular employees. Just pay per hour. This type of salary system mostly used in larger factories where large number of workers perform the same tasks like production units, stitching units etc.