If we are involved in salary transfers for people across India (liability only until salary transfer and PF & ESIC payments), what licenses do we need to acquire and can they be obtained centrally? Please help. Our organization is a partnership firm and we have obtained the rest of the required licenses. Can the labor license be obtained centrally or is it specific to each state?
From India, Hyderabad
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From India, Hyderabad
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If you are into a Pvt Ltd company, then you should register with the ROC. As yours falls under the service-oriented business, registration with service tax is mandatory if your business exceeds 10,00,000/- PA. Registration with the Shops & Commercial Establishment Act is required. PT registration is mandatory for any organization. ESI is applicable when your employee strength reaches 10 and above, while EPF is applicable if the strength is 20 and above. The rest is as applicable. Some licenses can be availed nationwide, while some are state-specific.
From India, Bangalore
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653From India, Bangalore
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No its not central It is state specific only. Even PT is state specific
From India, Bangalore
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From India, Bangalore
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PF can be maintained centrally. ESI it is better to maintain state wise because the rules of esi will differ from district to district.
From India, Kochi
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From India, Kochi
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Dear Laxmipmc,
Your business comes under “Third Party” Business. Earlier companies used to give sub-contract for a fixed price in r/o unskilled, and other staff. But now there are many agencies who worked on Service Charges @ % basis on monthly outsource costing. Still the job is also comes under Contract Labour (R&A) Act, 1970. Even if your liability is fixed upto salary, PF and ESI still it is a “Sub-Contract”.
Labour licence is applicable where you deploy 20 or more labour in a single place agst a single Agreement. Even if agst a single agreement you deploy 20 or more in the same jurisdiction, the Labour Office can ask you to obtain Labour Licence.
Here one important point is that if the company (for whom you are working) is a contractor company (Being prime contractor of the location) and they have Labour Licence in r/o all deployed labour/staff. In that case you can ask them to issue you a certificate duly mentioning “the deployed menpower at site is included in their Labour Licence”. Than you will not require to take any Labour Licence for that site.
For the other Registration, the fellow members have already clarified.
From India, Delhi
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Your business comes under “Third Party” Business. Earlier companies used to give sub-contract for a fixed price in r/o unskilled, and other staff. But now there are many agencies who worked on Service Charges @ % basis on monthly outsource costing. Still the job is also comes under Contract Labour (R&A) Act, 1970. Even if your liability is fixed upto salary, PF and ESI still it is a “Sub-Contract”.
Labour licence is applicable where you deploy 20 or more labour in a single place agst a single Agreement. Even if agst a single agreement you deploy 20 or more in the same jurisdiction, the Labour Office can ask you to obtain Labour Licence.
Here one important point is that if the company (for whom you are working) is a contractor company (Being prime contractor of the location) and they have Labour Licence in r/o all deployed labour/staff. In that case you can ask them to issue you a certificate duly mentioning “the deployed menpower at site is included in their Labour Licence”. Than you will not require to take any Labour Licence for that site.
For the other Registration, the fellow members have already clarified.
From India, Delhi
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Employees' State Insurance Central Rules 1950.pdf
Employees' State Insurance Central Rules 1950.doc