Understanding ESI Wages: Does Attendance Incentive Count as Part of It?

Please clarify my doubt regarding wages under the ESI Act of 1948. We are planning to introduce an attendance incentive for staff working on a production basis based on their monthly attendance. They will receive the attendance allowance if they meet the required attendance mark. Kindly clarify if the attendance allowance amount falls under ESI wages. If so, please provide the reference number of the Act.

Dear Attendance Incentive is wages for the contribution of ESI. Please refer to the definition of wages under the ESI Act.

Thanks,
J. S. Malik

Dear Madhu,

Now, every head is considered for ESIC contribution. However, if you decide to pay such incentives quarterly (at intervals exceeding two months), it shall not be liable for ESIC contribution.

ACCHR

Dear All,

Please, could anyone clarify my doubt regarding the Factory Act of 1948? We are planning to shift our manufacturing company to a new plant. Is any government NOC/procedure required from the HR department? Please clarify and provide the reference number of the Act.

Thanks & Regards,
Savita

Dear Friends,

If the person is getting 10,000 KPM, what would be the exact salary breakup for ESI? Please provide me details.

Thanks and Best Regards,
Darshu

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