I have 3 Contractors. Company has registration and all contractors have valid license. All the 3 contractors are supplying manpower to many companies. I want to check whether the contractors remit the PF and ESI contributions paid by the company in full. When I insist the contactors for proof of full remittance they produce the documents which contains remittance to their labours in all companies. It takes a lot of time to segregate and find the details pertaining to my company. Is there any way out to demand to the ESI and PF authorities to give contribution remittance statement pertaining to the contract labour of my company only?
From India, Bangalore
1From India, Bangalore
Dear Anonymous,
In PF, you can create ECR in multiples contractor wise however, in ESI this facillity is not there. We should ask the Corporation to provide such kind of facility.
Till such time you have no such facility, you can ask your contractors to give the ESI contribution history sheet with highlighted the employees worked for you. You can do random check and ensure that the contractors are making proper compliance or not.
Please also be kept in mind that you are not responsible for default by independent contractors having the social security codes alloted to them by respective authorities. Breaks India v EPFO, HC Madras.
However, it may not be advisable not to do audit of the contractors' compliance document.
From India, Mumbai
In PF, you can create ECR in multiples contractor wise however, in ESI this facillity is not there. We should ask the Corporation to provide such kind of facility.
Till such time you have no such facility, you can ask your contractors to give the ESI contribution history sheet with highlighted the employees worked for you. You can do random check and ensure that the contractors are making proper compliance or not.
Please also be kept in mind that you are not responsible for default by independent contractors having the social security codes alloted to them by respective authorities. Breaks India v EPFO, HC Madras.
However, it may not be advisable not to do audit of the contractors' compliance document.
From India, Mumbai
Dear Mr Korgaonkar: Thank you for your detailed reply. it is very useful. Regards R Viswanathan
Dear Mr Govindakumar: I did not say that the contractors are not producing documents. They produce documents but it contains the details contract labours employed by him in various companies. I find it very difficult to segregate the contract labours supplied by him to my company. If there is a way for easy segregation I can check whether the contractor has remitted the PF and ESI paid by the company in full . Thank you for your reply. Regards R Viswanathan
From India, Bangalore
Dear Mr Govindakumar: I did not say that the contractors are not producing documents. They produce documents but it contains the details contract labours employed by him in various companies. I find it very difficult to segregate the contract labours supplied by him to my company. If there is a way for easy segregation I can check whether the contractor has remitted the PF and ESI paid by the company in full . Thank you for your reply. Regards R Viswanathan
From India, Bangalore
Dear Mr Visu
Pl ask all the contractors to mention PF / ESI numbers of individual workers in the wages registers, attach the xerox copy of the wages registers and send ECR copies (PF & ESI - full soft copy) every month along with their Bills. You can check the wages / PF and ESI contribution details of the workers in the ECR by searching with their PF / ESI numbers every month. If you check the remittance details of PF / ESI for few months in the beginning and do the random checking afterwards, you could control the payment details of the contractors.
N Nataraajhan, Sakthi Management Services (HP : + 91 94835 17402 ; e-mail :
)
From India, Bangalore
Pl ask all the contractors to mention PF / ESI numbers of individual workers in the wages registers, attach the xerox copy of the wages registers and send ECR copies (PF & ESI - full soft copy) every month along with their Bills. You can check the wages / PF and ESI contribution details of the workers in the ECR by searching with their PF / ESI numbers every month. If you check the remittance details of PF / ESI for few months in the beginning and do the random checking afterwards, you could control the payment details of the contractors.
N Nataraajhan, Sakthi Management Services (HP : + 91 94835 17402 ; e-mail :
From India, Bangalore
Community Support and Knowledge-base on business, career and organisational prospects and issues - Register and Log In to CiteHR and post your query, download formats and be part of a fostered community of professionals.
PF & ESI.zip
Presentation PF&ESI.ppt
Exp.and esi pf mis format.xls