Employee grievances- CTC structure

Hi friends,

Communication is very essential when an HR discuss about the salary package. I have come across many such grievances during my initial career. New joinee used to complain that the HR did not explain them about the salary structure before joining and now they feel that they are being cheated. One such employee recently posted such grievances in an HR forum. I tried to explain him the best I could. Here is the conversation.

Advice to HR: Never try to bring on board any information through misleading information and hiding the fact. Always carefully study CTC structure of the candidate and make offer according to that. By hiding the fact, you may succeed to hire a candidate but you cannot gain productivity from such employee and may loose soon too.

Your comments and corrections are welcome.
______________________________________________________________
Grievance from ABC:
Sir before joining my company they told me that i will received Rs.24923/- extra benefit at the time of Diwali which was deduct from my salary as under 
Bonus/ Exgratia* Rs.875/-pm
Leave encasement Rs. Rs.865/-pm
Gratuity** Rs. 337/- pm 
but now they refuse to give this amount. i receive only my bonus part i want to know Is leave encasement & Gratuity is part of CTC. In December there was only 2 EL in my account which was encased. then how leave encasement is part of CTC because it amount not fixed .My company hr misguide me in my previous company i am entitle for 31 days leave which was not part of my CTC.In my new company i am totaly in loss
Kindly guide me what can i do against this fraud.

Reference: http://www.citehr.com/439500-action-against-misguide-hr-department.html#post1988891 _______________________________________________________________
My reply:

Hi ,

It is a mistake to compare what you had in your previous company and what you are getting here.

There is no law for CTC (Cost to Company). Cost to company can include anything incurred on only you during your services with that particular organisation.
So it can include leave encashment, it may include your gratuity (as company has to pay it once you complete 5 years), may include your employer contribution to PF, leave encashment, ex-gratia or bonus, performance linked bonus, ESIC, Mediclaim premium, Sodexo vouchers and other benefits.
It depends on employer to employer how they want to make their CTC structure. Few adds gratuity, few not, few employers add employer contribution to PF, others not.

The wiser idea is, whenever you change your employer, before accepting offer go through the break up and check the different payment / payout and match with your existing package.
If you are getting more than your existing in your new organisation, you can accept that and if it is lesser, you should tell them to revise the package with documentary evidence.

By complaining this way, you will remain negative and unproductive as most of the time you will think the HR is "cheater"
It may be communication gap or may be lack of understanding. If HR has given you break up with offer letter and explained it to you and you have signed it, there is no question of cheating.

Leave encashment and other pay out depends on few factors. Leave encashment depend on total encashable leave you have in your accounts. HR might have assumed that if you will not utilise leaves, how much you will get.
It is always wiser to ask smart questions in the beginning rather than spoiling relationship at later stage.

Now, you can go through your previous organisation's [ay structure and match with the existing one. I hope you have written communication about your package expectation and everything. 

On the basis of this, you can put your grievances to HR that why you should get accurate increment as agreed and reason for unhappiness. You should solve it amicably. 

I hope this mail guide you properly.

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