HR & payroll glossary

Practical, plain-English help for running HR, onboarding and payroll — from the team behind HikeSeason.

ATS: Applicant tracking system: software that manages job posts, applications and the hiring pipeline.
CTC: Cost to company: the total yearly cost of an employee, including salary, employer contributions and benefits.
ECR: Electronic Challan cum Return: the monthly PF file listing each employee’s contributions.
EPF: Employees’ Provident Fund: retirement savings funded by employee and employer contributions.
ESI: Employees’ State Insurance: health and cash benefits for employees under a wage ceiling.
Form 16: Yearly certificate of salary paid and tax deducted, issued by the employer.
Full and final settlement: The last payment to a leaving employee, covering salary, leave encashment and deductions.
Gratuity: A lump sum paid on exit to employees with five or more years of continuous service.
LOP: Loss of pay: unpaid leave deducted from salary.
Professional Tax: A state tax on employment, deducted monthly from salary in some states.
Relieving letter: A letter confirming that an employee has been released from duties on a given date.
WPS: Wage Protection System: the UAE’s electronic salary payment system that employers must use.

ATS