vishnunaik9595
1

Sir,
We are following below mentioned policy to every contractor working in our premises:
1. Contractor need to have ESI and PF code (any number of contract employee he might be employing under him)
2. If the contractor don't have ESI & PF code we are requesting our consultant to pay ESI & PF contribution under his code.
The problem is, we have M/S A contractor he got ESI code but don't have PF code. Is it possible that we can contribute ESIC under M/s A contractor and PF under our consultant.
Please help....

From India, Mumbai
r_bithra
1

Dear Vishnu,
PF and ESI is deposited in seperate entity account where employees are in payroll.
if employees are working in your company and but salary is paid by contractor on own payroll, he have responsibility to deposit PF and ESI.
If you want to deposit in own a/c you have to take the employees in own payroll.

From India, Delhi
vishnunaik9595
1

Sir,
You mean the Contractor M/s A need to show break of their service and consultant need to show new entry.
If you says above case to be followed then, they cannot show break of their permanent employees.

From India, Mumbai
r_bithra
1

if contractor not break then he will have to register himself in RPFC.
Otherwise he will be defaulter in compliance.
but let me know one thing how is running businees if he not registered under RPFC.Whether he is exempted or not covered under RPFC in any act.
if not covered or exempted then you need not to do any thing.

From India, Delhi
abedeen7
135

Vishnu,
You may hire contractors and if contractors are working for you then it’s your accountability that they get EPF and ESI benefit. If the contractors are not registered then employee can be registered under your code.
"If you want to deposit in own a/c you have to take the employees in own payroll"- I don't agree with this comment; experts your views.
For clear picture discuss with IR consultant.

From India, Bhubaneswar
r_bithra
1

Hi,
but Act is not clear on this situcation, yes or no . Only exact picture is that employer is responsible to deposit PF if employees are under own.
This suggestion is also good, we can go to the consultant.

From India, Delhi
abedeen7
135

Dear Bithra,

Thanks for your response, if you have contract with the agencies and mentioned int he terms; then your employee can be registered in the agencies account number and subsequently contribution can be made.

This trend is followed by MNC's and small establishments.

From India, Bhubaneswar
shah.virag@in.com
Dear Vishnu,

As per your query i find following solution as per my knowledge...

1) If Ms A has ESIC Code, but no PF reg code, than it is a non compliance as per CLRA & PF act, and as a principle employer liability comes to your company.

2) Why Ms A is not able to get PF reg no. As Principle employer PL help to get it done to be safe on outsourced employee part & MS A contractor part & Principle Employer Part.

3) If Ms A is important contractor in your system, let him do recruitments of employee & get him empanalled with IR & Legal consultants to get PF & ESIC documentation of his name, and remittances and challan of the same.

4) or else take all employees from Ms A to your Payroll and ensure on proper remittances from your PF A/c & ESIC, subject to taking liability of Paid leaves, and other statutory requirements as Employer.

5) Hire Menpower outsourcing agency and transfer all employee from MS A to TPA to be compliant proof.& pay nominal recruitment fee for employees as provided by Ms A

Rgds

Virag Shah

09727717230

From India, Bangalore
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