Dear Friends,
I appriciate your responses but my question is still pending suppose in a company the total employee strength is 140 out of this only 16 employees are getting salary less than 10,000/- rest are above the slab. the company is registered under Shops & Establishment Act. it is real estate company.
in this case, company is liable to take ESI code ?
or it take when it complete the 20 coverable employees?
I hope all of you clear the picture about ESI
Thanks
Subhash Baloni
From India, Delhi
I appriciate your responses but my question is still pending suppose in a company the total employee strength is 140 out of this only 16 employees are getting salary less than 10,000/- rest are above the slab. the company is registered under Shops & Establishment Act. it is real estate company.
in this case, company is liable to take ESI code ?
or it take when it complete the 20 coverable employees?
I hope all of you clear the picture about ESI
Thanks
Subhash Baloni
From India, Delhi
Applicability is based on the No. of employees. Hence an organisation with 140 employees will be covered under the ESI. If only 16 are drawing salary (as per ESI Act defenition) then only 16 are covered employees and the rest are exempted employees aganist them the employer need not contribute ESI.
About coverage of establishment the Act doesnot sya anything how much about salary the organisation gives but only the number of employees is concerned.
Regards,
Madhu.T.K
From India, Kannur
4193About coverage of establishment the Act doesnot sya anything how much about salary the organisation gives but only the number of employees is concerned.
Regards,
Madhu.T.K
From India, Kannur
Dear Friend According to teh recent ammendment u need not to take ESI code Dear Mr.Siva Kindly give your view Vasanth
From India, Bangalore
From India, Bangalore
Dear Vasu,
I could not find any new interpretation to the the particular section dealing with applicability. There may be establishments not covered because of being in an uncovered area or due to some reasons exempted by the State Govt. by notification.
Regards,
Madhu.T.K
From India, Kannur
I could not find any new interpretation to the the particular section dealing with applicability. There may be establishments not covered because of being in an uncovered area or due to some reasons exempted by the State Govt. by notification.
Regards,
Madhu.T.K
From India, Kannur
As per ESI act the applicability is 20 or more employee, then salary/ wages 10,000 or less, meanse the applicability is based on two tear./ 1st on the establishment then on the employee,
if an esatablishment having 20 or more employee they need to register themsefs irrespective of the salary/ wages, then the contribution is based on the salary. even none of them getting 10,000 or less then also the establishment need to register, in that case contribution is not mandetory , but if they are contributing in that case there is no restriction. hope now its clear......?
still if any ? pls.. come forward.
Rgds,
Deepak Singh
From India, Mumbai
if an esatablishment having 20 or more employee they need to register themsefs irrespective of the salary/ wages, then the contribution is based on the salary. even none of them getting 10,000 or less then also the establishment need to register, in that case contribution is not mandetory , but if they are contributing in that case there is no restriction. hope now its clear......?
still if any ? pls.. come forward.
Rgds,
Deepak Singh
From India, Mumbai
Hi All
The application of ESI to any Establishment is once 20 or more persons are employed irrespective of the salary drawn by them. Hence you have to take the registration under ESI ACT.
But the eligibility for contributing for ESI and getting the benefits is only for those who are getting less than 10000/= per month
From India, Lucknow
The application of ESI to any Establishment is once 20 or more persons are employed irrespective of the salary drawn by them. Hence you have to take the registration under ESI ACT.
But the eligibility for contributing for ESI and getting the benefits is only for those who are getting less than 10000/= per month
From India, Lucknow
Hi All,
Though Company is registered under shops & Establishment Act, it has to be registered under ESIC, because the employees are more than 20 No's eventhough the outof 140 No's only 16 employess are drawing salary less than Rs.10000/- slab.
In absense of ESI Code if u fail to remit ESIC as 6.75% it attracts penalty / Statuatory obligations as per ESIC Act.
Thanks & Regards
Bhavya
From India, Kochi
Though Company is registered under shops & Establishment Act, it has to be registered under ESIC, because the employees are more than 20 No's eventhough the outof 140 No's only 16 employess are drawing salary less than Rs.10000/- slab.
In absense of ESI Code if u fail to remit ESIC as 6.75% it attracts penalty / Statuatory obligations as per ESIC Act.
Thanks & Regards
Bhavya
From India, Kochi
I am enclosing a text from the web page of ESIC. Some link and address are also there in the text. You may open the web page and go through about the act. You may find answer.
From India, Calcutta
From India, Calcutta
Dera Friend,
Applicability of ESI is based on no. of employee i.e. 20 or more. but contribution is based on salary structute and applicability & contribution is different things.
so if an establishment having 20 or more employee the ESI Act will applicable irrespective of the salary / wages drawn by the employee.
Rgds,
Deepak Singh
From India, Mumbai
Applicability of ESI is based on no. of employee i.e. 20 or more. but contribution is based on salary structute and applicability & contribution is different things.
so if an establishment having 20 or more employee the ESI Act will applicable irrespective of the salary / wages drawn by the employee.
Rgds,
Deepak Singh
From India, Mumbai
Dera Friend,
As you mention that as per recent ammendment ESI code is not required even if the no. of employees is more then 20 but if they are getting salary less then 10,000.
Its really surprising can you please clearfy me the contens or reference of the ammendment so that i can update my self, because as per the Act, the applicability of ESI Act is based on the no. of employee then the contribution question will arise and for that we have to take care the salary/ wages of the employee if the same is less then or equal to 10,000 then only they are liable to contribute. If none of them are getting salary/wages in the said slab in that case the contribution will be NILL but still the ESI Act will applicable.
Rgds,
Deepak Singh
From India, Mumbai
As you mention that as per recent ammendment ESI code is not required even if the no. of employees is more then 20 but if they are getting salary less then 10,000.
Its really surprising can you please clearfy me the contens or reference of the ammendment so that i can update my self, because as per the Act, the applicability of ESI Act is based on the no. of employee then the contribution question will arise and for that we have to take care the salary/ wages of the employee if the same is less then or equal to 10,000 then only they are liable to contribute. If none of them are getting salary/wages in the said slab in that case the contribution will be NILL but still the ESI Act will applicable.
Rgds,
Deepak Singh
From India, Mumbai
Community Support and Knowledge-base on business, career and organisational prospects and issues - Register and Log In to CiteHR and post your query, download formats and be part of a fostered community of professionals.
ESI question paper nippon.docx
ESI contribution rates lowering.pdf