We have a few candidates who joined as an intern after completing their graduation. We are paying them Rs. 10,000/- as a stipend. Do they fall under the PF and ESI bracket? Please clarify.
We will convert them to permanent employees in 2 to 6 months, depending on their performance.
From India
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We will convert them to permanent employees in 2 to 6 months, depending on their performance.
From India
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If students are joining for an internship while they are pursuing their course/degree, supported by an authorization letter from the college, then there is no statutory requirement for either PF or ESI. There is no question of employment. However, as per your statement, they have joined your organization after completing their degree, which implies that you have hired them as trainees/freshers. They will work as per your office hours. In that case, they should be covered under the purview of PF/ESI.
Statutory authorities will perceive your 'internship' as an act of evasion of statutory liability. It would be better to bring them under the purview of PF/ESI.
From India, Madras
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1015Statutory authorities will perceive your 'internship' as an act of evasion of statutory liability. It would be better to bring them under the purview of PF/ESI.
From India, Madras
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