3 Efficiency Killing Tasks Your Employees Want You to Automate Today!

INFOGRAPHIC: 3 Efficiency Killing Tasks Your Employees Want You to Automate Today!

Your team is well equipped with staff, the market campaign is running in full swing, and the key projects have successfully launched. Yet the business isn’t growing…

One of the major problems that get often overlooked – but creates a great hindrance to growth and innovation- is manual, inconsistent processes that restrain productivity.

Many organizations today are rapidly embracing automation, and for a good solid reason: A recent survey demonstrated that employees want their employers to automate manual, repetitive tasks, and give them time back to focus on higher-value work.  As per the survey report, more than 59% of workers have said that automating manual tasks can save them six or more hours per week.

Here’s an infographic- that offers in-depth knowledge of what workers think about automation- and the top 3 efficiency killer tasks they want their employers to automate.

Repetitive, manual tasks steal time and energy that could be better spent on critical business tasks. Here are three of the most common reasons your business isn’t reaching its potential, along with solutions:

Data collection is tedious and boring. But, you need data to run your business-sales figures, profit/loss numbers, expenses, etc. but manual data collection and analysis can take hours (or days). Error-free, consistent, and organized data becomes easy to achieve with automated web forms.

Approval processes drag on. Major business decisions aside, routine approval requests needed for tasks like expense reports, equipment purchases, and time off requests can be quickly approved when there are established guidelines. Instead of facing delays when requests get lost in email and approvers try to conquer their inbox, automating the process reduces email churn. Using automated triggers & alerts keeps the process flowing.

Reporting on updates monopolizes resources. Employees need to keep managers, teammates, and direct reports informed about the status of work, but it often comes at the cost of the real work getting done. By automating processes, project updates and key results can be done instantly, freeing up time to make an impact. Stakeholders gain instant insight into the progress being made. You save time by automating key tasks, without needing to invest significant amounts in new software or skills.

Take the next step…

If you can’t decide where to begin, check in with your people. Select a single team or pull together a small group of folks to identify opportunities to automate processes, like setting up automated alerts for expense reports or gathering details for weekly sales reports. Once you begin, you can always scale up the solution to automate other processes.

Your business is likely already using business tools, so you can also start there. Identify the solutions adopted by teams that may be useful for other departments. From there, a business automation platform like Tigersheet could help you corral the myriad solutions your teams adopted individually.

Removing the impediment of repetitive tasks for your employees frees them up to focus on the work that matters: strategic thinking, innovation, and problem-solving. These are the activities that truly power your business and propel it forward. Making a small investment now in automation tools and taking the time to master them will pay dividends tomorrow.

Difference Between Start-up & Big Corporations: All you Need to Know

Difference Between Start-up & Big Corporations: All you Need to Know

Growing up, we often hear a lot of household names such as Google, Facebook, Walmart, Microsoft without really knowing what they are. Big corporations have been so deep-rooted into society and people’s minds that we do remember what these companies do but stopped thinking about their impacts on society.

On the other hand, startups, though well recognized by people, do not get remembered as easily and are not as integrated into our societies. But, what is crucial to understand that both startups and big corporations are essential to the progressive improvements and growths of society with each of them providing different strengths, opportunities, and purposes.

Demystifying the Difference: Startup vs Big Corporation

Not all recently created companies are startups nor do they have to be. By definition, as coined by Steve Blank, a serial entrepreneur, and professor at business schools such as Stanford, Berkeley and Imperial College, a startup is “a temporary organization designed to look for a business model that is repeatable and scalable.”

While a company is “a permanent organization designed to execute a business model that is repeatable and scalable.” Therefore, the difference is that startups look for an attractive business model, while companies already have such a business model and are focused on successfully executing it. This distinction affects the nature and needs of both kinds of organizations.

Tanker vs Speedboat Analogy

To make it sound interesting and chalk out the differences easily, let us use an analogy of comparing big corporations to ‘the huge tankers’ and startups to ‘small speed boats’.

  • The big tanker moves very slowly, is untouched by the ocean currents and waves, and hire a lot of people on board.
  • The speed boat is agile, has a small team, and is capable of going far or be punished by the cruel nature of the sea.

Jumping off this analogy, let’s dive into the strengths and weaknesses offered by startups and big corporations.


Small team: The reason why you feel impactful in a startup is often that you are a part of a very small team. The average startup team can very well be within 10 people. So when you’re part of that team, you are going to be tasked with tasks that are very core to the survival of the entire team. It’s great to be impactful in a startup, but that also means that it can go both ways.

Always hustling: One of the most frequently heard things about startups is that they are constantly on the hustle. Such pivoting in fact is crucial for the survival and growth of the startup. For instance, Instagram which today is the most popular photo-sharing application was not one when it started. It incepted as a check application that allowed people to show people where they are.  But, a series of pivots and edits made Instagram what it is today!

This is why it’s important to know that the final products of startups aren’t always what they set off to create at the very start. There will be new challenges and opportunities that will either evolve or destroy startups.

Offering innovation: Startups normally set off their journey as an entity that is trying to solve problems through innovation. Coursera and Udemy allow people to learn anytime and anywhere via their platforms. Venmo allows people to pay each other conveniently via their phones. Discord allows people to talk to each other as a team when gaming. Point is, startups always have their eyes set on a problem and they firmly believe that their products are the keys to solving these problems.

Low cash flow: Another important but disheartening fact about startups is their low cash flow. Another thing that is most heard about startups is they are always fundraising. The longer the runway is the more likely it is for a startup to take off successfully. That is why you often hear startups actively going through a series of fundraising. Startups won’t take off without the funds necessary. It’s great to have a dream of solving problems, but there are also harsh realities that one must face when doing so.

Big Corporations

Huge Team: It is no surprise to know that big corporations are characterized by big teams. They offer more job security to people because of how big they are. Big corporations are not as likely to fail and go bankrupt compared to small startups because of their solid foundations, well-established relationships with the government and people, and board of executives that makes decisions together.

Doing similar things: As previously stated, big corporations tend to be more risk-averse. They won’t make huge pivots and conduct large scale company restructuring like what some startups may do. They focus on doing what they do best and substantially increasing profit. Companies like Walmart are still innovating, but what keeps it alive is the everyday process of selling household goods to customers.

Huge Pools of Funds: The biggest difference between startups and corporations is probably their amount of funds. Startups are always tight in cash flow and always looking for more. Corporations are always looking for profit, but a week without sales will not have as much of an impact on the company’s well-being compared to a startup. Corporations also have more funds to spend on things like advertisements, talent hiring, and opening up additional locations. Startups probably have to pick between hiring a sufficient engineer and running online ads for 2 months. That is the main difference. Startups have to be careful in every step they take while big corporations and more rebound for mistakes.

Coming back to the tanker vs speedboat analogy, you can treat big corporations as the tanker that moves slowly but never stopping. Startups, on the other hand, will be the speedboats that explore different industries, the newest trends, and disrupting industries drastically.

Uber disrupted the taxi industry without owning one car at all. Airbnb =changed the hotel industry forever by not owning any real estate. WeWork changed the traditional concept of working space through space sharing. Startups are constantly changing the traditional concept of things.

It is also a possibility that the two can work together. Startups are constantly being acquired by big corporations for their talents and unique value proposition. Facebook acquired Instagram, WhatsApp, and Oculus because it felt connected to what they were doing. Big corporations often treat startups as little R&D centers where innovation is created by constant failures and talented people.

Although startups and big corporations offer very different things, they both keep society moving and ensures progress through their constant engagement in revolutionary changes and their lookout for opportunities.

Growth and marketing hack for your mobile app

Growth & Marketing Hacks for Your Mobile App on a Modest Budget

With the rise of the mobile app development industry, creators around the world have been building digital products and services with and without engineers. You too have built a beautiful and professional mobile app using no code for your business. Now, how should you promote the app to ensure a stable ROI?

The App Store is one of the most competitive environments today. With over 2 million apps available for Android users and about 1.8 million apps on the Apple app store, you can never be 100% sure that your app will get the success it deserves.

And if you are a small business it’s no surprise that you don’t have sufficient budget for elaborate app promotion. So, is it possible to acquire and engage users, as well as gain new customers, without having to spend a lot? Let’s review the possibilities:

Budgeting for and Beyond App Development

A recent study by The Manifest revealed that a majority of businesses dedicate a considerable portion of their total app development budget (more than 31%) to marketing efforts

In previous years, businesses developed their app marketing budget by using a formula to determine their cost per install (CPI) figure:

However, today CPI is not considered a central measure to determine your app’s success. Just getting the app installed on someone’s device does not generate ROI, in fact, one needs to go above and beyond the total number of installations.

There are key performance indicators or KPIs like impressions, clicks, and more that have to be considered. If market stats are to be believed, experts estimate that app marketing budgets can range anywhere from $1,000 to $5,000 per month or more.

While sponsorships, in-app advertising, -and freemium upsell are common app monetization strategies, everyone talks about. Here are some creative and smart promotional hacks that you can use to do on a smaller scale to drive users to your app.

Build a Great App Landing Page

A great landing page is vital to all businesses, regardless of whether they provide a desktop or a mobile app.

This also means you can use SEO to drive traffic your way. But it’s also a great place to showcase your app and all the features it includes.

And once you are done building a landing page, offer Direct Download Links from your landing page. This helps to eliminate the entire hassle out of the conversion process, thereby reducing friction for users thinking about signing up.

Plan an App Party

Many times, a simple app launch party can go a long way in receiving the attention of the local community and the local media. This can get even better if you have the ability to focus on a special geographical area.

If your app has any type of draw for a local community, find out where those community members gather the most. That can provide a perfect location for your event—go where your potential customers are and pitch them when/where they are most comfortable.

For example, the Splore team celebrated the official launch of their mobile app with “good people, good vibes, and good art” on Cinco de Mayo. They even shared some great information about what is involved in throwing a successful app launch event.

Source: https://medium.com/@sploreapp/11-steps-to-throwing-a-successful-launch-party-ecba3d9f515

Run an Invite Only Launch

As Humans, we are easily drawn to the idea of exclusivity. Our general tendency to be on the ‘inside’ can be smartly employed when it comes to the world of apps.

When you are ready to launch your app, consider starting out with an ‘Invite only’ campaign.  Big names such as Google, Apple, and Twitter have successfully adopted this model and have witnessed an upsurge in their app downloads.

While it will take some effort and skill to be able to build buzz around your invite-only launch, it is very much possible and can potentially help skyrocket your app’s growth.

Change the Language

Yes! You heard it right.  While your app idea might already exist, maybe it doesn’t exist in another language. Users are always quick to find better solutions, especially when an app is in their native tongue. A quick search on the App or Play store will reveal if top-selling apps have been localized in different countries. Changing the language, user experience, and layout could be a huge opportunity.

Gamify your app

While no-code gaming apps can be easily outclassed by companies that employ hundreds of people to work on a single game, a good sense of humor and original thinking can lead to app virality.

The good news is that you don’t have to always create a literal game to seize the power of in-app wins. Points, stars, status bars, and even the occasional notification that indicates a user’s success are all enough to help keep them around long.

Let’s give you a real-life example. Duolingo is a language learning app that offers 95 different language courses and has over 300 million registered users worldwide. It uses a very creative game like sign up experience for users where they are taken straight into a process of small successes, ending in the new user being a percentage “fluent” in their new language. Because the user receives this small win just a few minutes after signing up for the first time, they’re hooked.

Hence, to put it down simply, whether your app is fun and light, or filled with spreadsheets and numbers, you can still use gamification to your advantage. Find a way to use point systems or unlock new features after users complete certain steps, for example. It could greatly boost your user engagement.

Feature Your App in Your Emails and Link in Your Signatures

Your new app needs to be smartly engraved in every aspect of your marketing, which includes all your emails. Sending countless emails every day is every business routine practice and not including your app in each of those is a missed opportunity.

Example Template:

Our new app, (Insert app name here), helps you (insert what the app does). Click here (include hyperlink) to check it out!

Add your app download links or a link to your app landing page to your email signature as a really easy way to drive downloads over time simply by sending the emails you normally send.

If you have a few people in your business, make sure they do the same.

For example, if you had 4 people in your business each sending out an average of 20 emails a day (that’s a really low estimate), that’s 80 people that you’re able to inform per day about your mobile app. That’s 560 a week or over 2,400 a month!

The simplest things can be the most effective in the long run.

Integrating Social Share Within Your App

Take your app promotion strategy a way deeper by letting your app promote itself!  It is no surprise that your customers will encounter their own discoveries while using the app and nothing can be more satisfying than sharing the personal experience. By including the option within your app to share their screens and share in-app content, you broaden your app’s visibility and create a platform by which your users can express themselves.

Offer How-to Videos & Free Webinars

If you have kept yourself abreast of the modern-day digital trends, you would certainly know that the importance of video marketing to reach your prospective customers is paramount.

Invest in some time in creating quality video content for your app — even if it’s just in the form of a catchy explainer video. Incorporating Reward Videos can also be a good idea. These are videos that run after a user completes or triggers a specific activity within an app.

While videos can be a great growth hack for your app, using webinars can boost your success even more. If you can find a way to use webinars, your app could experience incredible growth because of it. Instead of focusing them on sales, though, try creating webinars to be highly useful and actionable.

Get Featured on App Review Websites

Getting on an App Review Site can benefit you greatly especially when you are starting small. Some of these websites have a regular follower base and hence you can expect a similar amount of traffic to flow through to your website and App Store listing.

Also, to get listed on a mobile app review website you will have to submit a proposal where you need to show that your app is good enough to be reviewed by them and therefore featured on their site

Most of these app review sites are looking for things such as:

  • User-friendly, easy to use, interactive interface
  • Beautiful graphical designs in high quality
  • Stable apps with no glitches, crashes, overwhelming loading times or poorly pieced together content

When you reach out, you will most likely have to provide support material for your app. This is usually done by filling a document/form listing down the following information:

  • A link to your app in the app store
  • A summary paragraph describing your app and what makes your app stand out
  • Screenshots of your app logo, title screen, and in-app content
  • Links to videos of your app from YouTube or Vimeo
  • Pricing Details of your app including the free trial and premium features available to your users


There are a number of options for marketing your no code app on a small budget. To recap, consider trying the following growth hacks for your app:

  • Create a Landing Page that has a direct download link to your app
  • Plan an App Launch Party
  • Run an Invite Only Launch
  • Gamify Your App
  • Change the Language
  • Feature Your App in Your Emails and Link in Your Signatures
  • Integrating Social Share Within Your App
  • Offer How-to Videos & Free Webinar
  • Get Featured on App Review Websites

And don’t forget…. knowing the audience and being able to create the “ideal customer persona” is a must for a lean marketing strategy.

REMEMBER…. Not every strategy will work; the point of growth hacking, though, is to rapidly test, gather information, and move forward with what’s most helpful for your own app.

So, put these hacks to use, and see witness how your mobile app that started small will scale big leaving you to celebrate its success in no time!

What is CLV and Why it is the Most Important Startup Metric?

What is CLV and Why it is the Most Important Metric for Your Startup?

How can one make sure of the fact that their company is succeeding?

Well, one of the obvious answers could be by looking at operation metrics such as revenue, profit margins or sales and then comparing these figures with one’s own annual projections, historical records or number of competitors in the market.

But, these are not the only metrics one should adhere to especially if they want to assess their company’s success in long-term.

One of the most important metrics whose importance has been understated for a long time is CLV or Customer Lifetime Value. As the name suggests, CLV refers to the net revenue a customer would be bringing to the company during his lifetime.

While marketers have been repeatedly talking about the importance of CLV, surprisingly the term is not much known. A 2018 UK study revealed that “only 34% of the marketers who participated in the survey really knew about CLV and its real value in startup growth, while only 24% of them agreed that CLV was being calculated properly to assess their company’s success.

What is CLV or Customer lifetime value?

If we speak of definition, Customer lifetime value (CLV),  customer profitability analysis or simply User Lifetime Value (LTV) is a metric used to calculate a customer’s monetary worth to a company by factoring his relationship with the company over time.

CLV is a crucial metric that lets companies assess how much they should spend to acquire a new customer and to retain already existing ones.

What are the benefits of CLV?

1) CLV helps to design better Customer Acquisition Strategies

Paying attention to CLV can drastically change the economics of your customer acquisition plan.

For instance, if the CLV of a customer is $2000, you know how much you can spend to acquire a customer.

No wonder why companies like Uber, Amazon and others offer lavish discounts and offers to get a new customer in their door. Because they know the lifetime value of that customer is far higher to make up for any initial loss.

2) CLV Allows Better Customer Segmentation

Recognizing the company’s most valuable customers (ones with highest CLV) will give an insight on who should one target in terms of demographics.

3) Reducing Churn for Better Customer Retention

Knowing CLV of a customer will give a better insight to decide if the customer is worth retaining and then decide on implementing steps which can encourage them to come back to using your services.

4) CLV helps in Analysing Payback Period

The payback period determines how long the business will take to recover its acquisition cost from a customer.

A long payback period could directly associate more risk to the business.

For instance, if a customer churns before the payback period, the business would be bearing a loss in regard to that customer. Alternatively, if a customer runs past its payback period, any purchase from him will bring value to the business.

5) CLV Helps in Improving Customer Service

CLV can be deployed as an early warning sign to managed defection rate and complaints.

For instance, if a customer with low CLV complains about a particular issue, is it necessary to investigate the problem to the nth degree? Offering a solution and ensuring the fact that customer leaves happy is important but at the same time investing too many resources on chasing an already sinking ship is also not a wise decision to go forward.

The Math Behind CLV: How to calculate it?

There are a wide plethora of ways when it comes to calculating CLV for your company which we will look into detail one by one.

The Simple Formulae

The simplest way to determining CLV is by subtracting the initial cost of customer acquisition from the total revenue earned from a customer.

Total Revenue Earned from Customer= (Annual revenue per customer * Customer relationship in years)

CLV = (Annual revenue per customer * Customer relationship in years) minus Customer Acquisition Cost

Here is a quick illustration of the above formula:

Let us assume a SaaS company produces $4000 each year from every customer that has an average lifespan of 3 years and a initial CAC of $2000 for every customer. Hence applying the formulae, CLV should be calculated as:


This simple method of calculating CLV can prove effective when the profit contribution from customer remains consistent. For example: If you provide a subscription-based service with only two models, then customers can be expected to provide a consistent source of revenue.

Historic and Predictive CLV

In terms of data used, the methods of calculating CLV can be divided into historic and predictive.

Historic CLV

It is defined as the sum of gross profits from all the past purchases of an individual customer.  The formulae used is:

CLV= (Purchase 1 +Purchase 2+……. + Purchase N) * AGM

Where purchase N stands for the purchase value and AGM stands for Average Gross Margin.

Predictive CLV

Predictive method of calculating CLV is considered a more complete method which helps to project how much revenue a customer will be generating for the business during the course of his relationship with the business.

  • This method makes use of certain behavioural patterns and transaction history that is used to determine the current value of the customer as well to forecast how much will the customer evolve during his lifetime with the brand.
  • The accuracy of this methods improves over time as more and more data pertaining to a customer is collected with every purchase.

There are different formulas available to calculate predictive CLV, but here we will focus one of the simplest ways through which a predictive CLV can be determined:

CLV = (P × AOV) × AGM) × ALT

Where P stands for average number of monthly purchases, AOV stands for Average Order Value and AGM for Average Gross Margin and Alt for average lifetime of a customer.

How to improve your company’s CLV?

There are myriad ways that can be used to enhance the CLV of your company. Some of them are as follows:

Regular Communication

Keeping in touch with your most valuable customers can be a good way to increase CLV of your brand. For instance: online retailers can make use of email reminders to let customers know about new products and offers thus encouraging them to come back to the company’s website.

Long-term customer relationships are built on the base of customer loyalty hence marketers should focus on devising strategies that can improve customer-brand relationship letting customers stick loyal to them and not switch to other brands.

Remarketing Campaigns

Refining company’s marketing strategies to target most valued customers who are likely to make repeated purchases can be a powerful way of improving CLV.

Cross Selling and Upselling

These two marketing strategies can be effectively used to improve CLV. Though both these terms are used interchangeably, they work in tandem.

Cross Selling is the practice of encouraging customers to buy a higher end product than one in question while Upselling pushes customers to buy related or complementary items alongside the items they are already buying.

Let us take the example of e-commerce industry to understand the two terms more clearly.

  • Cross-selling is a highly effective tactic in e-commerce that comes in the forefront on product pages, during checkout. It aims at targeting repeat purchases and introducing a wide catalogue of services to customers.
  • Similarly, upselling involves showing comparison charts to market higher-end products to customers. Offering suggestions for better versions or models of a product customers are looking forward to buying can leave them more satisfied with the purchase, encouraging them to come back for their future needs.

Loyalty Programmes

Introducing Loyalty programs with additional perks can be one of the most effective ways of targeting customer retention as well as improving customer-brand rapport for years to come.

  • Special discounts, freebies or free shipping can encourage customers to make repetitive purchases.
  • Repeat customers are always more valuable as compared to ones that make a single purchase – as it costs less to retain a customer than to acquire a new one.


Whether you are a small brand with a limited customer base or a reputed firm with millions of loyal customers, determining your company’s CLV is a robust way to earn customer lifetime value.

Factoring your company’s CLV effectively will act as a recipe for your business success that can leave your less-data driven competitors struggling while you will be dancing in your company’s success bash.

12 Rights You Didn’t Know You Had as a Private Employee in India

12 Rights You Didn’t Know You Had as a Private Employee in India

An employee should be aware that he/ she is legally and constitutionally safeguarded against certain things and that a healthy work environment is a right of theirs.

An employer should be aware that he/ she is legally and constitutionally bound to take care of these things when hiring people.

Below is a comprehensive list of all the facets of private employment that are covered by the law.

Employment Agreement

Every employee is entitled to receive an employment agreement when they join a company.

This document clearly states the designation, working hours, expectations that the employer has of the employee, what qualifies for a dispute or conflict, what might happen should a dispute arise, and the various leaves an employee is entitled to.

The purpose of the agreement is to bring the employer and the employee on the same page and make the terms of employment clear before work commences.

It is the right of the employee to know what he/ she is exactly getting into before they commit to the job. Securing an employment agreement and making sure it is not one-sided, is of paramount importance when beginning to work somewhere.

Basic rights

As written under The Factories Act, each and every employee, no matter, where they work, are entitled to a set of basic rights relating to health and safety at the workplace as part of a good working environment.

It is the responsibility of the employer to ensure these the basic amenities for the same are in place. If the workplaces are hazardous like construction or mining sites, proper safety equipment has to be provided.

If the employer fails to create a safe and healthy working environment and the employee(s) suffer because of it, the employer will have to pay a compensation as regulated under The Employees Compensation Act.

The basic rights of the employees relate to cleanliness, drinking water, disposal of waste, washrooms, ventilation, and lightning.  

Rights during probation

While an employee is on probation, the employer has the right to terminate their employment on the grounds of unsatisfactory work or unsuitability for the profile with a prior notice for the same.

The employee can also ask for an inquiry if the reason for termination is other than unsatisfactory work.

The normal probationary period is about 6 months. It can be extended to 3 more months. However, the maximum period cannot be more than 2 years.

Protection from sexual harassment

This protection is guaranteed under the Sexual Harassment of Women at Workplace (Prevention, Prohibition, and Redressal) Act, 2013. Under the Indian Penal Code, if accused of sexual harassment, the offense is punishable with up to three years of imprisonment, with or without a fine.

The Act stipulates that if an organization has 10 or more employees, an Internal Complaints Committee has to be formed which will address cases of sexual harassment. This committee is mandatory to be made at all branches and units of an organization. This committee should include:

  • A woman who is employed at the senior level and will be the Presiding Officer
  • Not more than 2 other employees who are committed to the cause of women safety or who have appropriate legal and/or social knowledge
  • A person belonging to a non-governmental organization (NGO) committed to the cause of women or is familiar with issues related to sexual harassment

A general list of the offenses as given in the official document of ‘Sexual Harassment of Women at Workplace (Prevention, Prohibition, and Redressal) Act, 2013’ would include:

  • Physical contact and advances
  • A demand or request for sexual favors
  • Making sexually colored remarks
  • Showing pornography
  • Any other unwelcome physical, verbal, or non-verbal conduct of sexual nature

Even though it is a legal requirement that any workplace with more than 10 employees, implement the law, a lot of MNCs and Indian companies are still negligent in enforcing it.

Minimum wage

Under the Minimum Wages Act, each employee in India is guaranteed to a minimum wage which allows the person to sustain their lifestyle and avail the necessary amenities.

Any wage below the minimum wage is a violation of Article 23 of the Constitution. If any person is forced to work under the minimum wage, it is termed as forced labor which is not permissible under the same Article.

As given in the official document for The Minimum Wages Act, 1948, different minimum rates may be fixed for:

  • Different types of employment
  • Different classes of work under the same type of employment
  • Adults/ adolescents/ children, and apprentices
  • Different localities

Both the central and state government fix the minimum wage according to the following factors:

  • Region
  • Cost of living
  • Type of work
  • Working hours
  • How much the employer can pay

For 2018, the different minimum wages for different states in India can be checked here.

Timely salary

First off, men and women have to be paid equally i.e. there is equal pay for equal work.

This is guaranteed under The Act of Equal Remuneration, 1976, whereby equal wages are paid to employees irrespective of their physical strength.

Secondly, The Payment of Wages Act stipulates that an employee has to be paid his remuneration in a timely manner. If this doesn’t happen, the employee can approach the Labour Commissioner or file a civil suit. For employees whose salaries are above Rs. 18,000, civil action can be taken against the employer.


According to The Payment of Bonus Act, 1965, any factory or organization which is at least 5 years old and employs 20 or more employees in any accounting year is legally bound to pay a bonus to its employees. The bonus will be paid even if the number of employees falls below 20 eventually.

Any employee whose salary is Rs. 21,000/- or less per month, and who has worked for more than 30 days in any accounting year is eligible for a bonus.

Now, there are 2 ways in which an employee can gain a bonus:

  • The company made a profit that year
  • The employee is in agreement with the employer to be paid a bonus on the basis of his/ her productivity.

In the first scenario, the minimum bonus to be paid is 8.33% of 7,000 or 8.33% of the minimum wages (whichever is higher). The maximum bonus will be 20% of 7,000 or 20% of the minimum wages (whichever is higher).

In case of the second scenario, the minimum amount of bonus has to be 8.33% of the annual salary whereas the maximum amount can be 20% of the annual salary in that accounting year.

The bonus has to be paid within 8 months of completion of an accounting year.

Any employee who has been dismissed from service because of:

  • Fraud
  • Violent behavior on the premises of the company
  • Stealing or sabotage of any company property

Will be exempt from receiving the bonus under this Act.

Working hours and overtime

As written under The Minimum Wages Act, 1948, if an employee works more than the normal working hours, the employer shall pay him for every hour or part of the hour for which he/ she worked overtime. The overtime rate will be as fixed according to the Act or another law of an appropriate Government, whichever is higher.

Each employee is entitled to one day of rest per week. The organization will pay remuneration for the same.

If an employee works on this day of rest as well, payment will be made at a rate not less than the overtime rate. If, on the other hand, an employee works less than the normal working hours, he/she will be paid as if he/she had worked a full normal working day. The payment will not be applicable if:

  • He/ she does not work out of an unwillingness to work and not because the employer hasn’t assigned any work
  • Other circumstances as may be decided upon beforehand


The leave policy for each company has to be framed according to the State legislation and rules.

Each state provides at least 7 holidays for national and state-specific festivals. It is mandatory to grant leave to employees on the 3 national holidays of the country- Republic Day (Jan 26), Independence Day (Aug 15), and Gandhi Jayanti (Oct 2). The rest of the national and festival holidays are at the discretion of the company.

There are a variety of other leaves that an employee is entitled to:

Casual leave-  these leaves are kept aside for unforeseen circumstances when an employee might have to attend to some urgent matters at hand. Normally, a company grants up to 3 days of casual leaves per month. If there are no sick leaves, then the casual leaves can be taken for medical purpose.

Privilege leaves/ earned leaves- these leaves are carried over from the previous year and are enjoyed by the employee in the current or following years. Privilege leaves can be carried forward for upto three years. These can also be taken in lieu of sick leaves if an employee doesn’t have any sick leaves in balance. If an employee has outstanding earned leaves at the time of leaving a job, then these can be encashed.

Compensatory leave- these leaves can be taken by the employee if he/ she comes to work during official off days.

Leave without pay-  if an employee does not have any leftover leaves in his account, then he/ she may take a leave but his wages for that day will be deducted from the monthly salary. The company may, however, decide to grant a paid leave to the employee on the discretion of the management.


Gratuity is regulated by The Payment of Gratuity Act, 1972. It is the employer’s way of thanking his/ her employee for the service rendered by them. The employee in no way contributes to the gratuity amount.  It is a lump sum given by the employer to the employee in case of any of the following:

  • Retirement
  • Resignation
  • Inability to carry on work due to disability
  • Death (gratuity is paid to the employee’s nominees)
  • Superannuation

The amount of gratuity paid depends on the number of years that the employee has served in the company. The minimum number for the same is 5. It is paid as 15 days of salary for every year of the employee’s service and is calculated as follows:

Gratuity= Last month salary x 15 working days x No. of years of service

   26 working days

According to the latest 2018 amendment, the amount of gratuity should not exceed Rs. 20,00,000/-.

Gratuity is forfeited in case of misconduct on the employee’s part and his/ her resulting termination. The employee’s misconduct should have been intentional and should have caused financial damage to the employer. Even then, the gratuity shall be forfeited to the extent of the damage caused.

Provident fund

The provident fund is a retirement and long-term savings scheme. The Employees Provident Fund Organization of India  (EPFO) manages provident fund for all employees receiving a salary in India. Any organization with more than 20 employees has to register with the EPFO.

Both the employees and the employer contribute equally- i.e. 12% of their salary- to the EPF.

Complete or partial withdrawals can be made in case of the following:

  • House construction
  • Medicare
  • Home loan repayment
  • Home renovation
  • Marriage
  • Education expenses
  • Retirement
  • Immigration abroad

However, there is only a specific amount that can be withdrawn and that is subject to the number of years that the service is rendered.

You can only opt out of the scheme at the start of your career. Once you deposit money in the PF, there is no option of backing out.

When it comes to withdrawal, money from the PF cannot be withdrawn during employment. It may be withdrawn only after retirement. If withdrawals are made before completion of 5 years of service, the withdrawn amount will be taxed.

However, in the case of unemployment before retirement, the EPF account holder can withdraw funds. In this case, 75% of the PF can be withdrawn after 1 month of unemployment while the remaining 25% can be claimed after 2 months of unemployment. Or, if the person manages to get another job, the remaining 25% can be transferred to the new EPF account.

Parental leaves

The Maternity Benefit Act, 1961, deals with maternity pay for women in India.

The duration of maternity leave is now 26 weeks. Out of these, a maximum of 8 weeks can be taken for pre-natal leave. Surrogate, adoptive, and commissioning mothers can also get maternity leave, though, the duration would vary.

First off, pregnant females cannot be dismissed from service on the grounds of their pregnancy.

If dismissed, they can still claim maternity benefits.

No employer shall employ a woman during the six weeks immediately following her pregnancy or miscarriage. No woman herself shall work anywhere during the six weeks immediately following her pregnancy/ miscarriage.

Child care leave and paid paternal leave are at the discretion of the employer in the private sector although government employees are entitled to the same. It might be paid or it might be unpaid.


If you are not sure about your company’s take on these matters, it is best to sort it out with your employer or the HR manager. For employers, if  the appropriate policies aren’t in place, it is best to cement them out as soon as possible to avoid any strict legal action due to unforeseen circumstances.

No matter the company or designation, a happy and healthy work environment is a right of all and awareness about them is the first step. Congratulations on taking it now.