According to this new rule, full salaries for the month of August, 2012 will be paid at the beginning of September, 2012 regardless of the number of advances, loans, leaves and holidays taken by the employee. Then salary for September, 2012 will be calculated by 15th September, 2012 and paid on 1st October, 2012 which will include deductions for loans, advances, leaves and holidays taken in the month of August, 2012 besides deduction for absents, leaves, loans/advances etc taken prior to 15th, September, 2012.
The pros of using this method are:
#Salary is paid on time
#Employee is motivated which will result in more productivity
#Retention rate is likely to increase
#Supertec becomes the trend setter
#One step closer to becoming the next big thing
Cons of using this method:
#If the employee leaves the next month, the company will bear the loss of advances, loans, installments for bike/car and other benefits taken by the employee
#Deductions will have to be made in the next month
#Extra day’s salary will be carried forward/adjusted in the next month’s salary
#Bonuses will be carried forward/adjusted in next month’s salary
#Some might criticize the idea terming it as ‘Advance Salary’