Swastik73
Human Resource And Industrial Relations
Bhushan Dahanukar
Service - Hr Professional
Deepak Thukral
Manager Accounts
Shraboni. Ghosh
Hr Manager
Kayal
Asst. Manager Hrd
Vijeta.kumar
Asst Manager Hr
+1 Other

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Hi everyone ,
Following are our doubts regarding ESI scheme and needs to be clarified
01. The salary sealing as per ESI shceme is Rs. 10000/-. Contribution towards the scheme by deducting amount started w.e.f. March, 2007. Now salaries of some of the employees during that time was under Rs. 10000/- where as salaries of those after rise have exceeded Rs. 10000/-. So, do those employees will be covered under the sacheme or not. ? need clarification regarding this matter.
02. Earlier, petrol allowance was paid to some employees which is now added into the salary package. So, to calculate gross salary, will petrol amount be included or not ?
03, The form says “VALID FOR 13 WEEKS FROM THE DATE OF APPOINTMENT”. In such case, what date of appointment to be mentioned of old staff.
Please Suggest it urgent
Thanks & regards
Shraboni

From India, Mumbai
-Ans for 01 -
Esi contribution period is April - Sep, and Oct - to March... if an employee's
salary has increased from sealing limit (10K PM Gross) has to be a member of the ESI till the closer of coming contribution period.
Ans for 02- Since its (Petrol Allow.) has now become the part of monthly salary therefore ll attract ESI.
Ans for 03 - Question is not clear..
Bye



Dear Sandeep
Thanks for your reply , but things are not very much clear can you help me with an example ,
My 3rd Question was , in the ESIC Form its mentioned ESIC- TICO valid for 13 weeks from the date of appointment , now if an old employees appointed in the company for more than 13 week , than can he fill the form , if yes what appointment date has to be put in
Thanks & Regards
Shraboni

From India, Mumbai
Dear Shraboni,
When you are filling up the Form 1, there is a column in which it is mentioned "Date of Appointment/Entry". The same is applicable for Form 13.
It actually means to put in the date of appointment or date of entry into the ESI Scheme whichever is later.
Let me explain, due to the current revision of wage ceiling from Rs. 7,500/- to 10,000/- many employees who were earlier outside the purview of ESI have now come under it's coverage. So, for these employees the column"DATE OF APPOINTMENT" will be the date from which the revised ceiling came into effect i.e., they came under ESI Coverage.
Regards,
SC

From India, Thane
Dear shraboni,
Esic ceiling limit was incresed from Rs 7500 to Rs 10,000 and get applicable from oct 2006
the employee who was getting salary 10,000 or less then 10,000 are come under ESIC and keep on paying their contribution but those who got hike say for few Rs 100 or 200 Rs and their salary become 10200 in the month of oct then they are not liable to pay the contribution
Those who got the hike in between say in Nov or Dec are liable to keep on paying the contribution till march.
Regards
Vijeta


IF THE SALARY OF AN EMPLOYEE AT THE START OF THE CONTRIBUTION PERIOD IS LESS THAN RUPEES 10,000PM, YOU WILL HAVE TO DEDUCT THE ESI FOR THE ENTIRE CONTRIBUTION PERIOD, IRRESPECTIVE OF THE FACT THAT HIS SALARY HAS INCREASED TO MORE THAN RUPEES 10,000 IN BETWEEN. THE EMPLOYEE WILL GET THE BENEFITS DURING THE FULL BENEFIT PERIOD IMMEDIATELY COMMENCING AFTER THAT.
AS FAR AS PETROL EXPENSE PAYMENT IS CONCERNED, IT WILL BE ADDED TO THE SALARY FOR THE PURPOSE OF ESI. SINCE THE PAYMENT IS NOTHING BUT CONVEYANCE ALLOWANCE. THE CONVEYANCE ALLOWANCE IS TAKEN INTO CONSIDERATION FOR COMPUTATION OF ESI
DEEPAK THUKRAL
CHANDIGARH

From India, Chandigarh
Dear friend,
Ans for 3.
that is temp.card. u go to ESI Local office make that as permanent card., go with FORM 37 for u r continuing in their roll. they will provide the permanent card........
Regards,
MG
9842511533..............

From India, Madras
Dear Shraboni,
1. There are 2 contribution period i.e. Oct. to mar. & Apr. to Sept. if any member fall under ESIC any of the period /any month, his ESI deduction continues till compeltion of period. In your question, if ESI ceilng limit effective from march. You should deduct ESI contribution to those employees whose gross salary is less than Rs.10000 and exceeds Rs. 10000. The employees salary exceeds Rs. 10000 will be out of ESI from April onwards.
2. About Petrol exp., if it is payable in monthly salary then it attracts ESIC coverage & deduction.
3. I have not understood third question. Pl specify properly.
regs,
Bhushan Dahanukar

From India, Mumbai
Q No. 1
Any employee whose salary is upto the ceiling of ESI coverage shall be covered under ESI and if his ESI contribution is paid in any particular month and thereafter his salary rises beyond the ceiling of ESI he shall continue to be a member of ESI and his ESI contribution shall be deducted and all compliances shall be done atleast for that particular contribution period ie. April to September or October to March which ever is applicable.
Q No. 2
All the components of salary as defined in the Wage under ESI are and are mentioned in the salary slip ESI shall be caluculated on that. However if any although mentioned in the salary slip but whose payment interval is more than two months does not come under the purview of ESI. eg. medical all./conveyance all. etc. if paid regularly but at an interval of three month shall not attract ESI
Hope it clears ypur doubt.
Shabbir

From India, New Delhi
Hi Shrabani,
1. Though the salaries would have got hiked in between and the employee's gross salary may exceed Rs. 10000.00, employee & employer are liable to pay ESI till completion of that contribution period ( April - Sep & Octo - Mar ).
2. If Petrol Allowance / Conveyance allowance is paid as part of your salary, it attracts ESI.
3. That is the ESI temporary card which is valid for 13 weeks. Once you receive this, this need to be given to the respec. employees for availing the treatment. Then you need to apply for permanant ESI Card along with temporary card & family photo of employee.
You may approach the local ESI office for further clarifications.
Rgds ........ Kayal



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