Navigating PF and ESI Remittance: How Do I Handle Past Dues and Former Employees?

Dear Friends,

I joined a factory for fabrication activities. Shortly after taking over the responsibilities, I realized that the PF and ESI contributions have not been remitted for a period (that I'm still investigating). Meanwhile, I wanted to ensure that the PF and ESI payments, at least for this financial year, are remitted. I would like to acknowledge my ignorance of the procedure on how to proceed with the outstanding remittance and would be grateful to be enlightened on the process, in addition to a few queries I have raised here.

1. How can I remit the PF and ESI contributions for the period starting from April 2014 until now?

2. What should be done about the employees who have already left the organization? Is it acceptable to ignore them, or should we still remit contributions for them?

3. How should I proceed with opening new accounts if I come across employees who have not joined since April 2014 and do not have PF and ESI accounts?

I appreciate your time and assistance.

Regards,
Pramod.

Regarding compliance under the ESI Act and the rules/regulations framed thereunder, I urge you to take the following actions immediately:

1. Firstly, determine the period for which compliance has not been completed thus far.

2. Secondly, identify employees without insurance numbers and identity cards. Submit declaration forms for such employees. This process is also available online.

3. Once insurance numbers are obtained for all employees, calculate the monthly dues to be paid from the default period and promptly deposit all outstanding dues.

4. Upon making up-to-date contributions or ending the contribution period, submit contribution returns to the appropriate ESIC office(s). The online facility for this purpose is available, and monthly returns may be generated online currently. For any necessary guidance, please contact your respective branch office.

5. Obtain permanent Identity Cards/Family Cards for all employees eligible for coverage.

6. Ensure timely submission of all required information and returns, including accident reports, to the ESIC office.

Thank you.

Yes, compliance is required to be made in respect of all employees eligible for coverage under respective Acts, regardless of whether they have left the job or are still employed. If you do not make the compliance at this time, during a record inspection later on, the omission of wages may be pointed out. Your establishment will then be required to pay/deposit the dues along with interest and damages, as may be payable according to rules and regulations.