Navigating PF and ESI Setup for Hotel Staff: Step-by-Step Guidance Needed

purohitvishakha
Applying PF and ESI for Hotel Staff

I have gone through lots of discussions on PF and ESI, but I still need to ask: Please suggest to me how to apply PF and ESI for hotel staff. Currently, I am the only employee for the hotel as I am the HR for the group, and I have to handle all work related to HR (Recruitment, Payroll, establishing PF and ESI policies, etc.). Please suggest a step-by-step procedure to start PF and ESI as I have to implement this from next month.

Regards,
Vishakha
pandit satish
You do not need to worry as PF and ESI are the same for all industries. I am providing details of PF and ESI that will help you a lot.

PF and ESI Limits

The PF limit is 6,500, and the ESI limit is 15,000 of basic.

Go on... okay.

Regards,
Satish
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Sharmila Das
ESI and EPF Registration Requirements

ESI is applicable if the employee strength is 10 or more. As per the ESIC Act, 1948, the following is required for registration (the procedure is similar for all states):

- Memorandum and Articles of Association
- Copy of Strength of Employees where it exceeds more than 10 with the aid of power
- Copies of Attendance/Wage Register for the month in which 20 or more were/are employed for wages
- Copy of PAN Application
- Copy of Registration Certificate under The A.P. Shops and Commercial Establishments Act, 1988
- License under Contract (Registration & Abolition) Act
- Rent/Lease deed ownership documents/tax paid receipt, as the case may be
- Bank Account Details
- EPF Code No., if any
- Name and Address of clients to whom services are rendered, with copies of their acceptance letters. Are they separately covered under ESI? If so, furnish the code number.

According to the EPF Act, 1952, the following are the requirements:

- Proforma Invoice to be filled (Form will be provided by the Dept., Information required: Name of Employee, Father's Name, Date of Birth, Date of Joining, and Basic and DA)
- Form No.5A to be filled (Form will be provided by the Dept.)
- Copy of First Invoice
- Copy of Rent/Lease Agreement. If the premises is owned, a copy of the latest tax paid receipt
- List of Branches/Factories with Address and Tel. Nos., etc.
- Copy of Partnership Agreement or Memorandum and Articles of Association
- All copies of Registration/Licenses under different Enactments to be enclosed
- Strength from inception of the company (Date of Incorporation) month-wise to be provided
- Balance Sheet from the set-up of the Establishment/Factory/Organization
- List of outsourcing services like Housekeeping, Security, and any other contract services with their Agreements and strength
- Pay Order to be enclosed along with coverage application for the first month wherein staff strength exceeds more than 20
- The actual strength of employees shall be furnished in Proforma for Coverage on Page 3 (Maximum No. of employees which shall include the employees as per salary statement, i.e., existing and resigned employees)
- The month-wise employment strength from the date of set up, i.e., all employees including existing and resigned employees shall be provided – Ref Sl.No.5(ii) of proforma for coverage
- To check with the company whether the contribution shall be paid on actual basic salary or whether they are restricting to a basic salary of Rs.6500/- PM
- The Existing employee, i.e., those drawing a Basic Salary of Rs.6500/- PM and above and below shall be provided in Sl.No.12 for Proforma for Coverage
- To check for employees who want to opt out of the PF in respect of excluded employees
- To check in case of any voluntary contribution

This seemed to be a lengthy email for me, sorry I was unable to attach the document. I hope this would be of your knowledge and use.

Regards
purohitvishakha
Thank you, Sharmila. That will definitely help me. After reading all the documents which are necessary, as you mentioned, I should start this procedure after one month.

Regards,
Vishakha
rims
ESIC is applicable for a strength of 10 employees and above, with a salary limit of ₹15,000 gross salary per month effective from 1st April 2011. PF is applicable for a strength of 20 employees and above. In case you have fewer than 20 employees, you can apply for PF under voluntary coverage.

Regards,
Srinivasa.K
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