Hello every one, my question is about esic deduction, it is compulsory to deduct esic from temporary labour contractor invoice who is give his service on labour charges and company submitting omitted wages challan to the esic but contractor employee cant get any benefit for the same due to that contractor denial to pay esic. Which practice is best ? Please advise !
From India, Chennai
From India, Chennai
1. Sir, ESI Act, 1948 does not make any distinction between temporary labour, casual labour, regular employee or adhoc employee. All persons doing work for and in connection with the work of the factory and within wage ceiling are "employee" within the meaning of said Act and entitled for benefits. In case of any eventuality viz. in accident cases, the premises of the employer where ESI Act is applicable/in force, and in the course and out of employment, the injured employee is entitled for disablement benefits and therefore, the employer or immediate employer (contractor) is/are required to comply with properly as per procedure laid down in said Act or rules/regulations framed thereunder.
2. If the employer fails to maintain records in respect of his casual / temporary employee, then it is the outlook of said employer or his contractor and therefore, in case of any eventuality as mentioned above, the injured employee will face difficulties in getting benefits as mentioned above. Further the employer will also be liable under other law viz.- the Employees' Compensation Act, 1937.
From India, Noida
2. If the employer fails to maintain records in respect of his casual / temporary employee, then it is the outlook of said employer or his contractor and therefore, in case of any eventuality as mentioned above, the injured employee will face difficulties in getting benefits as mentioned above. Further the employer will also be liable under other law viz.- the Employees' Compensation Act, 1937.
From India, Noida
dear mahender singh
it is the responsibility of the contractor to pay esic contribution of his employee but he denies to pay contribution then it becomes responsibility of the principal employer to get it submitted the esic contribution of contractors employee.but as per your case, you have submitted the omitted chalan to the esic on labour charges,it is correct because at the time of esic audit,esic inspector will ask for labour charges,at that time you will show the challan then you will get relieved other wise your company will get penalised with interest,either the contractor employee is temporary or permanent.
From India, Delhi
it is the responsibility of the contractor to pay esic contribution of his employee but he denies to pay contribution then it becomes responsibility of the principal employer to get it submitted the esic contribution of contractors employee.but as per your case, you have submitted the omitted chalan to the esic on labour charges,it is correct because at the time of esic audit,esic inspector will ask for labour charges,at that time you will show the challan then you will get relieved other wise your company will get penalised with interest,either the contractor employee is temporary or permanent.
From India, Delhi
is anyone aware how to calculate ESIC if fixed work is given . Example work is assigned to contractor for XYZ purpose and it is agreed that Rs ABC will be paid and it is on contractor to decide how many people he wants to deploy for the same.
From India, Mumbai
From India, Mumbai
If I am. Your idea is to get the contractor's employees covered at the same time do not want principal employer to get trapped. YOU can get the Cobtractor a sub code and remit the amount in that code. You can recover the employees as well as contractor's contribution from his bill. Remember that with this PF will also get attracted.
From India, Chennai
From India, Chennai
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