Does Grooming Allowances Attract E.s.i

raj_oneu
dear seniors,
we are paying an amount of 400/- to our doorman as a part of gromming charges every month , my doubt is will this gromming charges attract E.S.I,awaiting an early response.
malikjs
dear
what is grooming allowance, and what for it is given.can u pls explain.
tks
j s malik
venkatachalapathi
Please explain that doorman is working only for you or he is working lot of companies/person
daily for the grooming work. If he is working for morethan one employer then esi will not attract.
please reply.
shikhasahai
Hello everyone...
We have recieved similar notice from ESI...there are few casual employees who are working only for us like cook, and there are few casual employees working for more people like Maali, sweeper, helper for cook to clean utensils
please advice on this
thanks n regards
Dr. Shikha Sahai
raj_oneu
dear sir,
we pay the doorman for the purpose of getting his clothes washed and for his shaving purpose, the expenses incurred together we termed it as gromming allowances.he would be working for tmo companies simply depending on the need.
Madhu.T.K
Any allowance which is paid in an interval of not more than two months shall come under the definition of wages and will attract ESI. Therefore, the allowance in this case (sorry, I do not have come across with such an allowance) will also attract ESI. After all these are minor amounts for an employer but for an employee like a watch man it matters because the higher the contribution the higher will be the benefits that he gets from ESIC.
Regards,
Madhu.T.K
malikjs
dear
it will attract ESI and you have to make contribution towards ESi agasinst this payment as it is part of salary paid every month.
tks
j s malik
BADLOOSER
All Allowances are part of the definitions of Wages under ESI Act They are subject of decuctions...........for ESIC prupose.....:-D
irudayam
Dear All,
1. Notwithstanding the nomenclature of the allowences,
i. if the payment is on regular intervals of less than two months 9 in the instant case, it is a monthly allowence) and
ii. paid as fixed allowence and not a variable reimbursement of defraying actual expenses as in the instant case
ESI contrubution is payable. In other words if the upkeep amount is paid at various dates on production of actual claims/ bills, the same would not attract ESI contribution.
2. As regards the queries raiesed by Dr.Shikha Sahai, notwithstanding the fact it is casual or temporary- be it Maali, cook etc. all would come under the definition of employee for the purpose of ESI Coverage and hence contribution is payable. If cooking / washing is temporary in nature, depending upon the accouting entries, ESI contribution /overage will be determined.
A.Irudayam
Advocate and HR Consultant- +91 99406 86632
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