Hi, everyone. Let me know that an employee CTC is Rs.10000/- & net salary is Rs.8728/- on which we calculate ESI contribution of the employee is on the CTC or net salary.
From India, Delhi

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Dear Friend,
ESIC Contribution of employee not depends on CTC or Net Salary but depends on Earned Gross salary for that Month. For Ex- If a particular Employee CTC is Rs. 10000/- PM & Gross Salary is Rs. 9000/- PM (Gross saalry is the one which employee earned before any deduction on Org. part. & if after deduction if such employee getting Rs. 8500/- PM Net Salary. In such Case ESIC Cont. of such employee will be calculated on Gross Salary i.e. Rs. 9000/-. Hope this will help you!

From India, Pune
Dear friend,
" CTC" i.e Cost to the Company is the total annual cost incurred by the management/employer towards recruitment,training, retention, social security of the employee hired by it. Gross salary is the total monthly salary payable to the employee before authorised deductions.and net salary is the actual take-home salary paid after all deductions. Statutory contributions payable like EPF and ESI subscriptions have to be calculated on the basis of the statutorily prescribed salary/wage components of the monthlly gross salary.

From India, Salem
Dear Friend,
ESI should be on gross salary (i.e. monthly earnings before deduction) and not on CTC or Net Takehome.
Hope it is clear.
Chill HR

From India, Gurgaon
Dear sir, I am sankar i joined in new company i am also fresher please help me for factory licence and labour lincence. what is the formalities.
From India, Vijayawada

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