# New wage rule may raise India Inc's costs from April

**URL:** <https://community.greythr.com/t/new-wage-rule-may-raise-india-incs-costs-from-april/1476>\
**Category:** HR\
**Tags:** paymentofwages\
**Created:** [December 8, 2020, 4:39am UTC](https://community.greythr.com/t/new-wage-rule-may-raise-india-incs-costs-from-april/1476 "2020-12-08T04:39:29Z")\
**Posts on this page:** 2\
**Page:** 1

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**Author:** ![Makepositive](https://avatars.discourse-cdn.com/v4/letter/m/3be4f8/32.png) [@Makepositive](https://community.greythr.com/u/Makepositive)\
**Post date:** [December 8, 2020, 4:39am UTC](https://community.greythr.com/t/new-wage-rule-may-raise-india-incs-costs-from-april/1476/1 "2020-12-08T04:39:29Z")

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> **[New wage rule may raise India Inc's costs from April](https://economictimes.indiatimes.com/news/economy/policy/new-wage-rule-may-raise-india-inc-costs-from-april/articleshow/79616790.cms?from=mdr)**
>
> To be effective from next financial year, the new definition of wages (that includes salaries of executives in the private sector) caps allowances at 50% of total compensation.

Can somebody please help what is this about?

Thanks,  
Ankur

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**Author:** ![Official-Greytribe](https://avatars.discourse-cdn.com/v4/letter/o/0ea827/32.png) [@Official-Greytribe](https://community.greythr.com/u/Official-Greytribe)\
**Post date:** [July 19, 2021, 11:00am UTC](https://community.greythr.com/t/new-wage-rule-may-raise-india-incs-costs-from-april/1476/2 "2021-07-19T11:00:41Z")

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Hi @Makepositive,

There is a delay this discussion got an accurate reply. But we know the correct information is more important.

There is a detailed FAQ blog by which might address many of your queries. Do refer:

[Code on Wages - FAQs](https://www.greythr.com/faqs/code-on-wages/)