Navigating PF Contributions and ESIC Subcodes: What Are the Current Rules and Requirements?

Hello, do we have any provision which says that an employee may restrict his PF contribution to ₹6,500 only and not on his actual salary? Do we still have to apply for subcodes in ESIC after the introduction of the Biometric card, e.g., an employer whose employee is working in Chandigarh has to obtain a subcode in Chandigarh? Please reply!

Do we need to deduct PF for other allowances like CCA, CEA, and CON, or does it apply only to basic and DA?

Minimum Employee Requirement for ESIC Deductions

The minimum number of employees required for ESIC deductions is 10 or more. If you are subcontracting to different vendors and the laborers are not on your payroll, their PF and ESIC deductions should be done by the vendor, and the challan has to be submitted by you.

Regards

Thanks for the excellent information. I hope that's a breakthrough. Are you an ESIC/PF Consultant? I would like to discuss the same in detail. Can I speak to you about it?

Regards,
Rohan

No, I am not a PF and ESIC consultant. I am an HR executive in an automobile dealership, and this is my daily work. Yes, of course, we can discuss the same.

Check out this attachment. This is the format for both PF and EPF. You can take help from that. This is the revised one.

Hi Rohan, yeah, sure, but what documents do you need? Is it for ESIC or PF? Or do you need the procedures for filling ESIC and PF?

You should not worry about PF and ESI because the maximum number of laborers should be 10, and in your case, there are only 6 laborers. Regarding PF, it will depend on the basic pay.

ESI and PF Contributions for Contractor Labor

ESI section 2.(9) and PF section 2(f) - both provisions are applicable in the case of contractor labor. When depositing the ESI contribution, the state government may allot a separate code number for depositing the ESI contribution under a separate code. It is the principal employer's prime responsibility to deposit the contributions as admissible under the above two acts using their own allotted code.