Are ESI and PF Required for Short-term Apprentices and Trainees? Let's Discuss!

Hi,

We had engaged apprentices/implant trainees with 3-6 months of job tenure, and we paid a stipend in line with minimum wages. My question is whether ESI/PF is applicable to them or not?

Thank you.

Sir, yes, trainee employees are coverable under the ESI Act, 1948 provided their engagement is not as per the provisions of the Apprentices Act, 1961. Please see section 2(9) of the ESI Act, 1948. This issue has been discussed a number of times on this site, and for details, you can search the relevant threads.

Dear Mr. Anand,

PFA some of the important judgments on the applicability of PF and ESI for the Trainees/Apprentices. If the in-plant trainees are taken for training as per the Standing Orders of your Company, you need to cover them only for ESI and not PF. In case you need more details, clarification, or documents, please contact us immediately.

Regards,
N. Nataraajhan
Sakthi Management Services
HP: +91 94835 17402
Email: natraj@sakthimanagement.com