ESI Contribution when Monthly Salary fluctuates wrt ESI Monthly Gross

sai-bramham
Actually my Monthly CTC is less than ESI Statutory Gross of 21000.
Due to OverTime(OT) my April Salary goes beyond 21000. So, Employer didn't deduct any ESI for first contribution period. Do i need to contribute ESI in second contribution period as my actual monthly gross will be less than 21000 in October (if there is no OT for October month).
Rahul Chhabra
Yes, ask your employer to contribute for your ESI.
Aks17
Hi
If your gross salary is equivalent or less than 21000 rupees you are bound to be covered under the ESI scheme.
'Overtime allowances will be considered as wage for the purpose of charging the contribution only and will not be considered for the purpose of the coverage of the employee under the Scheme.
The same view was held by the Supreme Court in its judgment delivered on 6.11.96 in the case of Indian Drugs & Pharmaceuticals Ltd. Vs. ESIC, in Civil Appeal No.2777 of 1980.'
So even if you are paid the salary/wages more than 21k, you are to be covered and there is no exception in this case. Your contribution will be on the wages plus the overtime allowances.
Thanks and Regards
sai-bramham
Okay @umakanthan53 , But other than OverTime allowances due to any other circumstances my monthly gross on starting of first contribution period goes beyond 21000, but whereas while the time of second contribution period starting monthly gross is <=21000, Do i need to contribute ESI irrespective of first contribution period?
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