Hr Manager
Compliance Manager

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Hi all. Please help me know about below case for ESIC contributions.
I have one employees who's gross was 18300 after mid time increment his gross now 23350 from Jan 2020 . Now he is not applicable for ESIC does company have to deduct ESIC amount from his salary if yes then how many months we have to deduct ESIC amount from his salary.

From India, Pune
Even if his gross salary is hiked due to increment and above ESI salary ceiling, he has to complete
the respective contribution period. That is to say, out of 2 contribution periods (April-Sept & Oct - Mar); as his salary is increased in Jan, he will have to complete the contribution period ending upto March.

From India, Aizawl
Company has to deduct ESIC on 23,350/- till March,2020 and to be deposited with the authority. If the monthly gross continue as 23,350/- from April,2020, then it will discontinue.
S K Bandyopadhyay ( WB, Howrah)
+91 98310 81531
USD HR Solutions.

From India, New Delhi
The contributions has to continue till the end period which is every half year, Apr - Sep & Oct - Mar. Attached is the old rules screenshot which gives you an idea. In your instance the employee's salary has to be deducted till Mar 2020 on the increased wages though not on arrears, if any.
Thanks and Regards

From India, Hyderabad

Attached Images
File Type: jpg Wage increase in between the contribution period.JPG (68.0 KB, 32 views)

Even after the salary hike in mid of the contribution its mandatory to complete the contribution cycle. ESI contribution needs to be deposited for the complete contribution period may be October - March or April -Sept

From India, Delhi
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