HR News: 15 May, 2017

1.

Central Govt. employees to go on strike on May 23

The Confederation of Central Government Employees and Workers, along with other employee federations from the Railways and Defence, have decided to hold a massive demonstration in New Delhi on May 23.

Taking a stand to demand a decision on the amendments to pay revision, the Confederation of Central Government Employees and Workers, along with other employee federations from Railways and Defence, have decided to hold a massive demonstration in front of the office of Union Finance Minister Arun Jaitley, at New Delhi on May 23.

Demanding regularisation of contract, casual, part-time and contingent employees, the All India Postal Casual, Part time, Contingent and Contract Workers Federation, including New Delhi will throw in its lot with the demonstration.

The Central Government employees have been agitating, demanding amendments in minimum wages, fitment formula and other provisions of the Pay Revision Commission (PRC). The centre, responding to the protests, had constituted high-level committees to consider the demands with regard to the PRC, allowances and pensions, with the deadline of four months.

2.

Salary deducted for unserved notice period not taxable: ITAT.

Only salary received would be taxable, and not portions, which were deducted by a company for not serving a notice period.

It has now been recognised by the Income-Tax Appellate Tribunal (ITAT), which adjudicates Income-Tax (I-T) disputes that an amount deducted by an employer for not serving out a notice period cannot be brought to tax.

The decision was taken after two companies, while settling dues, had deducted salary for the notice period, which the person had not served. But this deduction was not taken into account during tax assessment. However, ITAT (Ahmedabad bench), in its order dated April 18, declared that only salary received would be taxable, and not portions, which were deducted by a company for not serving out a notice period.

The salary income, under the I-T Act, is taxable on a due basis, regardless of whether it has been actually paid to an employee or not. So, when an employee resigns but does not serve out the notice period (provided for in the employment agreement), the employer deducts salary attributed to this period. However, I-T authorities do not consider such deductions and seek to tax entire salary due (that is, salary before allowing for such deduction). This makes the latest order really significant.

3.

AI opens doors to over 80 pilots while Jet Airways keen on expats

While on one hand AI is recruiting and training more pilots to overcome its shortages, Jet Airways is concerned about the plight of its Indian pilots.

State-owned air carrier, Air India, has strategically opened doors to Indian aviation talent. Co-incidentally, this move comes at a time when the pilots union at Jet Airways has asked Indian pilots not to fly with the expat pilots in the airline from next month.

The National Aviators' Guild (NAG), the union of Jet's pilots, issued a directive to its members earlier this month, preventing Indian pilots from flying with the expats from May 1, referring to some alleged cases of wrong behaviour by expat pilots. The union also said that expats are a huge drain on the company's and the nation's finances despite the fact that India has no dearth of aviation talent. In fact, there are many CPL (commercial pilot licence) holders sitting idle, waiting endlessly, for years on end at times, to get a decent job.

On the other hand, AI is hiring over 80 junior pilots for its wide-body Boeing B777 and B787 aircrafts to meet the shortage of cockpit crew. While the process to induct these first officers or co-pilots is in the final stage and they are expected to join Air India by next month, the airline is further scheduled to take delivery of four more Boeing 787 as well as three B777 between July this year and March next year.