Hello
Under the applicability for ESIC Act, its is said in the act that it is applicable when 10 (for factories) / 20 (for other establishment) or more employees are employed in the preceeding 12 months on any day.
My query is whether the word "employed" means employed on rolls or employed AND present on one single day.
eg: One may have 25 employees employed from 01st to 30th but it may so happen that no one day in the month all 20 employees were present. In such case whether the ESIC Act applicability will be checked on the basis of the fact that:
1) 25 people were on the muster roll of the employer & hence ESIC is applicable OR
2) no single day 20 employees were present all-together & hence the applicability doesn't arise.
Experts may throw some light on this subject.
Thanks in advance for your response.
Under the applicability for ESIC Act, its is said in the act that it is applicable when 10 (for factories) / 20 (for other establishment) or more employees are employed in the preceeding 12 months on any day.
My query is whether the word "employed" means employed on rolls or employed AND present on one single day.
eg: One may have 25 employees employed from 01st to 30th but it may so happen that no one day in the month all 20 employees were present. In such case whether the ESIC Act applicability will be checked on the basis of the fact that:
1) 25 people were on the muster roll of the employer & hence ESIC is applicable OR
2) no single day 20 employees were present all-together & hence the applicability doesn't arise.
Experts may throw some light on this subject.
Thanks in advance for your response.