Can an Employer deduct Gratuity & Dress Expenses from CTC of the Employee

[Anil Roy]

Dear All.

I have a basic quary regarding Salary of a Employee. The case is 'our employer prop[osed to pay salary as follows':

Basic      10589.00

HRA            7943.00

Conveyance  7943.00

Gross26475.00

Leave Pay  1470.00

Bonus     700.00

Dress60.00

Gratuity      463.00

Total CTC 29168.00

 

My quastion is 'can our employer deduct Gratuity & Dress from our CTC or not, please confirm.

 

Regards,

Anil Roy

AI Summary

Can employers deduct gratuity and dress expenses from CTC? Gratuity yes, dress expenses generally no. An individual inquired whether an employer can deduct gratuity and dress expenses from an employee's Cost to Company (CTC). The proposed salary breakdown included basic pay, HRA, conveyance, leave pay, bonus, dress, and gratuity, totaling a CTC of 29,168. A respondent clarified that while gratuity is commonly included in the CTC as it accounts for future payments upon retirement or resignation after five years, deducting dress expenses from the salary is generally inappropriate since it is provided for official duties.