Need Help with Statutory Compliance Checklist for Our Nationwide Projects?

We are in the trading business (lighting, fans, appliances) and we undertake turnkey lighting projects all over India. We have 28 branches and 70 project sites across India, with our Head Office located in Mumbai.

We have a centralized HR department and utilize computerized payroll systems to maintain all records and registers in soft copy.

Statutory Compliance Checklist Request

Please share a checklist outlining the statutory compliances that need to be followed, including monthly, quarterly, half-yearly, and yearly returns, various licenses, registers, and compliances for subcontractors' employees.

Thank you,

SG

A. Applicable Enactments

The Employees' Provident Funds & Miscellaneous Provisions Act, 1952

The Employees' State Insurance Act, 1948

Shop & Establishment Act

The Minimum Wages Act, 1948

The Payment of Wages & Bonus Act, 1965

The Payment of Gratuity Act, 1972

The Payment of Wages Act, 1936

The Workmen's Compensation Act, 1923

The Maternity Benefit Act, 1961

The Industrial Disputes Act, 1947

The Industrial Employment (Standing Orders) Act, 1946

The Contract Labour Act (R&A) 1970 (Since you undertake turnkey projects, as stated)

All other related state enactments as applicable

C. Registers, Challans, and Returns

Under Shop & Establishment Act

- Register of employees
- Appointment Letter
- Attendance Register
- Overtime Register
- Register of Leave
- Register of Deductions for Damage or Loss
- Salary Register
- Register for Bonus
- Muster Roll-Register under Maternity Benefit Act

Contract Labour Act

- Workmen Register
- Employment Card
- Muster Roll
- Register of Fines
- Register of Deductions for Damage or Loss
- Overtime Register
- Register of Advance
- Register of Leave
- Wage Register
- Muster Roll-Register under Maternity Benefit Act

- Monthly Challans-PF, ESIC & Professional Tax
- Half-Yearly Return-ESIC
- Annual Information under ESIC – Form 1A
- Annual Return-PF
- Half-Yearly Return-LWF
- Annual Return-MBA
- Half-Yearly Return-CLRA, 1970
- Annual Return-Minimum Wages
- Return under Payment of Bonus

Licenses and Registrations Required

You have to obtain licenses and registration under different Acts. Being in turnkey jobs, you are a contractor as well as a Principal Employer in terms of CLRA 1970.

ESI & PF Contributions and Compliance

ESI & PF contributions/compliances are to be ensured from each and every employee, either employed through a contractor. The logic that you don't have control over his working and wages will have no force. Read Section 2 (f) of the EPF Act 1952 and act accordingly.

The liability under the ESI & EPF can sometimes amount to 600% of the escaped money.

Thank you for your valuable information. Could you please circulate this to my branches and site office? Please explain to me from the above list what care needs to be taken by the branches and site office.

Regards,
SG

Hi,

If an employee receives $20,000 as basic and DA for six months in the financial year and $22,000 for the remaining six months, should we pay a bonus only for six months? Or is it mandatory to calculate ex-gratia for the remaining six months?