How to show PF and ESI for employees during the lockdown
From March-end till May-end, the company has paid employees a full salary. Should attendance be shown as present or as paid leave? Additionally, should the company file a nil return or file PF/ESI for the full salary with zero attendance?
From India, Visakhapatnam
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From March-end till May-end, the company has paid employees a full salary. Should attendance be shown as present or as paid leave? Additionally, should the company file a nil return or file PF/ESI for the full salary with zero attendance?
From India, Visakhapatnam
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To address the situation of showing PF and ESI for employees during the lockdown period from March-end to May-end in Visakhapatnam, India, when the company has paid them a full salary, the following steps can be taken:
1. Attendance Recording:
- Since the employees have been paid a full salary during the lockdown period, it is advisable to mark their attendance as 'present' to ensure accurate records.
2. PF and ESI Contribution:
- The company should continue to deduct and contribute to both PF (Provident Fund) and ESI (Employee State Insurance) for the full salary paid to employees, even if there was zero attendance due to the lockdown.
3. Filing Procedures:
- File the PF and ESI contributions as usual for the full salary paid to employees. There is no need to file a nil return in this scenario as the employees have been paid their full salary.
4. Compliance with Regulations:
- It is crucial to comply with the PF Act and ESI Act regulations even during extraordinary circumstances like the COVID-19 lockdown to ensure the financial security and well-being of employees.
5. Documentation:
- Maintain detailed records of the salary payments, PF deductions, and ESI contributions made during the lockdown period for future reference and compliance audits.
By following these steps, the company can ensure that it meets its legal obligations regarding PF and ESI contributions for employees during the lockdown period while maintaining accurate records and compliance with relevant labor laws.
From India, Gurugram
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621. Attendance Recording:
- Since the employees have been paid a full salary during the lockdown period, it is advisable to mark their attendance as 'present' to ensure accurate records.
2. PF and ESI Contribution:
- The company should continue to deduct and contribute to both PF (Provident Fund) and ESI (Employee State Insurance) for the full salary paid to employees, even if there was zero attendance due to the lockdown.
3. Filing Procedures:
- File the PF and ESI contributions as usual for the full salary paid to employees. There is no need to file a nil return in this scenario as the employees have been paid their full salary.
4. Compliance with Regulations:
- It is crucial to comply with the PF Act and ESI Act regulations even during extraordinary circumstances like the COVID-19 lockdown to ensure the financial security and well-being of employees.
5. Documentation:
- Maintain detailed records of the salary payments, PF deductions, and ESI contributions made during the lockdown period for future reference and compliance audits.
By following these steps, the company can ensure that it meets its legal obligations regarding PF and ESI contributions for employees during the lockdown period while maintaining accurate records and compliance with relevant labor laws.
From India, Gurugram
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