No Tags Found!


Procedure for Closing ESI Account

Our organization has one unit in Chennai and two in Bangalore. Currently, the production at the Chennai unit is almost closed, with only 9 employees working. We now need to close the ESI account of the Chennai unit. Could anyone please provide me with the procedure for closing the account?

Regards,
Gowri Sankar

From India, Visakhapatnam
Acknowledge(0)
Amend(0)

AS per ESI act when the act becomes applicable and applicabilty continues even the employee strength less than applicable strength
From India, Bangalore
Acknowledge(0)
Amend(0)

Ramesh’s reply is correct. ESIC and PF both once applicabled, can not stop when man power decreased from desired for acts.
From India, Ahmadabad
Acknowledge(0)
Amend(0)

ESI can be closed only upon the closure of the establishment and not before that once applicable. Now, in your case, please specify whether the 9 employees who are working are from the Bangalore unit or the Chennai unit. If you are closing the Chennai unit, which means that no employees will be working in the Chennai unit, you can close the ESI account of the Chennai unit as an establishment closure.

Regards,
Saji

From India, Ahmadabad
Acknowledge(0)
Amend(0)

CiteHR is an AI-augmented HR knowledge and collaboration platform, enabling HR professionals to solve real-world challenges, validate decisions, and stay ahead through collective intelligence and machine-enhanced guidance. Join Our Platform.







Contact Us Privacy Policy Disclaimer Terms Of Service

All rights reserved @ 2025 CiteHR ®

All Copyright And Trademarks in Posts Held By Respective Owners.