Dear All,
Ours is an IT company having 12 employees earning Rs. 10,000/- or less. Now my question is that:
1.Whether the IT companies falls under "10 with Power" or "20 without Power" criteria as per the Act.
2. Do we need to take a ESIC registration number for our company.
I talked to few consultants and i got mixed response from them. Some are saying that it is not required and some are saying it is required. So please guide me for the same.
Thanking you all in anticipation.
Surya Mukherjee
From India, Pune
2Ours is an IT company having 12 employees earning Rs. 10,000/- or less. Now my question is that:
1.Whether the IT companies falls under "10 with Power" or "20 without Power" criteria as per the Act.
2. Do we need to take a ESIC registration number for our company.
I talked to few consultants and i got mixed response from them. Some are saying that it is not required and some are saying it is required. So please guide me for the same.
Thanking you all in anticipation.
Surya Mukherjee
From India, Pune
If i am giving monthly bonus to my employees then if ESI will applicable on bonus amount. pls reply as early as possible
From India, Rajsamand
From India, Rajsamand
dear sudhanshu
pls donot change topic by putting your question inbetween.you can raise your query seprately.
mr surya,rajeev has asked you question and you have not replied the same.the ESI applicablity is decided not by earning 10000 or lesspayment basis.it is decided by total number of employees in the organisation .in your case if total number of employees is 20 or more than ESI will be applicable because i think u are not covered under factories act as there is no manufacturing process.if you have manufacturing process and covered under factories act than ESI is applicable irrespective of strength.
tks
j s malik
From India, Delhi
pls donot change topic by putting your question inbetween.you can raise your query seprately.
mr surya,rajeev has asked you question and you have not replied the same.the ESI applicablity is decided not by earning 10000 or lesspayment basis.it is decided by total number of employees in the organisation .in your case if total number of employees is 20 or more than ESI will be applicable because i think u are not covered under factories act as there is no manufacturing process.if you have manufacturing process and covered under factories act than ESI is applicable irrespective of strength.
tks
j s malik
From India, Delhi
we are in educational institute pls suggest wheather we are applicable under ESI Act . stregth of the company is 50 pls reply soon its urgent Regards, Aman
From India, Chandigarh
From India, Chandigarh
Dear Mr. J.S.Malik,
The ESI applicablity is very much depends on earning and no of emplopyees working in the co.
For non Mfg. co minmum 20 employees are required who are getting salary/Wages less then 10000 P.m.
And for Mfg. co. minmum 10 employees are required who are getting salary/Wages less then 10000 P.m.
Dear Surya Mukherjee.
In your co. ESI Act is not applicable as you are having only 12 employees.
Sanjeev Kwatra
From India, Delhi
The ESI applicablity is very much depends on earning and no of emplopyees working in the co.
For non Mfg. co minmum 20 employees are required who are getting salary/Wages less then 10000 P.m.
And for Mfg. co. minmum 10 employees are required who are getting salary/Wages less then 10000 P.m.
Dear Surya Mukherjee.
In your co. ESI Act is not applicable as you are having only 12 employees.
Sanjeev Kwatra
From India, Delhi
dear sanjeev
as you have mentioned ESI applicablity
for manufacturing concern-10 or more employees getting less than 10,000
for nonmanufacturing concern-20 or more employee getting less than 10,000
i feel you have not gone through the act and sharing your experience only.
pls go through the act and see whether it is writeen 10 or more employee/20 or more employee or written exempted employee.
even though it has been cleared by karnatka high court in the case of employee state insurance corporation vs corner house fun food cafe.
refer section 2(9) and 2(12) of the ESI act.
tks
j s malik
From India, Delhi
as you have mentioned ESI applicablity
for manufacturing concern-10 or more employees getting less than 10,000
for nonmanufacturing concern-20 or more employee getting less than 10,000
i feel you have not gone through the act and sharing your experience only.
pls go through the act and see whether it is writeen 10 or more employee/20 or more employee or written exempted employee.
even though it has been cleared by karnatka high court in the case of employee state insurance corporation vs corner house fun food cafe.
refer section 2(9) and 2(12) of the ESI act.
tks
j s malik
From India, Delhi
Dear Mr. Malik
I also have the same opinion that the applicability of ESI Act is on the basis of employee employed in the establishment. it is not the employees getting salary of upto Rs.10,000/-.
As per the definition of Factory,
Factory means means any premises including the precincts thereof--
(a) whereon ten or more PERSONS are employed .....................
and so on
it says of the Persons not the Employees as defined in the Act.
Hence, if in any factory or establishment where 21 or 11 (as the case may be) employed even if the number of employees whose wages or salary does not exceed Rs.10,000/- is even One, ESI is applicable.
Please correct, if I m wrong.
Thanks
From India, New Delhi
I also have the same opinion that the applicability of ESI Act is on the basis of employee employed in the establishment. it is not the employees getting salary of upto Rs.10,000/-.
As per the definition of Factory,
Factory means means any premises including the precincts thereof--
(a) whereon ten or more PERSONS are employed .....................
and so on
it says of the Persons not the Employees as defined in the Act.
Hence, if in any factory or establishment where 21 or 11 (as the case may be) employed even if the number of employees whose wages or salary does not exceed Rs.10,000/- is even One, ESI is applicable.
Please correct, if I m wrong.
Thanks
From India, New Delhi
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