Dear All, I want to know that employers contribution to ESIC could be part of CTC to company or not.
From India, Agra
Acknowledge(0)
Amend(0)
From India, Agra
Acknowledge(0)Amend(0)
Whatever money company spends for a employee, it would come under the CTC. Even some of the companies are calculating employer contribution on food/ Lunch in to CTC. Regards, Satya
From India, Mumbai
Acknowledge(0)Amend(0)
From India, Mumbai
Acknowledge(0)Amend(0)
Dear All,
I want to know if the employer's contribution to ESIC could be part of CTC for the company or not.
Generally, as far as the employee is concerned, it should not be a part of CTC. Many companies do follow the same practice. However, from the employer's point of view, it is also an expense towards engaging employees. Some companies consider ESI as part of the CTC. In my opinion, it should not be included because it is a mandatory payment by the employer towards compliance under the social security scheme.
In reality, only around 20-30% of Insured Persons (employees contributing to ESI) avail such benefits from ESI. The reasons for this are poor human and medical treatment of employees (Insured Persons) in many dispensaries, corruption, and bureaucracy in the attitude of ESI staff members/doctors. This is based on my 20 years of experience. Mr. Gandhi's statement to "Treat customers as VVIP" is only seen in hanging posters!
Thank you.
From India, Madras
Acknowledge(0)Amend(0)
I want to know if the employer's contribution to ESIC could be part of CTC for the company or not.
Generally, as far as the employee is concerned, it should not be a part of CTC. Many companies do follow the same practice. However, from the employer's point of view, it is also an expense towards engaging employees. Some companies consider ESI as part of the CTC. In my opinion, it should not be included because it is a mandatory payment by the employer towards compliance under the social security scheme.
In reality, only around 20-30% of Insured Persons (employees contributing to ESI) avail such benefits from ESI. The reasons for this are poor human and medical treatment of employees (Insured Persons) in many dispensaries, corruption, and bureaucracy in the attitude of ESI staff members/doctors. This is based on my 20 years of experience. Mr. Gandhi's statement to "Treat customers as VVIP" is only seen in hanging posters!
Thank you.
From India, Madras
Acknowledge(0)Amend(0)
The ESIC contribution of the employee definitely forms part of the CTC of an employee who is under the purview of the ESI wage limit. It is the cost accrued by the company to the employee, irrespective of whether the employee avails the ESI facility or not.
From India, Hyderabad
Acknowledge(0)Amend(0)
2From India, Hyderabad
Acknowledge(0)Amend(0)
Dear All,
Whether it should or should not be is a different matter, but the reality is that CTC includes all salary heads, including PF, ESI (both employee and employer contributions), bonus, LTA, Medical, and other benefits. CTC, in itself, determines every single penny of the organization's expenses on an employee.
This holds true within the organization where I am employed.
Thanks,
Vivek Mishra
From India, Karnal
Acknowledge(0)Amend(0)
Whether it should or should not be is a different matter, but the reality is that CTC includes all salary heads, including PF, ESI (both employee and employer contributions), bonus, LTA, Medical, and other benefits. CTC, in itself, determines every single penny of the organization's expenses on an employee.
This holds true within the organization where I am employed.
Thanks,
Vivek Mishra
From India, Karnal
Acknowledge(0)Amend(0)
Dear All,
CTC includes the following components: basic salary, HRA, conveyance, LTC, PF & ESI contributions, gratuity, bonus, and the value of perquisites like mediclaim policy, GPA insurance policy premium. The employer incurs expenses towards the concerned employees.
Thanks,
AK Sharma
From India, Pune
Acknowledge(0)Amend(0)
CTC includes the following components: basic salary, HRA, conveyance, LTC, PF & ESI contributions, gratuity, bonus, and the value of perquisites like mediclaim policy, GPA insurance policy premium. The employer incurs expenses towards the concerned employees.
Thanks,
AK Sharma
From India, Pune
Acknowledge(0)Amend(0)
Dear All,
CTC, which encompasses what a company provides to its employees, is known as Cost to Company (CTC). This includes:
- ESI/PF/company contributions
- LTA/Medical benefits
- Bonus
- Leaves
- Various welfare facilities such as canteen, uniforms, shoes, etc. However, management primarily considers these factors.
Devendra
From India, Pune
Acknowledge(0)Amend(0)
CTC, which encompasses what a company provides to its employees, is known as Cost to Company (CTC). This includes:
- ESI/PF/company contributions
- LTA/Medical benefits
- Bonus
- Leaves
- Various welfare facilities such as canteen, uniforms, shoes, etc. However, management primarily considers these factors.
Devendra
From India, Pune
Acknowledge(0)Amend(0)CiteHR is an AI-augmented HR knowledge and collaboration platform, enabling HR professionals to solve real-world challenges, validate decisions, and stay ahead through collective intelligence and machine-enhanced guidance. Join Our Platform.
Employer certificate for esic regarding bills clear.docx
CTC Calculator.xls