Hiring People On Third Party Contract

rohitnverma
Hi,
As you all know the these days hiring people on third party contract is in lots of practice. This saves your lots of botheration and compications related to law, most of the companies think that. But being in Administration Department I have certain questions regarding the same specially hiring people who comes under the ESI flag..
1. what are the steps which an employer need to follow while signing out the contract
2 what are the salary breakup( i.e. basic/HRA/Leave encashment/pf/esi/gratuaity/service charge etc etc.) which is menditory for the employer to follow. Is there are something which can be excluded out of those if yes what are those.
3. Can we exclude gratuity out of that....
thanks
Rohit Verma
prashant1314
Hi,
As you all know the these days hiring people on third party contract is in lots of practice. This saves your lots of botheration and compications related to law, most of the companies think that. But being in Administration Department I have certain questions regarding the same specially hiring people who comes under the ESI flag..
1. what are the steps which an employer need to follow while signing out the contract - This should be contractor's responsibility to pay
2 what are the salary breakup( i.e. basic/HRA/Leave encashment/pf/esi/gratuaity/service charge etc etc.) which is menditory for the employer to follow. Is there are something which can be excluded out of those if yes what are those. - Basic+ HRA +DA+PF(Employer's contribution 13.61% ), ESI (4.75 %) is must rest of thing can be chalked out at the end of the year3. Can we exclude gratuity out of that....=As you are going to employ contract labour only for 6 months there is no need to pay gratuity by you.
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