HR Support to Employees

HR can support all the employees by saving their money by giving a structure to the CTC.

Few investments need to be done on the employee's end.

A.  Investments

1.  PPF account - Maximum Rs. 70,000 /-.

2.  LIC Investment - Jeevan Dhara, Jeevan Akshay Policies.

3.  TAX Saving LIC.

4.  NSC and Pension fund.

5.  Insurance - Term/ Endowment.

6.  Repayment of Principal Amount towards Housing Loan.

7.  Payment towards Tuition Fee for Self Children - Max 2. 

8.  Tax Saving SIP.

B.  Expenditure

1.  Payment of Rent 

2.  Mediclaim Premium u/s 80D.

3.  Expenses incurred for Medical Treatment of Handicapped Dependent u/s 80DD.

4.  Expenses incurred for Self Medical Treatment of Handicapped employees u/s 80 U.

5.  Interest on Housing Loan u/s 24.

Over and above Rs. 1,00,000 - Rs. 20,000 /- in Infrastructure Bonds

Happy Investing...

Training Budget Does it Matter

HR has once again suddenly come into limelight with the recession period and layoffs that has happened. When it is about managing cost especially in such recession times the first thing that gets hit is the training budget. There lies the catch, when there is a budget assigned for training, there is no time for the employees to get trained since the market is up and happening, and when the employees have time in hand, we have the recession black cloud hovering in the sky (freezing of training budget). To bridge this gap is a challenge for HR Heads.
Companies must have a futuristic view. Cutting the training budget entirely is not the answer. Exploring various options is the key. Here lies the secret

• Investment can happen in training per employee by taking fifty percent from the employee. Example if a training cost Rs. 20000 /- , Rs. 10,000 /- can be taken from the employee and the rest can be paid by the company. This will lead employee to take the training seriously and will be able to take maximum output from the employee.

•  Why always hire external training agency? This is the right time. The team / departmental heads can take the lead and hold sessions and can be called for talks. This will also keep all the employees engaged and will be a great team effort.

• If a company wants to hire an external agency negotiate the rates. In this market, training companies will reduce the rates depending on the subject and the trainer’s expertise to make it cost effective.

•  Encourage reading sessions at the company library. Utilise the space by having discussions, brain storming sessions. This will give a boost to the employee’s morale and level of confidence.

• Conduct meets / seminars / conferences internally to present topics on various social and industry related issues. Remember reward all who actively participate not matter what level are they in.

• Call industry leaders for a talk. Make it a company wide event. Let it be participative, involve all in the company to encourage learning culture. The full HR team needs to be geared up for such talks.

•  Last but not the least, separate the value added services from day to day activities. HR leaders must involve themselves in all such events and activities to be a part of the company strategic thinking.

• Training is here to stay irrespective of the market conditions. It is like a Mango plant the seed of which needs to be sowed, the benefits of which can be reaped years later which are in terms of intangibles that a company can get. If taken seriously, research shows that training if taken as an investment rather than a cost has long term benefits in term of company’s growth and brand image.