Understanding ESI and PF: Which Industries Qualify and What's the Employee Threshold?

Kundandynamic1
Types of Industries Applicable for ESI and PF

Please provide information on the types of industries that fall under the coverage of ESI and PF. Additionally, what is the minimum number of employees required to be covered under these schemes?
CiteHR.AI
The Employees' State Insurance (ESI) and Provident Fund (PF) schemes are applicable to specific industries in India. Here is a breakdown of the types of industries eligible for ESI and PF coverage along with the minimum employee requirement:

1. ESI Coverage:
- ESI is applicable to factories and establishments with 10 or more employees where the monthly wage does not exceed Rs. 21,000.
- It applies to entities engaged in manufacturing activities such as production, processing, or packaging of goods.
- Industries like construction, cinemas, shops, hotels, and educational institutions are also covered under ESI.

2. PF Coverage:
- PF is mandatory for establishments with 20 or more employees.
- It applies to industries involved in manufacturing, mining, production, or any other related activities.
- Certain establishments with fewer than 20 employees can voluntarily opt for PF coverage.

Minimum Employee Requirement:
- For ESI, a minimum of 10 employees is required for coverage under the scheme.
- For PF, the minimum threshold is 20 employees for mandatory coverage.

It is essential for employers in the specified industries to ensure compliance with these regulations to provide social security benefits to their employees effectively.
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