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Some contractors take PF AND esi amount by claiming in BILL and fail to pay. In such cases can the principle employer can directly make payment . if yes what is the proedure
From United Kingdom, London
Why not Mohan? You can make appropriate deduction from his bill.
But it is suggested to ask the Contractors to comply the PF & ESI.
Why not you make a checklist for verification and follow before releasing his or their payment.

From India, Hyderabad
Hi Venkata Vamsi Krishna I fully agree with you. But is there any method by which we can directly pay
From United Kingdom, London
It is simply taking his Establishment codes and making payment from our end.
From India, Hyderabad
It is not advisable to do so. Always engage contractor who has the codes. Alternatively the contractor can show the manpower on muster roll of someone who has the code numbers. In such case there will have to be formal agreement in this regard.
From India, Mumbai
Dear Mr.SHRIKANT PRA,
I am advising to pay in the Contractor's code only. Not in employer's code,but the employer can pay from his account and adjust/deduct in the payable amount/invoice of Contractor.

From India, Hyderabad
Please understand the legality of remittance by PE. It may be inferred that it is a sham contract.
From India, Mumbai
Inferences are less in important than actual compliance as per me. Principal employer has an over all responsibility to see that compliance is made on time by his contractors.
From India, Hyderabad
Inferences are less in importance than actual compliance as per me. Principal employer has an over all responsibility to see that compliance is made on time by his contractors.
From India, Hyderabad
Dear All
It is always advisable to ask the Contractor to remit the PF & ESI dues in his code numbers. If in case the PE remits the PF / ESI dues in their code numbers, then the workers will have statutory proof of PF pass book and ESI cards as if they are directly employed by the PE, they are paid wages by the PE and their contribution was being paid by them. Alternatively, you may think of entrusting the entire responsibility of Contract Labour Management to an independent Agency. If anybody require any help / support, pl contact us. Regards.
N Nataraajhan, Sakthi Management Services (Hp : + 91 94835 17402 ; E-mail : )

From India, Bangalore
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