Hi all,
I have joined a new startup company in Kolkata, West Bengal. We are currently structuring rules and regulations, hence applying for all compliance-related employment. From my knowledge and understanding, I know that PF and ESI are mandatory now, but our CA has a doubt on the same. I am expecting experienced and respected HR professionals to clarify my doubt.
Thanks in advance.
Mahasweta Moitra
From India, undefined
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I have joined a new startup company in Kolkata, West Bengal. We are currently structuring rules and regulations, hence applying for all compliance-related employment. From my knowledge and understanding, I know that PF and ESI are mandatory now, but our CA has a doubt on the same. I am expecting experienced and respected HR professionals to clarify my doubt.
Thanks in advance.
Mahasweta Moitra
From India, undefined
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For ESI compliance, please visit [Employee's Covered under ESI Act, 1948 | Indian Labour Laws & Shram Suvidha Simplified](http://www.shramsamadhan.com/2016/10/employees-covered-under-esi-act-1948.html).
Please note that the contribution limit has been raised from 15000 to 21000. Refer to the notification for details: [ESI Salary Limits Increased From 15,000 To 21,000. Effective From 01.01.2017 | Indian Labour Laws & Shram Suvidha Simplified](http://www.shramsamadhan.com/2016/12/esi-salary-limits-increased-from-15000-to-21000-notification.html).
For PF queries, check out [Universal Account Number (UAN) & Employee Provident Fund (EPF) : Rules, Procedure, Return, Claim & Updates](http://www.shramsamadhan.com/p/universal-account-number-uan-employee.html). Information on UAN-related compliance is also available here.
Other essential laws to be aware of include:
- Gratuity: [Payment of Gratuity Act, Rules, Forms, Returns & All Other Information](http://www.shramsamadhan.com/p/payment-of-gratuity-act-rules.html)
- Payment of Wages and Minimum Wages Act
- Shops and Establishment Act applicable in your state
- Factories Act in conjunction with the Industrial Dispute Act
From India, Kolkata
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180Please note that the contribution limit has been raised from 15000 to 21000. Refer to the notification for details: [ESI Salary Limits Increased From 15,000 To 21,000. Effective From 01.01.2017 | Indian Labour Laws & Shram Suvidha Simplified](http://www.shramsamadhan.com/2016/12/esi-salary-limits-increased-from-15000-to-21000-notification.html).
For PF queries, check out [Universal Account Number (UAN) & Employee Provident Fund (EPF) : Rules, Procedure, Return, Claim & Updates](http://www.shramsamadhan.com/p/universal-account-number-uan-employee.html). Information on UAN-related compliance is also available here.
Other essential laws to be aware of include:
- Gratuity: [Payment of Gratuity Act, Rules, Forms, Returns & All Other Information](http://www.shramsamadhan.com/p/payment-of-gratuity-act-rules.html)
- Payment of Wages and Minimum Wages Act
- Shops and Establishment Act applicable in your state
- Factories Act in conjunction with the Industrial Dispute Act
From India, Kolkata
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As far as my knowledge goes, the Labour Ministry has asked not to cover or inspect startups for the next 2-3 years. But once the period (2-3 years) is over, the company would be covered from day 1 of its incorporation. So, it is advisable to get it started from the beginning.
You can personally visit the ESI and PF office for clarification.
From India, Kolkata
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You can personally visit the ESI and PF office for clarification.
From India, Kolkata
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The applicability of different labor laws to your establishment or company will depend upon the number of employees/workmen employed.
ESI - If the number of employees/workmen engaged, including off-roll employees (through contractors), is ten (10) or more, the ESI Act is applicable. Those drawing gross salary/wages up to Rs. 21,000/- will fall within the net of ESI coverage.
Provident Fund Act - If the number of employees/workmen, including off-roll employees (through contractors), is 20 or more, the PF Act is applicable. The present wage ceiling is Rs. 15,000/-.
In addition, the following Acts are also applicable depending upon the number of employees/workmen:
- West Bengal Shops & Establishments Act
- West Bengal Labour Welfare Fund Act
- West Bengal House Rent Allowance Act
- The Payment of Gratuity Act
- The Payment of Wages Act
- The Minimum Wages Act
- The Payment of Bonus Act
- The Maternity Benefit Act (if female employees are engaged but not covered under ESI Act)
- The Sexual Harassment of Women at Workplace Act 2013 (if female employees are engaged)
With Warm Regards
P.S. Lakshmanan
S.G. Management Services
Kolkata
(M) 9831877248
From India, Kolkata
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ESI - If the number of employees/workmen engaged, including off-roll employees (through contractors), is ten (10) or more, the ESI Act is applicable. Those drawing gross salary/wages up to Rs. 21,000/- will fall within the net of ESI coverage.
Provident Fund Act - If the number of employees/workmen, including off-roll employees (through contractors), is 20 or more, the PF Act is applicable. The present wage ceiling is Rs. 15,000/-.
In addition, the following Acts are also applicable depending upon the number of employees/workmen:
- West Bengal Shops & Establishments Act
- West Bengal Labour Welfare Fund Act
- West Bengal House Rent Allowance Act
- The Payment of Gratuity Act
- The Payment of Wages Act
- The Minimum Wages Act
- The Payment of Bonus Act
- The Maternity Benefit Act (if female employees are engaged but not covered under ESI Act)
- The Sexual Harassment of Women at Workplace Act 2013 (if female employees are engaged)
With Warm Regards
P.S. Lakshmanan
S.G. Management Services
Kolkata
(M) 9831877248
From India, Kolkata
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