ESI is trying to count contract labour as our employee and enforce our organisation

kmfin
We are automobile finance trade... A Social Security Officer came to our office and inspected our book of account, employee attendance register etc and found 8 employee... in his report also he mentioned 8 employee... after 2 years we received letter containing ESI registration... on our objection we where asked to bring bills relating to painting job.... said job was conducted by Berger Paints (a ESI registered establishment).
Now ESI organisation is saying to give details of labour done painting (which is not available with us as painting was done under sq. ft. rate basis).. ESI is trying to count those labour as our employee and enforce our organisation to pay ESI contribution from 2011...how far are they correct
Rahul pbn
Sir now a days, how many employees and labour you have because Esic Inspectors count all the emplyees with the Gatekeeper or sweeper.
In regarding your case, You can give letter to ESIC department with the bills of Berger Paints.
The matter of letter is to write that our no of employees are less than 10 So we are not under covered in ESIC .
kmfin
I agree but my question is can esi count labour worked for painting job a employee even though company supplying those labour are registered with esi
Harsh Kumar Mehta
1.Sir, coverage under ESI Act, 1948 and rules/regulations framed thereunder is a question of fact and if you are not satisfied with the decision or enquiry made by ESIC, you can contest the same by placing before them all facts correctly including the fact that the persons through which you got the work done of painting were employees of another firm. You can raise the issue of contract for service etc.
2. Even if the said department decided against you and asks you to cover your unit under said Act, you can challenge the decision before Hon'ble Employees Insurance Court of your area having jurisdiction in the matter.
If you are knowledgeable about any fact, resource or experience related to this topic - please add your views. For articles and copyrighted material please only cite the original source link. Each contribution will make this page a resource useful for everyone. Join To Contribute