Plantation is situated in "ESI Non Implemented "area.There are about 10 Employees working & drawing a salary below ESI Coverage Limit i.e Rs21,000/-PM
Plantation Branch Office is located in a City under "ESI Implemented" area.There are 4 Employees working & drawing salary below Rs21,000/-
Should we obtain ESI Code Number & cover Only Employees working in ESI Implemented area.
Ford determining 10 or more Employees, we have to take in to consideration Plantation Labour & branch Office Staff.Please clarify
From India, New Delhi
610Plantation Branch Office is located in a City under "ESI Implemented" area.There are 4 Employees working & drawing salary below Rs21,000/-
Should we obtain ESI Code Number & cover Only Employees working in ESI Implemented area.
Ford determining 10 or more Employees, we have to take in to consideration Plantation Labour & branch Office Staff.Please clarify
From India, New Delhi
Employees working in ESI implemented area are to be necessarily covered under ESI. But, min. no. of such workers should be 10 or More (verify if Plantation is brought under 10 instead of 21). In your case it is only 4 employees, ESI is not applicable and you cannot register under ESI also.
From India, Thane
From India, Thane
for count of eligibility strength, the employees over 21000 salary also comes under counting, however they get excluded when filing contribution.
Agreed with GLIDOR. However, employees of esi notified area are only need to be counted.
From India, Thane
From India, Thane
1. Sir, so far as I understand employees working in Plantations are not covered under ESI Act, 1948 and rules/regulations framed thereunder because the said plantations neither fall under category of "factory", nor under category of specific establishments as presently notified by the appropriate State Govts. Even the factories manufacturing tea, sugar, rubber etc. have been declared as "seasonal factories" vide section 2(19A) of said Act and not covered under said Act.
2. However, in my opinion, if there is a sale office/administrative office in any implemented area, then the same can be covered as "shop" separately provided the said Branch/Sales/Administrative Office employs 10 or more persons on any day (in few States, the threshold limit has not been reduced from 20 or more persons). The coverage under ESI Act, 1948 is on the basis of employment of "persons", which will include all employees regardless of amount of their wages. However, once coverage of a unit is established only the employees getting wages upto and including Rs.21000/- per month (excluding amount of OT) will be required to be covered and to contribute.
3. In order to be sure, it will be appropriate if the office of ESIC, where Branch/Administrative Office of plantation is located can be contacted to confirm about the position of the coverage of the employees posted in said Branch office (s) so that in the long run employer may be sure about their coverage position under said Act.
4. So far as I understand, the employees working in plantations are covered under the provisions of the Plantation Labour Act, 1951 and rules/regulations framed thereunder.
From India, Noida
2. However, in my opinion, if there is a sale office/administrative office in any implemented area, then the same can be covered as "shop" separately provided the said Branch/Sales/Administrative Office employs 10 or more persons on any day (in few States, the threshold limit has not been reduced from 20 or more persons). The coverage under ESI Act, 1948 is on the basis of employment of "persons", which will include all employees regardless of amount of their wages. However, once coverage of a unit is established only the employees getting wages upto and including Rs.21000/- per month (excluding amount of OT) will be required to be covered and to contribute.
3. In order to be sure, it will be appropriate if the office of ESIC, where Branch/Administrative Office of plantation is located can be contacted to confirm about the position of the coverage of the employees posted in said Branch office (s) so that in the long run employer may be sure about their coverage position under said Act.
4. So far as I understand, the employees working in plantations are covered under the provisions of the Plantation Labour Act, 1951 and rules/regulations framed thereunder.
From India, Noida
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Applicability of ESI Act.pdf
Legal provisons on the applicability of ESI ACT.docx