Dear Colleagues, I have faced a problem regarding ESIC contributions. Please go through the following and suggest.
Previously at our factory, OT was paid in cash and did not show in the register. Now we are paying OT with wages in individual's Bank a/c. Before as OT was not shown in the register so statutory deductions calculation was made only on wages and that's the reason previously ESI deduction was lesser than current.
Now the situation is that worker is not willing to pay this excess payment and regarding that, I wish to share that more of the employees get more than 15000 as wages per month including OT.
Previously at our factory, OT was paid in cash and did not show in the register. Now we are paying OT with wages in individual's Bank a/c. Before as OT was not shown in the register so statutory deductions calculation was made only on wages and that's the reason previously ESI deduction was lesser than current.
Now the situation is that worker is not willing to pay this excess payment and regarding that, I wish to share that more of the employees get more than 15000 as wages per month including OT.