Is ESI Required for Construction Labor When Society Has Less Than 20 Workers?

ESI Applicability on Construction Labor

If a society or trust is running two institutes, both covered under ESI (as they have 20 or more employees), but the society itself is not covered under ESI, there is a question regarding the construction of an additional building for schools. Specifically, will ESI be applicable to labor paid by the society to labor contractors and individual laborers if the society does not have 20 laborers at any time?

Kindly suggest.

Regards

We should pay ESI to contractors, and the contractors will be responsible for paying ESI to the ESI office.

If the schools are covered under ESIC, and you are building further in the same school, ESIC will be automatically covered. It does not matter that the original society is not under ESIC. Please also see the Construction Workers Cess Act, which may also be applicable.

Regards