Is My Small IT Firm Eligible for ESI and PF Deductions with Just 13 Employees?

pankajji
Hi, I have recently joined an IT company dealing in software development. The total number of employees in our company is 13.

How many employees should there be in the company to start ESI and PF deductions in a Pvt. Ltd. firm? Is the company eligible for ESI and PF deductions?
abbasiti
Dear Pankajji,

For statutory obligations, 20 employees are required. However, if both employees and the employer wish, it is optional.

Abbas.P.S
varghesemathew
Yes, you can have ESIC only as PF. PF requires 20 employed persons, while ESI only needs 10 persons if your locality is covered under the ESI Act.
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