Salary Revision Dilemma: How to Handle ESIC Contributions When Software Limits Changes?

We revised salaries in the month of July '12. In this, some of the employees' gross salaries have increased by more than Rs. 15,000. As a result, they do not fall under the purview of ESIC. However, we are unable to remove them from ESIC as the online software does not support this action until October. What should we do?

ESIC, once deducted from a gross salary below Rs. 15,000, has to be deducted for 6 months (the rule was applicable even when it was not online). Therefore, if you've deducted ESIC for employees whose gross monthly salary has exceeded Rs. 15,000 from July, you still have to contribute ESIC on Rs. 15,000 until September. From October, you can stop contributing the same.

Regards,
Hiral

Mr. Hiral is correct. It's the rule for ESIC that once ESI is deducted from the salary, the employee will be exempt after the contribution period.