Understanding PF and ESI Registration: How Many Employees Do You Need in Bangalore?

Can somebody clarify the minimum number of employees required for PF and ESI registration? I live in Bangalore, Karnataka. Also, please let me know the existing bonus slab.

Awaiting reply.

Regards,
Shoba

Can you tell me what the nature of your organization is? Is it in manufacturing or service? For manufacturing, the minimum number of employees is 10, and for service industries, it is 20.

Minimum Employee Requirement for ESI/PF Coverage

A minimum of 20 employees is required for ESI/PF coverage. However, if your company is dealing with power, then 10 is the minimum limit.

Chill HR!

There was an amendment in ESIC on 16-03-2011 regarding the applicability of the Act to an organization with 10 or more employees for registration, regardless of power usage. For PF registration, a minimum of 20 employees should be present in your establishment on any day of the preceding year.

Regards,
Mallikarjuna R
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EPF and ESI Applicability

If you employ 20 or more persons, you will be under the EPF Act. If yours is a factory and employs 10 or more persons, ESI is applicable. If it is a shop or commercial establishment, ESI will be applied if it employs 20 or more persons. Some states have reduced this number to 10. Please confirm with your nearest branch office of ESI. The persons referred to above need not be within the salary limit.

Regards,
Varghese Mathew
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Clarification on Employee Requirements for ESI and PF

It's 10 employees for ESI for all from June 2010, as per the attached notice from ESI, and 20 employees for PF. If you have fewer than 20 employees, you can apply for voluntary PF.

Best Regards,
SKY
Orbit HR Solution
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Dear Shoba,

The bonus depends on the basic salary plus DA, if applicable. If you are covered under the Compulsory Bonus Act, then a bonus should be provided at a minimum of 8.33% of the basic amount, even if the company incurred a loss in the previous year. The maximum bonus can be given up to 20%. ESI is applicable to all employees whose basic salary is not more than ₹10,000.

Thanks,
Suresh S
Chennai

I am working in pharmaceuticals, marketing medicines. This company previously provided ESI facilities to every employee. However, the company was sold to another person, and now the new management has stated that ESIC is not applicable, and they will not provide it for employees. Can I ask for a legal platform? How? Can the employer be punished? The previous employer was providing this facility, and now this company's name is on the list of defaulters on the ESIC's website.

Regards,
Rajendra

If a company has more than 10 employees, then ESI is applicable. If any employees are receiving a salary of less than 15,000, they should be covered under ESI.

Best Regards,
SKY
[Phone Number Removed For Privacy Reasons]

Hi All, Another query... What are the ESI and PF clauses for sick and seasonal industries? Can someone enlighten me on how the percentage of bonus to be given is decided? And what are the criteria for an employee to receive a bonus?

Thanks in advance,

Regards, Shoba