PF/ESI Coverzation

Dear All,
I am working in an construction Company.
1. sir I want to know during construction period whats we covered under EPF and ESIC act scheme Pls clarify.
2. An Establishment Covered under EPF and ESIC having the contractor those are having deployed Employees strength less 20. Does it fall under PF/ESIc Registration Obligation.
Regards,
Pawan Khola

During construction period or till the first sale, EPF and ESI will not be applicable. It will be applicable only from the date on which the number of employee exceed the required minimum of 10/20 after the sale bill is raised.
A contractor who engages less than 20 will not be covered by EPF/ESI by himself but since the establishment wherein the labours are deployed is covered by ESI and EPF the employees so deployed will be covered by ESI and EPF. If the contractor does not get registration, the establishment, being the principal employer, is bound to give coverage to the employees engaged through the contractor. In such cases, the employees of the contractor will be allotted PF account Numbers and ESI Code Numbers in the same running serials of the direct employees of the establishment.
Regards,
Madhu.T.K

since contract work is not useing the power so if number 20reaches a contractor is elegible to take the codes

Dear All,
I am working in a precast House construction Company. The company contract will close with short period (1 year contract period). We are having 30 employees and their salaries also above 12000/-. We are having only casual staff and labour we are given sub contract other party.
1. Sir I want to know during construction period what we covered under EPF and ESIC act scheme please clarify.
2. An Establishment Covered under EPF and ESIC have the contractor those are having deployed Employee strength less 20. Does it fall under PF/ESIc Registration Obligation.
3. For casual staff we want to take ESIC & EPF registration ?..
4. Our contract period is only one year, for these period ESIC & EPF, it's mandatory or not..
5. We have taken for employee Accident & a Health insurance policy .This is sufficient for EICS Cover.
Please clarify above point
Regards,
Sujeesh.K.S

When your main area of business itself is construction and you are constructing for others using your employees, the question of construction period does not apply. It is applicable to the establishment for which you are building the factory structure whereas for you it is the routine business. Therefore, you will come under the purview of ESI and EPF and all employees whose monthly wages do not exceed Rs 15000( now going to become 25000) should be brought under ESI. For exemption, just medical insurance is not sufficient. You are also covered by Pf and those whose basic wages do not exceed Rs 6500 should be brought under PF also. For this period of operation is immaterial and you are subject to coverage even if your contract will come to an end in one year
Madhu.T.K