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IN THIS EDITION

From the Director’s Desk

Compliance

- PM announce 12 schemes for MSME

Payroll

- How to choose a good HRMS software When every vendor says they are the best?

Human Resources

- In The Age Of Automation, Where Does

The Future Of HR Stand?

Karma Konnect

- Latest notications

Humour

Just as companies begin to look at upgrading their HR functions to be more robust and efcient, a wave of change is ushered in and the whole concept of an HR function is redened with HR Shared Services – a whole new dimension of precision, expertise and compliance is up for the taking. The question really is where you look to take your experience.

Wishing all our readers and partners a very Happy Diwali and Prosperous New Year!

Best Regards,

Pratik Vaidya

PM announce 12 schemes for MSME

1. Loan upto 1 cr within 59 minute through online portal.2. Interest rebate of 2 %3. All PSUs and company above 500 cr turnover to upload all supply invoices on TRADES platform which

will count MSME Receivables against which banks give bill discounting facilities. Online complaint portal for

MSME invoice payment delay.4. All PSUs to buy 25% from MSME5. PSU to buy 3% from woman MSME6. All CPSU to buy through Govt. GEM Purchase portal.7. 6000 crs for 100 technology training and upgrade centre for MSME. 8. 70 clusters for pharma MSME. 75 % cost by central govt.9. 8 labour laws returns only twice in year.10. Factory inspector visit assignment through random computerise selection and online reporting within 48

hours.11. Environment clearance based on self certication for MSME. Common for air and water clearance. Only

10% inspection.12. Companies Act amendment ordinance removing harsh punishments of jails etc. small violations. 60%

pending cases will be out through this amendments.

Latest noticationsSeveral notications relating to minimum wages, holidays and other Laws were released last month. Here is some of the activity seen

New Delhi Minimum WagesIn our last issue we spoke about the discussion and uncertainty around the minimum wages for New Delhi.

rdThe Supreme Court has issued ofcial notice to state that minimum wages declared effective on 3 October 2017 will be upheld as the wages applicable. DA would be applicable in consonance with rates mentioned

stas on 1 April 2018.We present the article that appeared in the previous edition of Sanwad for your understanding:

How the Latest Judgement Impacts Delhi Minimum Wages

In a recent judgement received by the government with regard to the Delhi minimum wages, there has been an annulment of the last amendment which revised the minimum wages in September 2016 (Notication number F-13(16)/MW/1/2008/Lab/ 1859 dated 15th September, 2016). The subsequent notication issued in March 2017 which revised the wages for all those in scheduled employments was also revoked. (Notication number F.Addl.LC/Lab/MW/2016 dated 3rd of March 2017).

Through the annulment of the notications and revisions issued by the government, the basic wages are the only component that will be revoked. Any changes made to the variable dearness allowance in subsequent modications and notications as issued will apply.

Employers are not bound to pay employees the rates mentioned in the notications above. Those who have been following rates mentioned previously will be deemed compliant. However, those who have revised wages provided in accordance with the rates of the notication of March 2017 will have to continue to pay these rates although they have been quashed. Reduction of wages can cause implications on several other statutes, and provided improved benets than what the state mandates cannot be changed to what is less benecial to the employee.

In time, there will be clarity on whether there will be an appeal against this decision, or if a new notication will be constituted in order to restate the rates prescribed in March 2017.

Minimum WagesOrissa – Revision of basic minimum wage rates effective 30th October 2018http://comply4hr.com/noti/2016/OMWR2018Oct30.pdfKerala –Revision of Variable Dearness Allowance in computer software and Shops and Establishments, and allocation of CPI numbers to those under Minimum Wage Acthttp://comply4hr.com/noti/2016/KEMWA2018Oct23.pdfChhattisgarh–Revision of VDA effective 1st October 2018http://comply4hr.com/noti/2016/MWA2018Oct6.pdfAndhra Pradesh – Revision of CPI for calculation of Minimum Wages effective 1st October 2018

Holiday NoticationsTamil Nadu Holidays 2019 - http://comply4hr.com/noti/2016/TNNHR2018Oct29.pdfKerala Holidays 2019 - http://comply4hr.com/noti/2016/KENHR2018Oct22.pdf

Other Notications- Telangana Government released a declaration of 7th December 2018 as a holiday for the 1st phase of General Elections to be held on the day http://comply4hr.com/noti/2016/FA2018Oct30.pdf

- The Maharashtra Government released a clarication on Professional Tax, stating that late fees (either monthly or annual) would not be levied on registered employers for the period April 2016 to November 2018, provided:1. Amounts payable would have been or will be on the due date2. Monthly or annual returns for the period April 2016 to November 2018 will be made before 31st December 2018There will be no adjustments made to late payments that have already been submitted http://comply4hr.com/noti/2016/MAHPTR2018Oct19.pdf

Labour Welfare Fund – Orissa, has revised rates of contributions effective 1st September 2018.The current rates of Rs. 3 for employees and Rs. 6 for employers per half year has been substituted by Rs. 3 for every employee and Rs. 15 for employers for every half year http://comply4hr.com/noti/2016/WBLWFR2018Oct12.pdf

How to choose a good HRMS software When every vendor says they are

the best?

We know what it feels like. It's a tough decision. And urgent one too.Because management decides to change an HRMS system only when things get out of hand.To begin with, you don't want your bosses to yell at you for no fault of yours. You don't want to hear the

employees crib…”HR is useless”…”Why there is a late mark when I was on time?” …and thousands of

other remarks hurled at you, when you are not personally responsible!You try to reason out; it's not you but the legacy HR software which is to blame. You push hard to

convince the CEO, CFO, the men with money…that it's useless to work around that old horse…the

HRMS system of the past in modern times.

And thankfully the realisation dawns:

“No more HRMS issues. Let's focus our energy on bigger things!”You get on Google search. Ask your friends. Shortlist the contenders.A funny thing happens. When you start you think you know what exactly you want. But then when you call

vendors, you get bombarded with fancy presentations, long lists of features and sales pressures from all

corners. All vendors out there say, they are the best. They promise you the moon!Things get confusing.You make an evaluation matrix. You go through demos. Feature to feature, you tick mark everything. And

almost everyone looks the same. How to make the decision?Let me give you a tip: Indian HR automation has moved fast. The real difference is in robust software

architecture and the solution approach offered by the vendors.Comparing the features alone won't help. A Maruti 800 have almost all the features that a Mercedes

would have. All the core features, I mean.Engine, Steering, horn, gears, wheels, seats, hood, rear view mirrors!You know we are making a meaningless comparison. To make a point: Which is, the feature list tick

marking is as meaningless.At least in the automobile purchase you know the horsepower and other details. In buying a payroll

software you never see under the hood.Then, how to cut through the chafe of clamouring vendors and nd out the best payroll for your own

situation.

Here are some suggestions -

1. Ask for a torture test:

In the automobile world, before they launch a vehicle, they do a torture test. The vehicle is subjected to all kinds of extreme situations. Can it survive those challenges? Once it passes those standards, only then it comes to you.

Now, let usgive you a little insight. All software's works well in normal circumstances. Especially in the demo stage.

A payroll system fails when it faces complex HR scenarios. And in a country like India, there are plenty of them. There are no ideal situations. As HR you can follow all guidelines, but employees falter. They procrastinate, don't follow the rules, and ask for regularisation later on…and many such issues. You have faced that, isn't it?

So make a list of all your complex scenarios. Think of the toughest challenges that HRMS software can have. Ask your HR friends to supply you with their experiences. Even think of some imaginary ones.

And when the vendors show you the software features, ask them how these features will work under those tough situations.

Create a problem situation, a stress test for them.

2. Now insight number #2 for you:

What you are evaluating is not just the software, but the people presenting the solution.

How they respond to your tough questions is the real difference.

Do they try to avoid these tests?

Get irritated?

Insists it just won't happen?

OR

Do they keep their cool?

Do they ask you deeper questions to understand why you are asking these questions?

Do they enjoy it and ask for more such situations to demonstrate that their software can solve any challenge that you might pose them?

Judge their HR domain knowledge and understanding. Because you will need it after you deploy their solution. It will tell you the real story. Feature to feature, you can tick mark all software's equal. But the real difference is in –How these features deliver the solution for your complex HR requirements.

3. Audit their approach:

The legacy systems were the norms once upon a time. And they worked for years for you. If they have become a bottleneck now, it is because the organisation has grown. The expectations of the management and employees have changed.

That's why, Payroll system change is not just technology upgrade. It's a chance to upgrade the whole HR thought process and policy update.

Listen carefully to the Vendors coming to you. Are they talking about the features, features and features? Or, are they asking you the questions regarding fundamental changes happening in the organisation and its outlook?

The difference is subtle but you will get it when you focus on it. Are they just selling, or partnering with you in this journey? Do they confront you sometimes and even challenge your current practices like a consultant would do? Even at the risk of losing your business!

You know who will add value to your business.

And the best way to know if they have added value in real world is

4. Look for the customer testimonials:

Awards can be bought. Feature lists can be swelled up. But nothing comes close to a customer testimonial. From a customer who is like you. Who has the same issues like you have.

Now: All testimonials are not equal. Also listen carefully to the tone of those testimonials. Are these just supercial phrases or the customers talking about specic things.

Just think about it, how many of your customers will come on video to say they are delighted by your products and services.

They can give you stuff in writing. But video is tough…not just for you, but for everybody out there.

When they say it on the screen. It means a lot more.

When you follow these little pointers, you will be able to see the difference. While you can't see under the 'hood' of a software, you will know how robust it is by understanding the approaches taken by the vendors.

In The Age Of Automation, Where Does The Future Of HR Stand?Automation and are a reality today. With companies all over the world embracing the Articial Intelligencerise of new technology trends into their routine day work has changed the overall atmosphere of the workplace too making them automated and highly skilled. This does not leave out the HR and its multifarious functions which is now witnessing AI and Automation at the top of its game with the invention of 3D printing, Internet of things (IoT), virtual assistants, smart algorithms, use of intelligent software's, HR applications and advanced robotics which are reshaping the workplace culture and streamlining manpower along with posing a challenge for the traditional way of carrying out business.

We altogether cannot discard the essential functions and the role an HR performs which machines will never be able to substitute, which makes it only relevant since have fallen short in creating humanssomething just like them and the role of HR and its multiple functions performed every now and then come very close to basic human nature to be able to gauge the human psyche, that is certainly the most crucial role any company will have to depend upon to be able to manage their people and their time efciently in a humane way while at the same time maintaining its best talent for the future growth of the organisation.

How Will The Role Of HR Evolve?

The role of HR or people's management and their traditional methods of managing the workforce may

have become more or less redundant but the human element they worked with cannot be easily negated.

The pressure at work, in some cases, can be a challenging part to deal with for some employees, the role

of an HR whose job is also to look after people's well-being can be a much needed facilitator here. The

human element is the most crucial when dealing with people at various levels. Dealing with people

empathetically helps them not only perform better but also manage stressful situations better and improve

their quality of work which directly is proportional to the prots that the company accrues in the long run.

They engage the employees in various scheme of things to keep the load of work off their minds like

organising interesting competitions, providing counselling, seeking bonuses for them for their exemplary

performance or contribution towards the company. Any organisation cannot do without a people's

management team that puts the employees at centre stage and looks after their overall well-being in the

long run.

Yes there is no denying of the fact that the HR systems and processes should adopt the latest technology

to ease their work but at the same time the quality of people management and skilling they bring into the

system cannot be side-lined. To objectively view their role from a psychological perspective is something

that even the most sophisticated technology will never be able to perform accurately which is conducted

by HR professionals on a day to day basis for their organisation. They bring in the subjective skilled

element which cannot be replaced with the use of any virtual assistants.

From the very rudimentary system that was aimed to get people to follow processes, we have a great

opportunity to leverage the new technologies and transform HR. We are at the brink of a new paradigm in

people management which will eventually see the light of the day with ushering in of new technology.

From the very rudimentary system that was aimed to get people to follow processes, we have a great opportunity to leverage the new technologies and transform HR. We are at the brink of a new paradigm in people management which will eventually see the light of the day with ushering in of new technology.

This last month has seen celebrations galore – whether Navratri or Diwali. Here is a peek into the grandiose and glamour behind the four walls.

Navratri & Diwali

Here's

how you

may

just land

a job at

Apple!