Dear Seniors,
Is paying of PF/ESIC compulsory for the employer (proprietor) if the establishment has about 14 employees on rolls and about 17 employees on fixed-term contract basis? Please guide.
Regards, Sura
From India, Mumbai
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19Is paying of PF/ESIC compulsory for the employer (proprietor) if the establishment has about 14 employees on rolls and about 17 employees on fixed-term contract basis? Please guide.
Regards, Sura
From India, Mumbai
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Well, it's a good question.
Let us introduce ourselves. We are an educational institution based in Kolkata providing guidance on Law and Physics. We also offer free advice to students, the general public, and individuals like you.
Under the PF Act, a proprietor is not different from an employer. Please inform me of the total contractual period of these 17 employees first. Also, please let me know the minimum basic salary of the 14 employees.
From India, Calcutta
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Let us introduce ourselves. We are an educational institution based in Kolkata providing guidance on Law and Physics. We also offer free advice to students, the general public, and individuals like you.
Under the PF Act, a proprietor is not different from an employer. Please inform me of the total contractual period of these 17 employees first. Also, please let me know the minimum basic salary of the 14 employees.
From India, Calcutta
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Hi Sura,
For any organization with 20 or more employees, PF & ESI will be applicable. Wages up to 6500 @ 12% of Basic+DA PF is mandatory. If the employee is drawing a gross salary <=10,000, he/she will be eligible for ESI.
Regards,
Charvaka Reddy
From India, Hyderabad
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For any organization with 20 or more employees, PF & ESI will be applicable. Wages up to 6500 @ 12% of Basic+DA PF is mandatory. If the employee is drawing a gross salary <=10,000, he/she will be eligible for ESI.
Regards,
Charvaka Reddy
From India, Hyderabad
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For the 17 employees, it's a Fixed Term Contract for 1 year (mentioned in the appointment letter itself), and the salary range is from 4500 to 9000. Regarding the rest 14, I guess since their range is above 10k basic, it should not matter.
From India, Mumbai
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From India, Mumbai
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Thank you, sir, for the inputs.
As I understand, PF is mandatory if the employee numbers are 20 or more, irrespective of whether they are on Contract, FTC (Fixed Term Contract), or regular employees. Therefore, depending on the salaries, PF & ESIC come into force.
From India, Mumbai
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As I understand, PF is mandatory if the employee numbers are 20 or more, irrespective of whether they are on Contract, FTC (Fixed Term Contract), or regular employees. Therefore, depending on the salaries, PF & ESIC come into force.
From India, Mumbai
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Dear,
There is a clause in the PF Act that states (under sec 56b) that the act is not applicable to any other establishment newly set up until the expiry of a period of three years from the date on which such establishment is, or has been, set up.
From India, Warangal
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There is a clause in the PF Act that states (under sec 56b) that the act is not applicable to any other establishment newly set up until the expiry of a period of three years from the date on which such establishment is, or has been, set up.
From India, Warangal
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Hello, Mr. Medavarapu,
Thank you for the information. I would be obliged if you could also confirm the same regarding ESIC applicability. Our company is a startup and in its second year of operations.
Thanks,
Suresha Salian
From India, Mumbai
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Thank you for the information. I would be obliged if you could also confirm the same regarding ESIC applicability. Our company is a startup and in its second year of operations.
Thanks,
Suresha Salian
From India, Mumbai
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Hello Mr Medavarapu, Is this true?....Our company is into 2yr of operations so shall we wait for the completion of 3yrs & then go ahead with PF & ESIC?
From India, Mumbai
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From India, Mumbai
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Aspect Of Employer-Employ ees relationship-co ntract canteen.docx
Employer-PF-res trict to wages of Rs 6500.pdf
PF ESIC.xls