Employee Pf & Esi Deduction - Doc Download

Dear Sirs,
I am thankful to both of my seniors for the guidance that has been provided to me.
Further would request you to kindly guide me with my following queries:
1. if currently I issue only the offers letters and after getting registered under PF & ESI issue the appointment letters to the employees. Will this be ok?.
2. Can a company issue any no. of offers letters without any binding?
3. The salary of employee who is under payroll of the company should be above the minimum wages act of that particular state?
4. Is this compulsory that the salary should have component of Basic, HRA, Bonus etc? if no, then pls mention the statutory component of monthly salary for an employee.
5. For payment of bonus, is there any rule to be followed?
6. Is it mandatory for a company to disburse the salary through bank only or is there any other alternative to pay the salary as well.?
Regards
Prachi Desai

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1. If you have decided to appoint any one, you need not wait till the regn. for PF/ESI which may be done in a normal course. It's a better admn.norms to issue the apptt.letter either just before joining or immediately after joining.

2. The no.(quantum) of offer letters is limited to the vacancies available and no.of candidates selected for the respective posts. Don't commit a mistake of issuing more than one offer letter per post to be filled up. The second offer can be issued only after deciding the fate of the first offer letter issued to the selected candidate which means, the second offer can be processed for a particular post only when the person offered declined to join or not accepted the post you offered, ensuring that the very first offer letter is duly cancelled/invalidated properly. This is very important to avoid any confusion/litigations.

3.Any appointment cannot be made for salary/wages less than the Minimum wages notified by the state/central govt.

4. You could either split the salary into basic, DA, HRA, CCA, conveyance and other allowances or show at a consolidated salary all merged into one. But to satisfy certain legal provisions it should be split into basic and other components. This will also help you to properly streamline certain expenses,IT, PR/ESI, Bonus, gratuity etc.

5. All Acts/Rules including Bonus is applicable & to be complied with

6. Initially you may disburse in cash. And it is not appropriate to continue this practice. Crediting to the bank a/cs.of employees always best and convenient.

kumar.s.

Thanks for disclosing your qualification and experience. It helps in conveying the response appropriately. I shall briefly reiterate the recommended steps for your queries.
1. Yes; perfectly OK; in fact, it is strongly recommended.
2. Yes; subject to its manpower requirements.
3. Yes, definitely.
4. Yes, Basic, DA is a must. HRA .
5. Yes. Payment of Bonus Act. Minimum one month's salary.
6. Cash or Bank.
Hope the above helps.
Warm regards.

Pls help:
1. What are the mandate registrations for an limited company to be done like PF, ESI bonus act etc??
2. If the basic salary of the employees is more than Rs 6500/- then also is it mandatory to get the registration of PF?
3. Under ESIC Act, when an employee is covered under the act what are the obligations of the company towards the employees apart from the statutory deductions?
4. In salary is it compulsory to have the DA component in it? if yes then do we need to follow the DA points/any specific rate of DA or it depends on company to pay as per their convenience?
5. For a company who is selling its debentures in the market is it mandatory to have a NOC from RBI, whereas the company has a registration from ministry of corporate affairs?
Regards
Prachi Desai

Dear PD,

For 1-2 :Attached is some lessons on EPF, pl.go thro'.

3. See the attached notes. Pl.use these attachments duly updated.

4. DA: Also refer my earlier post on this. If you're Unionised employees it is advisable to have Basic, Fixed DA, Variable DA (linked to Whole Sale price index/Consumer Price index indices which are published by the Central Govt. for every quarter. Accordingly FDA/VDA keep changing every qr. or half yearly based on these indices. It's all depend on general practice followed in your line of business. For e.g. many IT related firms follow CTC model which again comprises of components like basic, DA, HRA or house rent/lease+other allowances & perquisites. It is prudent to follow the pattern in your line to enable you for fixation of salary etc. to your employees which will be comparable with others in such business.

5. I think the matters relating to the trade in debentures to be regulated by the SEBI, RBI (FEMA cases) and ROC. You may check with concerned authorities as the trade is a very specialised one and information on your trade has to be kept confidential.

kumar.s.

Dear Prachi
For your queries #1 and #5, please seek the assistance of a legal consultant.
2. PF registration is based on the "number" of employees and not on the quantum of their basic salary.
3. Please go through the ESI Act and its provisions.
4. Please "search" CiteHR and you will find several threads on it, like the following:
https://www.citehr.com/450524-specia...ml#post2024901
Warm regards.

Wiith regard to point No:(1), in my view and as per the P.F provisions, there is no relationship between issuing appointment letters and registration under P.F. The establishment needs to register itself with P.F once it comes to employ 20 persons on any day during the preceding 12 months. With regard to pint No:(5) an employee who worked for a minimum of 30 days in the account year and drawing Rs. 10000/= or less p.m as wages, is eligible for bonus provided your establishment employs 20 persons on any day during the preceding 12 months. However the bonus needs to be computed on wages not exceeding Rs.3500/-p.m only.
B.Saikumar
HR & Labour Law Advsor
Mumbai

Dear Sir,
Im Prashant R. Deshmukh lst month join one Facility Management Services Industries.
on e quarry- what is the rule for trainee PF ESIC Compulsory for trainee or not.please help me..

Dear Sirs,
Pls help me in getting idea about the PF & ESI registration amount:
1. Does the registration amount differ from state to state?
2. What is the amount for registration of PF & ESIC for West Bengal
Regards
Prachi

Please anyone answer me how to get epf uploaded datas of all employees from 1995