Thanks for sharing. I have the following inputs.
1. "An employer is under no obligation to employ the apprentice after completion of apprenticeship". Please add, " and the apprentice, on the other hand, has no obligation to accept employment offered by the employer"
2. Non-Eligible employees under PF- There is no non eligibility but the Act only says that it is "mandatory" for those whose salary "at the time of joining the establishment" is Rs 6500 or less, which implies that it is optional for those whose salary "at the time of joining" is more than Rs 6500.
3. There is no limitation of contribution to 12% of Rs 6500, whereas if the employer is willing to contribute on higher salary, there will not be any objection. However, the Pension Fund contribution of 8.33% is limited on Rs 6500.
4. Commutation of Pension is no longer available now. It is available only to those employees who had opted it in 2008 ( if I am right, in September 2008)
5. Children Pension is available to two children upto the age of 25 years. In case of female child till she gets married or attains 25 years of age whichever is earlier. Orphan pension is 75% of widow pension which is given to children of member who survived no widow or the widow (mother of the children) remarries.
6. "If an employee is drawing wages less than Rs. 7,500 per month at the beginning of his ‘contribution period’, his contributions are payable for whole period of contribution period of six months even if in between his wages go above Rs. 7,500 p.m. [proviso to section 2(9)]". - Please delete Rs 7500 and insert Rs 10000.
7. "FOLLOWING ARE NOT EMPLOYEES - * Persons drawing wages over Rs. 7,500 per month" - Please delete Rs 7500 and insert Rs 10000.
8 Presently rounding off of ESI contribution is not to the next 5 paise but it is next rupee.
9. "Employees contribution is not payable when daily wages are below Rs 15/-" and "Employees drawing wages lower than Rs 25 per day do not have to pay employee's share". At present employees getting daily average wages of less than Rs 70 need not pay their contribution.
10. "Bonus is payable to all employees whose salary or wages do not exceed Rs 3,500 per month provided they have worked for at least 30 days in the accounting year. However, for calculation of bonus, maximum salary of Rs 2,500 is considered"- Please replace Rs 10000 and Rs 3500 in places of Rs 3500 and Rs 2500 because now employees drawing salary upto Rs 10000 are eligible for bonus and the bonus of employees drawing more than Rs 3500 but less than Rs 10000 will be calculated as if their salary were Rs 3500.
11. Presently all employees drawing a salary of not more than Rs 10000 are covered by the provisions of Payment of Wages Act.
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