Dear Team,
I am from the construction industry. Now, I have been awarded a new subcontractor project from a leading construction company. Simultaneously, I have subcontracted the project to a local contractor due to time constraints in delivering the project. In my company, I deduct EPF, ESI, and PT from my employees' salaries.
EPF Responsibility Concerns
According to the EPF Act, I am only responsible for my employees and the laborers hired by my subcontractor. My concern is that the subcontractor's laborers are paid on a daily rate and are not regular employees. The main contractor has informed me that both my employees and the subcontractor's laborers fall under my EPF code. Since daily rate laborers do not have regular attendance, I am seeking other options to resolve this issue.
Thank you.
From India, Erode
I am from the construction industry. Now, I have been awarded a new subcontractor project from a leading construction company. Simultaneously, I have subcontracted the project to a local contractor due to time constraints in delivering the project. In my company, I deduct EPF, ESI, and PT from my employees' salaries.
EPF Responsibility Concerns
According to the EPF Act, I am only responsible for my employees and the laborers hired by my subcontractor. My concern is that the subcontractor's laborers are paid on a daily rate and are not regular employees. The main contractor has informed me that both my employees and the subcontractor's laborers fall under my EPF code. Since daily rate laborers do not have regular attendance, I am seeking other options to resolve this issue.
Thank you.
From India, Erode
Hi Mohan,
For daily rate labor, also deduct PF and ESI, even if he works for one day and goes to collect his identity documents, and remit PF for him, so that you will be on a safer side. For Statutory Compliance under CLRA and Labor acts, our team can assist you.
Regards,
KM Sr. Consultant (Labor and HR Compliance) 7708907021
From India, Bengaluru
For daily rate labor, also deduct PF and ESI, even if he works for one day and goes to collect his identity documents, and remit PF for him, so that you will be on a safer side. For Statutory Compliance under CLRA and Labor acts, our team can assist you.
Regards,
KM Sr. Consultant (Labor and HR Compliance) 7708907021
From India, Bengaluru
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