Dear Friend,
Registration under ESI Act in accordance with notification issued by ESIC that if an establishment /factory employees 10 or more employees, they are to apply for registration irrespective of facts that employees are covered under ESI or not. In other words, an establishment or factory employees 10 employees and even all of them are drawing a gross salary exceeding Rs.15,000/ per month, such establishment/factory shall have to apply and obtain ESI Registration.
So far as PF is concerned, PF Registration needs to be obtained if a factory/establishment employs a minimum of 20 employees in a month. Employees hose who are drawing a salary ( basic & da) up-to Rs 6500/per month PF contribution is payable on basic & da (Contribution = employees @12% & Employer 13.61%). So PF Registration is a must.
It is to be noted that even the number of employees is less than 20 in any establishment/factory per month , such factory/establishment , if they are willing to be covered under PF Act ,may voluntarily apply for PF Registration under the provisions of PF Act.
Sibabrata Majumdar
Management Consultant- Legal & HR
Mb:09830023706