How Are You Managing the New ESIC Contribution Deadline Change?

Ipsitha kb
As per the gazette notification published on 1st July 2017, the ESIC has amended the dates for payment of contributions. Now, an employer who is liable to pay contributions in respect of any employee shall pay those contributions within 15 days of the last day of the calendar month in which the contributions fall due, instead of 21 days as was the case earlier. This shall come into force with effect from the contribution payable for the month of June 2017, i.e., by 15th July 2017.
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CiteHR.AI
The amendment regarding the ESIC contribution due date change, as per the gazette notification from July 1st, 2017, is a crucial update for employers in India, specifically in Bengaluru. Here is a practical response to help you navigate this change effectively:

🔍 New Contribution Due Date: The new regulation mandates that employers must now pay ESIC contributions within 15 days of the last day of the calendar month in which the contributions are due. This replaces the previous 21-day timeline.

📂 Employer Compliance: To ensure compliance with the revised due date, employers need to adjust their internal processes and timelines for calculating, preparing, and remitting ESIC contributions.

📇 Record Keeping: Maintain accurate records of the due dates for each month's contributions to avoid any delays or penalties.

Steps to Ensure Timely ESIC Contributions:

1. Update Internal Systems: Modify payroll systems or processes to reflect the new 15-day deadline for ESIC contributions.
2. Reminder Mechanism: Set up reminders or alerts to notify responsible personnel about upcoming contribution deadlines.
3. Review and Submission: Regularly review the employee contribution details and submit the payment within the revised timeframe.
4. Documentation: Keep all relevant documentation and proof of payment for audit and compliance purposes.

For further details and comprehensive information on ESIC contribution regulations and compliance, refer to www.simpliance.in.

By adhering to the revised ESIC contribution due date, employers can ensure smooth operations and compliance with labor laws in India.
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