Harsh Kumar Mehta
Consultant In Labour Laws/hr
Glidor
Hr Consultant
Riteshmaity
Labour Law Advocate
Mohanasundaram_Subramani
Sr Officer Human Services
+2 Others

Dear Experts,
We are in construction company i am facing this issue here. Usually our company hire workers like casual workers to work at construction site. Tough these workers works 1 day or 2 days or 5 days they doesn't work like permanent workers also they demand wages per day. My query is :- should we comply the joining formalities in form of engagement of these workers' :- weather we should provide them ESI & EPF benefit even thoug they work 1 day or 2 days,
Thanks in Advance
MOHIT
if they are defined as EMPLOYEE and paid WAGES or SALARY, then mandatory to maintain all labor laws, and pay contributions
1. Sir, there is no option with your establishment to provided ESI or EPF benefits or not to persons engaged even for few days or even for one day, the provisions are compulsory and compliance is required to be made. The law as laid down under above Acts i.e. ESI Act, 1948 and EPF & MPs Act, 1952 automatically applies if your unit has engaged minimum number of persons as laid down under said Acts. In respect of ESI Act, 1948 there is another condition that the area where factory or establishment is located must be implemented under section 1(3) of said Act.
2. There is no minimum qualifying period of service under above Acts for a person to be eligible for coverage under above Acts.
Dear Friends Kindly note that is he worked only for one hr, then he is eligible for ESI and PF. regards HR Alphonse 9443625359
if you are engage any kind of employees other than Act apprentices need to comply for deduct PF and ESI even though he works for 1hr and without fail should obtain Form 2 duly singed by the employee on the day of engagement for work.
As already mentioned by other Learned members, ESI and PF are applicable even if the employee has worked for a single day.
Both the laws are applicable if worker worked for a single day.
question still comes there............
whether they are employee or not.
an electrician comes to do some job, complete it and get paid, but the accounting system debit the expense in "repair and maintenance head" not in wages or salary.
Take the hint and try to run smooth
1. Sir, ESI Social Security Officer also verify the Accounts Heads under category of Repair & Maintenance and in case any such charges are found paid, contribution is claimed on said omitted wages from employer.
2. The said department in their records verification generally verify all expenses accounts heads. In whatsoever, accounts heads such wages are founds books, contribution is payable and demanded by said department. Booking of expenses in any account is no doubt at the option of employer, but verification of records is done as per instructions of above department. Verification of records/accounts books/vouchers/bills is not restricted only to "Wages" accounts heads, rather in majority of cases Balance Sheet is also demanded by said department. .
@Harsh
under such heads, AMC charges also come, for which the principal company pays ESI/EPF like eureka forbes, OTIS, take a plain bill from the worker, without man-count but job basis,
if unverified, then even only 20% to 30% is subjected to ESI ( PF have no role in such matters)
and you are discussing about the ESIC SSO inspection which got abolished in 2007-08, now there is no such system of regular inspection, but CIAU conducts such inspection, on pre marked suspected concealment of employees contribution, they don;t dig tiny issues like repair and maintenance, and conveyance, or labor welfare like expenses
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