If an employee is not covered under ESIC, i.e., if his salary is above 21K, and he has worked for less than 30 days (let's say 15 days), which puts him under the 21K bracket, do we still deduct the ESIC?
No, you don't have to deduct ESIC in this situation. You're supposed to deduct ESIC on the monthly payable gross salary, but if any employee's monthly gross salary is above the 21k bracket, then ESIC is not applicable.
If the monthly basic plus DA salary of an employee is less than 15K, then PF is applicable. However, if the monthly basic plus DA of any employee is more than 15K, then PF is not applicable. For example, if any employee's basic plus DA for the whole month is 16K, then PF will not be applicable even though he or she has worked for 15 days and the payable basic plus DA is 8K.
Regards, Manish
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